The S&P-ASX 200 index finished today’s session 72 points higher at 4379.2 points while the All Ordinaries closed at 4399.1 points, up 68.7 points.
The overseas leads were mixed with the Dow Jones Industrial Average closing 0.7% lower at 9974.45 points, while the FTSE 100 gained almost 2% to 5038.08 and the Nikkei 225 gained 0.7% to 9522.66 points.
Meanwhile, there was some negative economic data today with Australian business investment in the first quarter falling 0.2% compared to an expected 1.4% rise, however the figure is still 1% higher than the March quarter of last year.
Mining heavyweights BHP Billiton and Rio Tinto both rallied in London overnight, up 5.3% and 7.3% respectively, leading to an uptick in their share prices on the local market in today’s trade.
BHP closed the session $1.59, or 4.3%, higher at $38.85, while Rio gained $3.08, or 4.8%, to $67.03.
The RSPT was again the big news story of the day – and for good reason with the chief architect behind the tax, Dr Ken Henry, fronting the Senate estimates economics committee this morning.
Unlike the miners, Henry believes the tax won’t have a significant impact on Australia’s sovereign risk. He also downplayed media reports that the government may be looking to increase the threshold from the bond rate of around 6% to 11%, the rate used for the petroleum resource rent tax.
All eyes will be on Canberra tomorrow when the resources tax consultation panel is expected to deliver its first report to government following negotiations with angry miners and industry groups.
Among the bigger movers today was Atlas Iron, up 17.5c to $2.04, and PanAust, up 4c to 47.5c, while Fortescue Metals Group gained 22c to $4 and OZ Minerals added 0.5c to $1.065.
On the London Metal Exchange, copper for three-month delivery gained 0.7% to $US6779 per tonne while zinc added 1.9% to $1890/t, however nickel fell 0.4% to $21,115/t.
Spot gold was trading 0.3% higher at $1215.45 an ounce as at 4:25pm AEST with Newcrest Mining closing A54c to $32.39, Lihir Gold up 5c to $4, and AngloGold Ashanti up 5% to $10.13.
One of the big movers by percentage today on the Final Call watchlist was Hill End Gold which announced a bonanza gold hit in the BNH Central Zone at Hargraves in New South Wales.
The junior gold play closed the session 3.5c, or 30.4%, higher at 15c.
