The tide is rising on the Australian sharemarket today, buoyed by the stabilisation of Chinese equity markets and a surge in the price of iron ore overnight. The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has lifted 1%, as has the broader ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) in what has been a strong day for most listed companies.
Fortescue Metals Group Limited (ASX: FMG) is back on the market's agenda, lifting 3.4% after hitting a new six-year low during yesterday's session. The iron ore price climbed almost 10% overnight and the sharp recovery experienced by China's equity markets has investors hopeful that further gains could be on the way.
G8 Education Ltd (ASX: GEM) has been sold off heavily over the last 10 months with its shares hitting a fresh low of $2.86 yesterday, down from an all-time high of $5.63. The shares are up 3.4% today however, with investors clearly taking advantage of the discounted price. While it could be a great stock for long-term investors, it also carries a number of risks which should be taken into account before an investment is made.
Senex Energy Ltd (ASX: SXY) is the top performing stock from the ASX 200 group, rising 5.8% to 27.5 cents per share. Oil prices also rose strongly overnight, with Brent crude up 2.7%, as a result of a steadying Chinese sharemarket and bets of strong gasoline demand in the United States, as highlighted by CNBC. Despite today's gain, the stock is still down 62% over the last 12 months.
Integrated Research Limited (ASX: IRI) gained 11.4% to trade at $1.76 after the software business released an updated profit guidance. The company said it expects net profit for the year ended 30 June 2015 to grow between 58% and 70%, compared to the prior corresponding period as its growth strategy continues to pay dividends.
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