The Australian share market has started 2016 with two consecutive down days as weak manufacturing data out of China fuels bearish short-term sentiment and causes investors to hit the sell button.
However, there are several businesses flying higher despite the general malaise and it's worth taking a look at what might be behind the rises of some of today's top gainers.
Newcrest Mining Limited (ASX: NCM) shares are up 2.2% as the spot price of gold jumped overnight on renewed uncertainty over the outlook for global growth. Gold is likely to receive support on further bad news out of China and investors convinced a big crash is just around the corner may find Newcrest shares an attractive hedge.
JB Hi-Fi Limited (ASX: JBH) shares are up 2.2% to $20.55 probably because investors are betting that the knockout of Dick Smith Holdings Ltd (ASX: DSH) will give JB Hi-Fi more market share and perhaps even some margin-gouging potential. In the electronics retail space it seems only the strongest survive and JB Hi-Fi fits the bill with a decent outlook supported by generally strong consumer demand for the latest electronic products.
AWE Limited (ASX: AWE) shares are up around 8% after the oil and gas explorer announced it has made a final investment decision in its joint venture to develop the Waitsia gas fields with Origin Energy Ltd (ASX: ORG). Total costs for stage 1A are expected to be $17 million, with AWE's share at $9 million. First stage production is expected to provide cash flow from mid-2016, with potential to lift production on a reportedly low-cost basis for one of Western Australia's premier gas fields.
Resapp Health Ltd (ASX: RAP) shares are up 19% or 2.5 cents to 15.5 cents today as the digital healthcare operator progresses in its quest to eventually commercialise a smartphone app that can assist in the diagnosis of respiratory diseases. Common respiratory diseases such as asthma or influenza are traditionally diagnosed via stethoscope or X-ray imaging, and ResApp claims it has the software driven mobile app to assist in a digitally driven diagnosis by healthcare professionals.
The company is still in the early stages of its ambitions, but hopes to bring a product to market in late 2016 and says it is now fully funded to meet this objective until then.
