REPORT # 11
Sydney: Australian shares edged a modest 0.09 per cent higher on the back of investor approval of further resource sector consolidation, brokers said. The announcement of a reduction in official interest rates to 4.75 per cent did little to enthuse the market.
This excerpt of the report has been taken from the Sydney Stock Exchange
Meanings of difficult words
Edged moved up gradually
On the back of by support of
Tendency of the market
The market shows moderate upward movement
The investor’s interest in buying shares sent the market high. But the cut in the bank rate by the Australian central bank to 4.75 per cent did not affect the market.
The Sydney Stock Exchange experienced heavy buying by the investors that took the index up by a .nominal 0.09 per cent, The central bank of Australia reduced its bank rate to 4.75 percent to speed up business activity and to encourage borrowings, but this act did not push up the market significantly high.
The Sydney Stock Exchange market showed upward movement, the sole reason being the buying pressure from the investors. The cut in the bank rate by the central bank did not play any role.
Keeping in view the buying pressure the market many continue going up the next day. The delayed reaction of the cut in the rate of interest is also likely to affect the market with promise.