The market is up 26. Good day for the market. The SFE Futures suggest a 22 point rise this morning.

Dow down 23 although the S&P 500 was up 0.7% and the Nasdaq was up 1.6%. Market was doing well until the FOMC Statement at 2.15pm. The Fed funds rate was left unchanged at 0.00-0.25%. Unanimous decision. The market fell over after the FOMC statement. Metals had a good night. Oil price down, Gold up.

OECD UP GROWTH FORECASTS — The OECD-compiled GDP growth projections were upgraded — first upgrade in 20 months. They now expect economic growth for the world’s 30 most-industrialised countries to drop by 4.1% in 2009 (versus a prior forecast of -4.3%) and then grow by 0.7% in 2010 (was +0.1%).

Making the news today…

  • Westpac Bank (WBC) says the environment remains challenging for its retail and business banking units in its slide presentation to UBS.
  • Macquarie Leisure Trust Group (MLE) in a trading halt – it is raising capital and internalizing its management.
  • Bank of Queensland (BOQ) has released a presentation they are giving to UBS.
  • Alliance Resources (AGS) announces its Four Mile Uranium project nearly doubles to 28,000 tonnes uranium oxide at an average grade of 0.35%.
  • Centro Retail Group (CER) has provided an update on board renewal and separation process.
  • Centro Properties (CNP) announces three new board appointments.
  • There will be no FIRB objection to ABB Grain’s (ABB) Viterra Bid.
  • Funtastic Furniture (FUN) in a trading halt – something about selling a business unit or business units.
  • Commonwealth Property Trust (CPA) has sold its 53 Ord Street property in Perth for $41.5m.
  • Leighton Holdings (LEI) subsidiary has won a $800m Telecom Corp contract.
  • Andean (AND) has done a placement in Toronto overnight at a 2% discount to market. Positive demand. Get funding risk out of the way.

In other news…

  • Morgan Stanley says Fortescue Metals (FMG) is overpriced. They have an Underweight recommendation and 108c compared to the current share price of 374c. In their view, the current share price reflects “unrealistic expectations”.
  • Macquarie Equities expects Invocare (IVC) to announce a 1H net profit of $12.9m, up 5% on last year.
  • The IMF has upped it outlook for the Australian economy this year, predicting only a modest contraction in 2009 and a sharper recovery in 2010.
  • Lots of research on Ten Network after its disappointing 3Q result yesterday. Mostly disappointing with Underweight and Sell recommendation.

The Dow Futures suggest a 4 point rise on Wall Street tonight.

MARCUS PADLEY is the Author of the MARCUS TODAY Daily Stockmarket Newsletter.

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