Australian Infrastructure Fund looks to benefit from AUD4.7b government infrastructure investments

Asian markets rebounded on 15-Dec-08, led by Japanese stocks, as investors brushed aside a survey showing business confidence plunged, on hopes for a US interest-rate cut and after the Bush administration stated it would step in to prevent a failure of US car industry. The Nikkei surged 428.79 points (+5.21%) to 8664.66, while Hong Kong's Hang Seng Index rose 288.56 (+1.96%) to 15046.95. The Australian share market also closed stronger, driven higher by resource stocks following commodity price rises over the weekend. The benchmark S&P/ASX200 index was up 81 points (+2.31%) to 3591.4.

European stock markets were gently down. London's FTSE lost -2.79 points (-0.07%) closing at 4277.56, the Paris the CAC 40 fell -27.94 (-0.87%) to 3185.66, while the Frankfurt Dax 30 lost 103.83 (-2.18%) closing at 4663.37.

US shares later fell, as the market sought clarity over US President Bush's bid to rescue US carmakers and awaited outcome of a Federal Reserve meeting expected to cut interest rates. The Dow Jones Industrial Average fell 65.15 points (-0.75%) to 8,564.53, the Nasdaq was down 32.38 points (-2.10%) to 1508.34 and the Standard & Poor's 500 fell 11.13 points (-1.27%) to 868.60.

Oil prices

Oil prices fell again on 15-Dec-08 as the market ignored a likely OPEC supply cut to refocus on demand. Light, sweet crude prices for January delivery decreased USD1.77 (-3.8%) closing at USD44.51 a barrel on the New York Mercantile Exchange.

Airport share prices 15-Dec-08

Airport stocks traded mixed yesterday, more or less following their respective markets.

Australian Infrastructure Fund was the biggest riser, as it looked like being one of the major beneficiaries of the Australian government's announcement that it was to spend AUD4.7 billion on infrastructure projects as part of the country's economic recovery.

Selected airports daily share price movements (% change): 15-Dec-08