The Australian sharemarket has extended morning gains after upbeat Wall Street leads as investors consider a range of local earnings reports, including Telstra's rise in profit and share buyback plans. At 12. 05pm (AEST), the benchmark S&P/ASX200 index rose 29. 7 points, or 0. 54 per cent, to 5,544. 4, while the broader All Ordinaries index gained 30. 5 points, or 0. 55 per cent, to 5,538. 4.
CMC Markets equities dealer Chay Flack said Telstra's 14. 3 per cent increase in profit will keep investors happy. "The telco has benefited from the NBN and the dividend yield investment trend over the past few years," Mr Flack said. "Two dividend increases in a row sends a positive message and creates speculation that further increases could be expected.
Read more here: Business Spectator