Market report: Local shares rise on U.S optimism about China and Europe

The Australian share market rose today following a strong lead from U.S markets overnight after China reported robust export data and European markets reversed some of their recent losses.

Locally investors were buoyed by robust Australian employment data which showed that 36,400 full-time jobs were created in May, many more than were anticipated. The Australian dollar shot to US$0.85.

By midday the benchmark S&P/ASX200 index was up 55.3 points, or 1.3 per cent, at 4490.6, while the broader All Ordinaries index was up 53 points, or 1.2 per cent, at 4501.4.

Generally speaking, though, the biotech sector remained fairly quiet throughout the week, although the announcement by Perth-based Avita Medicall yesterday of a key milestone in its efforts to crack the U.S market was among the most exciting news of the past several months.

The company reported exceptional results from the first FDA-approved use of its ReCell spray on skin technology in the U.S, paving the way for full commercial approval. Shares in the company, which had been down sharply from their highs around mid-April, rallied strongly yesterday closing up over 27 percent. Shares were down around 3.5 percent today on profit taking.

The best performers today included cardiac specialists CathRx up eight percent, while diabetes specialist Living Cell Technologies (LCT) gained four percent.

Looking at the big three, both Cochlear and CSL were steady today, while Resmed rose a modest 1.55 percent.