The Australian share market rose strongly on Monday after a poor start to the year and a shocking past week when the S&P/ASX 200 (INDEXASX: XJO) fell every day to end 3.17% lower. Some of Australia's biggest companies were the star performers on the S&P 200 yesterday, after recording heavy losses for shareholders so far in 2015.
Retailer Myer Holdings Ltd (ASX: MYR) surged 3.1% to $1.49 to bring a smile to suffering shareholders' faces. The group is under severe pressure from competitors but the share price has managed to pull away from its 12-month low of $1.28, even though earnings forecasts remain questionable. Increasing competition from local and international brands is expected to undermine profitability but with a forward yield of 9%, investors must be getting tempted.
QBE Insurance Group Ltd (ASX: QBE) surged 1.5% after falling 7.5% last week on the back of no substantial news. QBE remains a work-in-progress turnaround story but could end up being a huge income payer for long-term shareholders if the new management team can strengthen the group's balance sheet and return underperforming sectors to profitability.
Macquarie Group Ltd (ASX: MQG) surged by as much as 6% during the day following an announcement that it expected its full-year profit to grow by as much as 20% year-on-year. This is obviously good news for investors and the ongoing underperformance of the ASX versus its overseas peers could see merger and acquisition activity increase, further boosting profits.
Website and investment group SEEK Limited (ASX: SEK) jumped nearly 3% to $16.83 after being one of the biggest losers on the ASX 200 last week. The company has an impressive history of creating shareholder value and is already seeing success in its strategy of investing in related overseas companies.
Finally, James Hardie Industries plc (ASX: JHX) jumped as high as 3% following an unexplainable 10.5% fall over the previous five trading days. Investors may be getting more comfortable that lower oil prices will have little impact on US housing starts and that the US housing recovery is sustainable.
