Following weak offshore leads, the Australian share market shed more than 1 per cent at open as concern for a Spanish bail out deepened.
The S&P/ASX 200 index is 50 points down at 4,044 On the futures market the SPI is 33 points lower.
Goodman Group (ASX:GMG) has responded to media speculation of a possible expansion into the US. The integrated property group says it is currently in talks to establish a new fund and management business in order to acquire new assets but the company says the discussions are incomplete. Shares in Goodman are trading down 1.46 per cent at $3.37.
The chairman of Pacific Brands Limited (ASX:PBG) James MacKenzie will step down from his role next month. The clothing and footwear manufacturer which has been the target of takeover interest since the beginning of this year, announced Mr McKenzie will be replaced by current non-executive director Peter Bush who is also the chairman of Nine Entertainment. Pacific Brands says Mr Bush has a long and successful history in fast moving consumer goods. Shares in Pacific Brands are trading up 1.82 per cent at $0.56.
Best and worst performers
The best performing sector is Consumer Staples gaining 45 points to 7,595. Shares in Woolworths Limited (ASX:WOW) have risen 0.99 per cent and trading at $26.45. Shares in Coca-Cola Amatil and Wesfarmers are also stronger.
The worst performing sector is Financials excluding Real Estate Investment Trusts, falling 92 points to 4,466. Shares in National Australia Bank Limited (ASX:NAB) have fallen 5.88 per cent, trading at $22.42. Shares in Macquarie Group and Westpac Banking are also lower.
Gold and the dollar
Gold is trading at $US1,563 an ounce and the Australian dollar is buying $97.02 US cents.