Aussie shares have closed lower in broad based losses. All the sectors finished behind after a lower U.S. lead overnight and some mixed economic news.
Skilled job vacancies rose 2.5% in June and retail sales improved 1% in May while building approvals dived 12.5% in May.
The S&P/ASX 200 Index closed 81 points weaker at 3,874 while on the futures market, the SPI200’s down 40.
To company news around this afternoon,
Asciano (ASX:AIO) has announced that it has signed an agreement with the Tasmanian Government for the sale of its Pacific National Tasmania rail business. The deal will involve the Tasmanian Government paying $32 million for the business, as well as commit to spending additional capital, reinstating services and ensure safe operations until completion of the sale. The business transfer will occur by the end of November. The announcement was released minutes before the closing bell this afternoon and Asciano shares finished the session down 1.5% at $1.315.
Drilling services provider Boart Longyear (ASX:BLY) has sold some of its African operations to Tranter Energy and Mining Services as part of its divestment of non core assets plan. The debt laden company did not announce how much it had sold the asset for but did say it will record a one-off charge of about $US3 million as a result of the sale. The company expects to have reduced debt down to $US700 by the end of 2009.Boart Longyear shares closed 1.92% lower at $0.255 today.
Also making news today, Cabcharge Australia (ASX:CAB) says the ACCC’s legal proceeding should not have a material effect on its business. Cabcharge was responding to an ASX query about why it didn’t inform the market about the legal proceedings last Friday and said that the envelope notification from the ACCC was not opened for 3 hours so it did not know about the court case.
Hastings Diversified Utilities Fund (ASX:HDF) has decided to raise $250 million of capital instead of selling assets to pay down debt.
The main stories of the day, which were covered in earlier reports include
Insurer Suncorp-Metway (ASX:SUN) will have a new CEO starting in September. Patrick Snowball will take up the post and has previously been the chairman of financial services companies in the UK.
BHP Billiton (ASX:BHP) said its Perseverance nickel mine may be forced to close by the Western Australian government after another rock fall at the mine. In separate BHP news, China is reported to be softening its stance in current iron ore negotiations.
Now to the best and worst performers: all the sectors finished in the red today but the best performing was the Telecommunications index, down12 points to 1,160. The worst performing sector was the Real Estate Investment Trust index for the second day in a row; down 25 points to 724.
The best performing stock in the S&P/ ASX200 was Valad Property as it announced a restructuring of its European business and a joint venture with Bank of Scotland and shares rose 36.99% to $0.10. Shares in Lynas Corp and GWA International shares also gained.
The worst performing stock was Elders with shares falling 8.77 per cent to $0.26 as it said has managed to formalise a three month extension to its short dated finance facilities with lenders. Shares in Australand Property and Equinox Minerals also closed lower.
In commodities, gold is trading at $929.95 U.S an ounce and light crude oil is up 38 cents since this morning at $70.27 U.S a barrel.
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