Well yesterday’s rally was well and truly short lived, and not even better than expected employment data could lift the local share market out of the doldrums. After plunging more than 2 per cent in the first hour of trade, the market continued to struggle for direction throughout the session closing 1.57 per cent lower. While all sectors finished in the red, it was the energy space that was the biggest casualty today.
The S&P/ASX 200 index closed 78 points lower to finish at 4,909.
The value of trades was $4.2 billion on volume of 727 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited
(ASX:BHP), Commonwealth Bank of Australia
(ASX:CBA) and Westpac Banking Corporation
(ASX:WBC).
On the futures market the SPI is 63 points down.
Economic news
Australia’s job market continues to improve, according to latest figures from the Australian Bureau of Statistics. Unemployment has held steady at 5.8 per cent, with full-time employment rising by 17,600 in December, while there were 18,500 less part-time jobs. Economists had tipped a 12,500 fall in jobs.
Company news Bell Financial Group
(ASX:BFG) has reported a strong finish for the year with 2015 profit before tax 165 per cent ahead of 2014 and expected to exceed $22 million. The company says the increase was underpinned by strong Equity Capital Markets throughout the year. The Group’s funds under advice now exceed $32 billion. Shares in Bell Financial Group closed 5.56 per cent higher at $0.57.
Wesfarmers Limited
(ASX:WES) has made a conditional offer to acquire UK retailer Homebase for cash consideration of $699 million.
pSivida Corp
(ASX:PVA) has announced the closing of an underwritten public offer of 4.44 million shares at $4 each to raise gross proceeds of $17.8 million.
Best and worst performers
The sector with the least losses was Materials losing 0.3 per cent to close at 6,183. The worst performing sector was Energy, losing 2.7 per cent to close at 7,259 points.
The best performing stock in the S&P/ASX 200 was Ten Network, rising 6.87 per cent to close at $1.40. Shares in Seven West Media and Evolution Mining also closed higher.
The worst performing stock was LNG, dropping 12.6 per cent to close at $0.56. Shares in Mesoblast and Santos also closed lower.
Commodities and the dollar
Gold is trading at $US1,094 an ounce.
Light crude is $0.13 lower at $US31.39 a barrel.
The Australian dollar is buying $US0.6934.
