Following weak leads, the Australian sharemarket opened lower and remains in negative territory at this midway point in the session, down 0.38 percent at noon. Macquarie’s upbeat earnings have been unable to calm an unsteady banking space as financials contribute to broad losses across the local bourse.
The S&P/ASX 200 index is 20 points down at 5,259. On the futures market the SPI is 39 points lower.
Economic news
The RBA has left open the possibility of further interest rate cuts in its Monetary Policy Statement. The central bank acknowledged a lower inflation outlook and a cooling in the housing space.
Company news
Blackmores Limited
(ASX:BKL) has acquired Chinese herbal medicine retailer Global Therapeutics for $23 million. The acquisition will be debt-funded and is expected to be earnings accretive in the first full year under Blackmores ownership. Shares in Blackmores are trading down 0.88 per cent at $168.17.
Land & Homes Group Limited
(ASX:LHM) has appointed Noel Woodward as Chief Executive Officer. The appointment is effective from 13 June 2016, with a remuneration package in excess of $300,000 per annum. Shares in Land & Homes Group last traded at $0.069.
Best and worst performers
The best performing sector is Materials, gaining 1.05 per cent to 7,952. Shares in Evolution Mining have risen 4.5 per cent and trading at $2.09. Shares in Fortescue Metals and Sims Metal Management are also stronger.
The worst performing sector is Energy, falling 1.1 per cent to 7,942. Shares in Worley Parsons have fallen 3.85 per cent, trading at $5.74. Shares in Santos and Whitehaven Coal are also lower.
Gold and the dollar
Gold is trading at $US1,278 an ounce.
The Australian dollar is buying $US0.7414
