Dipping down: Aus shares 0.15% lower at noon

Market Reports

by Carolyn Herbert

Following weak leads from Wall Street, the Australian share market has found itself back in the red, plunging at the open and continuing to wallow 0.15 per cent lower at noon. After a few strong days of trade the materials sector is leading the losses, led down by falls in the big miners BHP and Rio Tinto. The staples space is leading the charge with the supermarkets in the spotlight today with gains in Woolworths and Metcash.

The S&P/ASX 200 index is 8 points down at 5,553. On the futures market the SPI is 12 points lower.

Company news

Flight Centre Travel Group (ASX:FLT) has reported a decrease in net profit for 2016 to $244.6 million, compared to $256.6 million in the previous corresponding period. Revenue for the period was up 11.2 per cent to $2.7 billion. The company says the Brexit vote adversely affected consumer confidence and leisure travel late in FY16.Shares in Flight Centre are trading down 0.28 per cent at $35.90.

Nine Entertainment Co Holdings Limited (ASX:NEC) has reported a fall in net profit to $120 million for FY16 compared to $129 million last year. The company has described FY16 as a ‘transitional year’ comprising of challenging market conditions in the Free-to-air space. Revenue was also down 6.5 per cent on the previous corresponding period. Shares in Nine Entertainment are trading up 0.49 per cent at $1.02.

Best and worst performers

The best performing sector is Staples, gaining 2.7 per cent to 9,248. Shares in Metcash have risen 6.8 per cent and trading at $2.20. Shares in Woolworths and Bega Cheese are also stronger.

The worst performing sector is Materials, falling 1.2 per cent to 8,916. Shares in Western Areas have fallen 9.68 per cent, trading at $2.80. Shares in Iluka Resources and Incitec Pivot are also lower.

Gold and the dollar

Gold is trading at $US1,325 an ounce.
The Australian dollar is buying $US0.7623.


 

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