The Australian share market has followed a negative lead from Wall Street this morning after investors started selling off following the US Federal Reserve’s decision to hike interest rates. The local bourse dropped at the open and has continued to lose momentum in the first two hours of trade tracking 0.85 per cent lower at noon. The healthcare space is faring the best today with gains in stocks with US exposure like Resmed and Cochlear. Energy and materials are faring the worst after commodity prices took a downward turn overnight.
The S&P/ASX 200 index is 46 points down at 5,539. On the futures market the SPI is 21 points lower.
Economic newsFull time employment in Australia for November has remained steady, according to figures released by the Australian Bureau of Statistics (ABS). This resulted in the trend unemployment rate remaining steady at 5.6 per cent for the second month in a row.
Company newsCaltex Australia Limited
(ASX:CTX) has forecasted an after tax profit of $560 million to $580 million for the 2016 full year. This is an increase on the $522 million profit for 2015. Net debt has also been forecasted to be reduced to around $450 million at 31 December 2016, compared to $693 million at 30 June 2016. Shares in Caltex Australia are trading down 0.36 per cent at $30.22.
AGL Energy Limited
(ASX:AGL) has received a notice of proposed industrial action from the CFMEU, pursuant to the Fair Work Act 2009. The notice relates to a proposed stoppage of work on the 28th of December 2016 for 24 hours at the AGL Loy Yang power station in Victoria. AGL says it will advise the market of any further developments moving forward. Shares in AGL are trading down 1.02 per cent at $21.30.
Best and worst perfomersThe best performing sector is Healthcare which is flat to 19,308. Shares in Sigma Pharmaceuticals
(ASX:SIP) have risen 1.21 per cent and trading at $1.26. Shares in Fisher and Paykel Health
(ASX:FPH) and Cohclear Limited
(ASX:COH) are also stronger.
The worst performing sector is Energy, falling 3.56 per cent to 8,919. Shares in Santos Limited
(ASX:STO) have fallen 9.75 per cent, trading at $3.98. Shares in Beach Energy
(ASX:BPT) and Oil Search
(ASX:OSH) are also lower.
Gold and the dollarGold is trading at $US1,141 an ounce.
The Australian dollar is buying $US0.7406.
