The local share market is steady at midday following a mixed lead from Wall St overnight, however gains in the miners on stronger metals prices and the top banks despite Westpac’s 11 per cent profit fall, are helping to support the market.
The S&P/ASX200 index is 3 points higher at 4,535 and on the futures market the SPI 200’s up 11 points.
In economic news: The ABS reports that building approvals rose 2.7% in September. And retail sales fell 0.2% also for the month of September.
In company news: Maintenance services provider Transfield Services Ltd (ASX:TSE) says the company is well placed to take advantage of emerging opportunities in renewable energy in Australia. Chairman Tony Shepherd told shareholders at the company’s annual general meeting that Transfield is seeing positive signs in a range of areas of its operations including liquefied natural gas and coal seam methane developments in Australia, in oil and gas and infrastructure in North America and the Middle East. Looking ahead the company says it expects to deliver flat to modest net profit after tax growth and continuing strong cash generation during full fiscal year 2010. Shares in Transfield Services gained 2.44 per cent to $4.19.
Oil giant Woodside Petroleum Ltd (ASX:WPL) has agreed to issue US$700 million in corporate bonds into the US bond market. The bonds will be issued by Woodside subsidiary, Woodside Finance, and will consist of US$700 million of 5-year bonds with a coupon of 4.5 per cent. Woodside says funds raised from the issuance will be used to repay short term debt and for general corporate purposes including capital expenditure. Shares in Woodside Petroleum dropped 0.73 per cent to $47.35.
Turning now to market indices: The best performing sector at midday is the Telecommunications index which is up 11 points to 1,119. Shares in Amcom Telecommunications advanced 4.76% to $0.22. Shares in Telecom of NZ and Telstra are also higher.
The worst performing sector at midday is the Real Estate Investment Trust index, down 20 points at 847. Shares in CFS Retail Property Trust fell 3.11% to $1.87. Shares in Mirvac Group and Stockland are also lower at noon.
Looking to New Zealand and the NZSX50 is 3 points lower. Turning to the top 5 stocks by turnover on the NZSX50: Telecom of New Zealand heads the list, stock up 0.8 per cent at $2.52, followed by South Canterbury Finance, Fletcher Building, ANZ and Westpac.
To gold and the dollar: Gold is trading at US$1,081.55 an ounce and the Aussie dollar is trading at 89.97 US cents.
