The Australian share market has closed the session lower today driven down by declines in resource stocks on weaker commodities prices. And retailers felt the pressure after figures showing a drop in the unemployment rate to 5.7% in November sparked fears for another rate rise.
The S&P/ASX 200 Index finished 31 points lower at 4,607 while on the futures market, the SPI200’s down 17. To company news around this afternoon: Energy company Origin Energy Ltd (ASX:ORG) says it has successfully synchronised to the grid the first turbine of its 630 megawatt Darling Downs combined cycle power station. Origin says the Darling Downs Power Station is the centrepiece of an investment of more than $1 billion by Origin in providing cleaner natural gas-fired electricity for Queensland’s growing needs. The company says yesterday the first of three 120 megawatt gas turbines was synchronized as part of a commissioning phase which will extend over coming months. Shares in Origin Energy closed 0.38 per cent higher at $15.89.
The Australian Competition and Consumer Commission has granted authorization to Virgin Blue Holdings Ltd (ASX:VBA) and Delta Air Lines to enter into a joint venture on their flights between Australia and the US. ACCC Chairman Graeme Samuel says the watchdog considers that the joint venture is likely to assist Virgin and Delta to compete m ore effectively against the incumbents on the routes - Qantas and United Airlines. Earlier this year the ACCC denied authorization of a cooperation agreement between Air New Zealand and Air Canada, however Mr Samuel says Virgin and Delta are recent entrants on the trans-pacific routes and the joint venture will enable them to compete effectively. Virgin Blue Holdings shares closed 0.95 per cent lower at $0.52.
Also making news: Weapons maker Metal Storm Ltd (ASX:MST) board says it is annoyed at the delay to funds coming to the company from Assure Fast Holdings which as yet have not been received.
The Federal Court of Australia has approved Yanzhou Coal’s takeover of Felix Resources Ltd (ASX:FLX).
Grocery and liquor wholesaler Metcash Ltd (ASX:MTS) will inject an estimated $55 million of new capital into Mitre 10 to acquire a 50.1% stake in the hardware company
And manufacturer and distributor of consumer branded foods Goodman Fielder Ltd (ASX:GFF) has agreed to sell its commercial division edible fats and oil to Cargill for $240 million.
In the best and worst performers: The best performing sector today was the Telco Services index, which was up 7 points at 1,179. The worst performing by percentage points was the Energy index; which lost 212 points to 15,240.
The best performing stock in the S&P/ ASX200 was Independence Group, shares gained 4.74% to $4.64. Shares in Boart Longyear and Seek also improved.
The worst performing stock was Karoon Gas Australia; shares lost 8.57% to $7.68. Atlas Iron and Ausenco shares also closed lower today.
In commodities, gold is trading at $1,127.60 U.S an ounce and since this morning light crude is down 3 cents at $70.64 U.S a barrel.
