The Australian share market has closed lower today, weighed down by the miners and energy stocks on the back of weaker commodity prices and on fear for the global economic recovery following news of China’s plan to tighten monetary policy.
The S&P/ASX 200 Index finished 31 points lower at 4,868 while on the futures market, the SPI200’s down 39.
To company news around this afternoon: Beverage company Constellation Brands Inc (ASX:CBR) reported a $44 million dollar net income for the third quarter 2010, down 47% from the previous corresponding period. Net sales for the company fell 4% to just under $1billionUS dollars for the quarter, with the drop coming from the fall of its value spirits business and a dip in operating income from international business. On a comparable basis net income came in at $120 million, down a more modest 9% from the previous corresponding quarter. Constellation Brands shares are in a trading halt and last traded at $1.65.
Energy Resources of Australia (ASX:ERA) has released its quarterly report for December 2009. It reveals a 22% and 20% slump in the amount of material mined against Q4 2008 and Q3 2009 respectively. The uranium specialist attributed the decline to maintenance and safety work carried out on the south wall of the Ranger mine. The company reported a 71% drop in ore mined from Q3 2009 which is mainly due to the effect of mine sequencing around the removal of waste and ore. Energy Resources Australia shares are down 2.79% at $22.27.
Also making news: Hudson Investment Group Limited (ASX:HGL) has acquired an 18.2% stake in Archer Exploration Ltd (ASX:AXE) through its wholly owned subsidiary Raffles Equities.
Transport Logistics company K&S Corporation Limited has acquired the business and assets of Pacific Transport today.
Construction and engineering business Leighton Holdings Ltd (ASX:LEI) says its subsidiary John Holland has secured a 30 month mine operations contract worth around $260 million.
And Provider of services to the resources and energy sectors WorleyParsons Ltd (ASX:WOR) has issued an earnings downgrade today after experiencing significant weakness in its US operations. The company says it now expects net profit after tax for the 2010 financial year to be in the range of $280 million to $320 million.
In the best and worst performers: The best performing sector at close was the Telco Services index, which was up 8 points to 1,146. One of the worst performing by percentage points was the Energy index; which lost 267 points to 16,276.
The best performing stock in the S&P/ASX200 was Southern Cross. Shares rose 5.11% to $1.955. Shares in Linc Energy and Wotif.com Holdings also closed higher today.
The worst performing stock was WorleyParsons, shares lost 11.45% to $25.99. Medusa Mining and Iluka Resources shares also closed lower today.
In commodities, gold is trading at $1,130.25 U.S an ounce and light crude is down 75 cents at $80.04 U.S a barrel.
