The local share market has closed the session sharply lower despite earlier gains, with mining stocks and financials dragging the market down. Strong data on business investment also fuelled the prospect of another rate rise soon.
The S&P/ASX 200 Index finished 54 points lower at 4,594 while on the futures market, the SPI200 is down 67 points.
In economic news: Data released b the ABS today show that full time ordinary earnings increased 2% to a weekly average of $1226 for the December quarter.
To company news around this afternoon: Oil and gas explorer Origin Energy Ltd (ASX:ORG) today posted a first half profit of $371 million and also agrees to sell coal seam gas to BG Group. The half year profit came in below its result of $6.66 billion last year which benefited from the sale of gas acreage to ConocoPhillips. Underlying profit rose 28% to $355 million in the six months to December 31, 2009. CEO Grant King says the deal with British BG Group is small but important and says it expects to sell around 190 petajoules of gas over an initial ramp up period of two years under the agreement. Origin says it expects underlying profit for the full year to be around 15% higher than the year before. Origin declared an interim dividend of 25 cents a share. Shares in Origin Energy closed 1.79% lower at $16.50.
Transport and logistics provider Toll Holdings Ltd (ASX:TOL) has reported a worse than expected 32% fall in first half profit and says it expects a similar result for the second half of the year. Net profit after tax for the six months to December 2009 came to $107 million compared to $158 million for the first half of fiscal 2009. Revenue dropped 6% to $3.3 billion as the company’s major customers traded down on the previous year. Managing Director Paul Little says this has been one of the toughest trading environments for the logistics sector in many years. Toll declared an interim dividend of 11.5 cents a share and says it is well placed to take advantage of anticipated more buoyant economic levels. Shares in Toll Holdings closed 17.92% weaker at $7.10.
Also making news: Iron ore miner Oz Minerals Ltd (ASX:OZL) posted a loss of $512 million for the 2009 after informing the market in February that it expected to report a loss of between $500 and $520 million for the year.
Gaming machine operator Tatts Group Ltd (ASX:TTS) says it earned profit of $144.96 million for the six months to December 31, 2009 up 0.2% on the same time a year ago, and says it expects a stronger second half. Revenue rose 1.2% to $1.6 billion for the period, with the company declaring an interim dividend of 10 cents a share.
Insurance Australia Group Ltd (ASX:IAG) has reported a massive jump in profit for the half year and reaffirmed expectations for a higher full year insurance margin.
And MAp Airports Ltd (ASX:MAP), formerly Macquarie Airports, has reported a loss for 2009 but says it expects 2010 to be a year of continued recovery in the aviation sector.
In the best and worst performers: In a sea of red one of the only sectors to close in positive territory today was the Telco Services index, up 14 points at 1,033. The worst performing sector at close was the Industrials index which closed 99 points lower at 3,837.
The best performing stock in the S&P/ASX200 was IOOF Holdings, shares gained 7.53% to $6. Shares in Transpacific Industries Group and FKP Property Group also improved.
The worst performing stock was Toll Holdings, its price as mentioned before. Kagara and Riversdale Mining shares also closed lower today.
In commodities, gold is trading at $1,091.20 U.S an ounce and light crude is down 32 cents at $79.68 U.S a barrel.
