The local share market is modestly higher at midday with positive economic news out of the US overnight giving the local market something to cheer about, however weaker metals prices are hampering gains.
The S&P/ASX200 index is up 8 points at 4,590 and on the futures market, the SPI200 is up 6.
To company news: Virgin Blue Holdings Ltd (ASX:VBA) has received another blow following news this morning that the Australian Competition and Consumer Commission has decided to block a proposed alliance between the airline and Air New Zealand. The watchdog released a draft determination today saying it intends to deny the proposed collaboration between the two airlines on flights between Australia and New Zealand. The ACCC says the tie-up would likely reduce competition in the market for trans-Tasman air passenger services. Just yesterday the US Transportation Department said it would block Virgin Blue’s planned hook up with Delta Air Lines. Shares in Virgin Blue Holdings are 8.14% lower at $0.395.
Food and retail franchise owner Allied Brands Ltd (ASX:ABQ) has placed its shares in a trading halt as it awaits the outcome of a dispute with one of its franchises. The company says it has requested the halt pending an announcement regarding a dispute involving its Master Franchise Agreement with Dunkin Brands LLC in relationship to Baskin Robbins. The trading halt is to remain in place until the start of trade next Tuesday or an announcement is made. Shares in Allied Brands last traded at 2.7 cents.
Turning now to market indices: The best performing sector at midday is the Financials excluding Real Estate Investment Trusts, with the index up 26 points to 5,121. Shares in Lend Lease are up 3.17% to $7.49. Shares in Australand Property Group and Westpac are also higher.
The worst performing sector at midday is the Health Care sector, with the index down 66 points to 8,232. Shares in Sonic Healthcare dropped 1.59% to $11.12. Shares in CSL and Cochlear also lower at midday.
To New Zealand now and the NZSX50 is 7 points higher. Taking a look at the top 4 stocks by turnover: Topping the list is Telecom of New Zealand with stock up 0.99% at $2.04 followed by; Telstra, Fletcher Building, and Fisher and Paykel Appliances.
To gold and the dollar: Gold is trading at $1245 US an ounce and the Aussie dollar is trading at 92.28 US cents.
