The local share market has closed slightly lower this afternoon unable to hold onto gains made earlier in the session with investors cautious ahead of a Federal Reserve meeting tonight and what insight it may provide into the state of the US economy.
The S&P/ASX 200 Index is down 14 points to finish at 4,618. On the futures market, the SPI200 is down 3 points.
In economic news: The RBA has again hinted at a possible rate rise as early as October. In the minutes from its September 3 board meeting the central bank expressed concern that a booming mining industry could put pressure on inflation. Yesterday RBA Governor Glenn Stevens said the central bank would use monetary policy to keep in check a robust economic upswing.
To company news: ANZ Banking Group Ltd (ASX:ANZ) is to begin operating in China from October the 1st after receiving the thumbs up from regulators. ANZ Bank China Company, a wholly owned subsidiary of ANZ, has received final regulatory approval from the China Banking Regulatory Commission to commence operations in the country. ANZ says it has made an initial investment of $400 million in ANZ China, and plans to establish up to 20 outlets in China over the next three years. Shares in ANZ closed 0.67% weaker at $23.80.
AMP Ltd (ASX:AMP) CEO Craig Dunn says mergers are not a “must-do” for the company. Mr Dunn told investors at a presentation, that acquisitions must meet strict strategic, economic and risk criteria. The comments come after the Australian Competition and Consumer Commission opened the door for the wealth manager to make a revised offer for AXA Asia Pacific Holdings Ltd (ASX:AXA). NAB Ltd (ASX:NAB) let go of its $13.3 billion takeover bid for AXA Asia Pacific after again being rebuffed by the ACCC. Shares in AMP closed 1.91% stronger at $5.09 today.
Also making news: Bow Energy Ltd (ASX:BOW) says it has terminated discussions with Liquefied Natural Gas Ltd (ASX:LNG) regarding gas supply and partner options for LNG’s Fisherman’s Landing project in Queensland.
Alinta Energy (ASX:AEJ) came out of a trading halt today saying it had reached an understanding with its lenders on a proposed plan for the company to resolve its debt issues. Alinta will sell its operating assets, except for its Redbank and Oakey power stations, to its lenders in exchange for being released from its $2.8 billion debt burden.
New Hope Corporation Ltd (ASX:NHC) reported a full year profit within guidance reporting record coal output and exports for the 12 months.
And Centennial Coal Company Ltd (ASX:CEY) says Banpu Public Company has received approval from the Foreign Investment Review Board for its $2.4 billion takeover offer for Centennial.
In the best and worst performers: The best performing sector at close was Real Estate Investment Trusts with the index up 3 points to 887. The worst performing sector was Telco Services with the index down 17 points to 937.
The best performing stock in the S&P/ ASX200 was Ausenco shares were 4.94% higher at $2.76. Shares in SMS Management and Technology and IRESS Market Technology also closed higher.
The worst performing stock was TPG Telecom with shares falling 9.81% to close at $1.70. Shares in Lynas Corp and iSOFT Group closed weaker today.
In commodities, gold is trading at $1278 US an ounce. And light crude is down $0.67 at $74.19 US a barrel.
