The Australian share market is 1 point up after receiving mixed leads from offshore trading overnight. In the US overnight, stocks closed mixed with Europe debt concerns continuing and a weaker-than-expected consumer price data. Shares in David Jones have risen by 2.9 per cent after the company posted a rise in first quarter sales. Shares in AXA and AMP are also higher after AXA announced its board unanimously backed AMP’s $14 billion takeover bid.
The S&P/ASX200 index is 1 point higher at 4,626 and on the futures market the SPI200 is up 4 points.
Qantas Airways Ltd (ASX:QAN) may keep its fleet of Airbus A380’s grounded until at least early December as the airliner continues to work on problems with Rolls Royce engines. The Australian Financial Review reported that Qantas needs to make modifications to its existing engines before putting them back in service on its A380’s. The carrier is also looking for replacement engines. On November 4, a Qantas A380 made an emergency landing in Singapore after one of its Rolls Royce engines exploded mid-air. The company’s six A380s have been grounded ever since. Shares in Qantas are trading 0.37 per cent lower at $2.66.
Engineering contractor WorleyParson Ltd (ASX:WOR) is eyeing a bid for Scottish contracting company Production Services Network (PSN) in a deal that may be worth up to $800 million. Worley is expected to face fierce competition from another Scottish player, John Wood Group, who is also in the running to acquire the privately owned PSN. A spokesperson for Worley has declined to make any specific comment but said the company frequently assesses acquisition opportunities. Shares in WorleyParsons are trading 1 per cent higher at $26.16
Turning to market indices: The best sector is Healthcare, with the index up 79 points to 8,462. Shares in Avexa are up 4 per cent at 5.2 cents. Shares in Sonic Healthcare and Primary Healthcare are also higher. The worst performing sector at midday is Utilities with the index down 28 points to 4,496. DUET Group is down 2.27 per cent $1.72. Hastings Diversified Utilities Fund and Energy World Corporation and are also lower at midday.
To New Zealand: the NZSX50 is 2 points lower. Taking a look at the top four stocks by turnover, Telecom of New Zealand is at the top of the list with stock 0.47 per cent higher at $2.12; followed by ANZ Banking Group, Fletcher Building and Vital Healthcare.
Gold and the dollar: Gold is trading at $US1,343 an ounce and the Aussie dollar is buying 98.17 US cents.
