The Australian share market is in the red at noon, following strong negative overseas leads. Local shares slid 0.6 per cent on concerns over conflict in the Korean peninsula and European sovereign debt. Financial and resource stocks are lower, with the big four banks losing ground.
The S&P/ASX200 index is points 30 weaker at 4,559 and on the futures market the SPI200 is down 36 points.
Company news: Japanese public broadcaster NHK has reported that trading house Sojitz Corporation has struck a $300 million deal with Lynas Corporation Ltd (ASX:LYC) for the supply of rare earths. Sojitz has secured the right to purchase around 8,500 tonnes of rare earth metals from Lynas for the next 10 years. Analysts say the amount purchased equates to almost 30 per cent of annual demand in Japan. Shares in Lynas Corporation are 2.89 per cent firmer at $1.425 at midday.
The Australian has reported that Lachlan Murdoch has paid $128.2 million for half of James Packer's 17.9 per cent interest in Ten Network Holdings Ltd (ASX:TEN). Mr Murdoch’s purchase brings his stake to around 8.9 per cent. The investment comes one month after Mr Packer bought his stake for $280 million. Just yesterday Australia’s wealthiest woman, Gina Rinehart, secured a 10 per cent stake in the network. Shares in Ten Network Holdings have slipped 2.82 per cent to $1.55 at noon.
Turning to market indices: The best sector is Telco Services, with the index up 4 points to 951. Shares in Hutchison Telecommunications are up 5 per cent at $0.105 Shares in Telstra and iiNet are also higher. The worst performing sector at midday is Consumer Discretionary with the index down 17 points to 1,499. APN News and Media is down 3.92 per cent at $1.84. Ten Network Holdings and Harvey Norman Holdings are also lower at midday.
To New Zealand: The NZSX50 is down 11 points. Taking a look at the top 4 stocks by turnover, Telecom Corporation of New Zealand is at the top of the list with stock down 1.84 per cent to $2.13; followed by Westpac, Fletcher Building and ANZ.
To gold and the dollar: Gold is trading at $US1,374 an ounce and the Aussie dollar is buying 97.48 US cents.
