Easter exit: Aus shares 0.86% lower at noon

Australian investors are taking their profits ahead of the Easter long weekend, with the local bourse opening in the red and losing momentum in the first two hours of trade, tracking 0.86 per cent lower at noon. While most sectors are in the red, we’ve seen some small gains in REITs and Utilities which are both up about 0.4 per cent. However a sell-off in the materials space has driven the index into the red, with the likes of BHP Billiton (ASX:BHP) retreating more than 3.5 per cent and Fortescue (ASX:FMG) shedding more than 7 per cent. The Energy and Telcos sectors are also continuing to suffer.

The S&P/ASX 200 index is 51 points down at 5,883. On the futures market the SPI is 52 points lower.

Asian markets

Japan’s Nikkei is 1.03 per cent lower, Hong Kong’s Hang Seng is down 0.4 per cent and the Shanghai Composite is down 0.1 per cent.

Economic news

Unemployment for March has remained steady at 5.9 per cent, according to latest figures from the Australian Bureau of Statistics. Total employment growth over the year was 1.0 per cent, just over half the average growth rate of the past 20 years.

Company news

Transurban Limited (ASX:TCL) has released its figures for the March quarter, saying daily traffic increased 5.3 per cent, thanks to growth in the Brisbane and Washington toll road network. Toll revenue also increased 11.3 per cent to $502 million compared to the same time last year. Revenue from Brisbane was the highest, followed by Washington and Sydney. Shares in TCL are trading up 0.84 per cent at $12.06.

Fortescue Metals Group (ASX:FMG) has released its March quarterly production results, reporting shipments of 39.6 million tonnes of iron ore. Cash production costs came in at $13.06 per wet metric tonne, which was a 12 per cent improvement on the previous corresponding period. Over the quarter the iron ore miner also repaid a further US$1 billion of debt. Shares in Fortescue are trading down 6.69 per cent at $5.50.

Best and worst performers

The best performing sector is Utilities, gaining 0.3 per cent to 8,937. Shares in Spark Infrastructure (ASX:SKI) have risen 1.04 per cent and trading at $2.44. Shares in APA Group (ASX:APA) and AGL Energy (ASX:AGL) are also stronger.

The worst performing sector is Materials, falling 2.86 per cent to 9,875. Shares in Bluescope Steel (ASX:BSL) have fallen 7.53 per cent, trading at $11.42. Shares in Mineral Resources (ASX:MIN) and Fortescue Metals (ASX:FMG) are also lower.

Gold and the dollar

Gold is trading at $US1,288 an ounce and the Australian dollar is buying $US0.7555.