In the red: Aus shares 0.5% lower at noon

Market Reports

by Carolyn Herbert

It has been disappointing start to the trading session for the Australian share market following lack lustre leads from Wall Street, opening in the red and continuing to lose momentum in the first two hours of trade, tracking 0.5 per cent lower at noon. In terms of sector performance, the financials space is proving to be the biggest drag on the market, followed by losses in telcos and industrials. The energy space has rebounded from yesterday’s losses, but we’ve also seen some modest gains in REITs and consumer discretionaries.

The S&P/ASX 200 index is 30 points down at 5,927. On the futures market the SPI is 18 points lower.

Asian markets

Japan’s Nikkei has gained 0.7 per cent, Hong Kong’s Hang Seng has added 0.3 per cent and the Shanghai Composite has lost 0.3 per cent.

Economic news

The Reserve Bank of Australia will meet for its April board meeting this afternoon at 230pm. Once again interest rates are expected to remain on hold at a record low of 1.5 per cent.

Company news

Infigen Energy Limited (ASX:IFN) has announced the successful completion of the retail component of its 1 for 4.6 entitlement offer. Completion of the Retail entitlement represents the final stage of Infigen’s $151 million, fully underwritten capital raising announced at the start of April. The renewable energy company says together with cash reserves, the proceeds from the entitlement offer will be used to implement Infigen’s business strategy including developing wind and solar opportunities. Shares in Infigen Energy are trading down 1.57 per cent at $0.94.

Primary Health Care Limited (ASX:PRY) has announced it has appointed Dr Malcolm Parmenter as Managing Director and Chief Executive Officer effective from the start of September this year. In the meantime, Peter Gregg will continue in the role. Dr Parmenter, has degrees in medicine and surgery and was previously the CEO of Independent Practitioner Network Limited, owned by Sonic Healthcare. Shares in Primary Health Care are trading up 1.04 per cent at $3.40.

Best and worst performers

The best performing sector is REITs, gaining 0.4 per cent to 1,433. Shares in Charter Hall (ASX:CHC) have risen 1.13 per cent and trading at $5.79. Shares in Stockland (ASX:SGP) and Investa Office Fund (ASX:IOF) are also stronger.

The worst performing sector is Financials excluding REITs, falling 1.23 per cent to 7,762. Shares in ANZ (ASX:ANZ) have fallen 2.44 per cent, trading at $32.15. Shares in IRESS (ASX:IRE) and Genworth (ASX:GMA) are also lower.

IPOs

MobiliCom Limited (ASX:MOB) started trading today. The communications company floated with an issue price of $0.20, opened at $0.20 and is currently trading at $0.19.

Gold and the dollar

Gold is trading at $US1,257 an ounce and the Australian dollar is buying $US0.7542.




 

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