Further falls: Aus shares 0.52% lower at noon

Market Reports

by Carolyn Herbert

Despite a rebound in US markets overnight, the Australian share market has seen continued selling, once again falling into negative territory at the open and now tracking 0.52 per cent lower at noon. The Financials space is proving to be the biggest drag on the market so far with losses in all of the big four banks, in particular ANZ (ASX:ANZ) which is down around 1.5 per cent. The Materials space is bucking the trend today, with gains of over 1 per cent in Rio Tinto (ASX:RIO) and 0.6 per cent in BHP Billiton (ASX:BHP).

The S&P/ASX 200 index is 30 points down at 5,708. On the futures market the SPI is 11 points lower.

Asian markets

Checking in with how Asian markets are tracking now, Japan’s Nikkei has lost 0.03 per cent, Hong Kong’s Hang Seng has added 0.2 per cent and the Shanghai Composite has gained 0.03 per cent.

Company news

Computershare Limited (ASX:CPU) has addressed media reports in India that it is considering a potential sale of its 50 per cent interest in Karvy Computershare. The share registry says while it has held discussions with a number of interested parties, there is no certainty that a transaction will eventuate. Shares in Computershare are trading up 0.14 per cent at $14.39.

AusCann Limited (ASX:AC8) has raised $12 million in a placement to institutional and high net worth investors. Under the offer, 24 million shares were issued at $0.50 each; a 16 per cent discount to the five day VWAP. The medicinal cannabis company says the funds will be put towards the development of cultivation, accelerating its medical outreach program. Shares in AusCann are trading down 0.86 per cent at $0.58.

Best and worst performers

The best performing sector is Materials, gaining 0.5 per cent to 9,702. Shares in Orocobre (ASX:ORE) have risen 5.07 per cent and trading at $3.52. Shares in Sims Metal Management (ASX:SGM) and Syrah Resources (ASX:SYR) are also stronger.

The worst performing sector is Financials excluding REITS, falling 1.2 per cent to 7,127. Shares in Eclipx Group (ASX:ECX) have fallen 3.93 per cent, trading at $3.67. Shares in IRESS (ASX:IRE) and ANZ (ASX:ANZ) are also lower.

Gold and the dollar

Gold is trading at $US1,251 an ounce and the Australian dollar is buying $US0.7415.


Carolyn Herbert

Finance News Network
Carolyn joined FNN in August 2015 as the Head of News and also presented the Market at Midday and the Market Wrap. With more than five years of broadcast journalism experience, Carolyn has worked as a finance anchor on the Sky News Business channel and as an anchor and reporter for ABC News. She is also a qualified corporate lawyer specialising in IPOs, takeovers and mergers and acquisitions.