In the red: Aus shares 0.52% lower at noon

Market Reports

by Carolyn Herbert

Following mixed leads from Wall Street, the Australian share market fell at the open and has struggled for direction in the first two hours of trade, tracking 0.52 per cent lower at noon. While most sectors are in the red, Utilities are proving to be the biggest weight on the index followed by losses in Consumer Discretionaries and Consumer Staples. Only two sectors are in the black, that is the Financials space and REITs.

The S&P/ASX 200 index is 30 points down at 5,690. On the futures market the SPI is 29 points lower.

Asian markets

Checking in with how Asian markets are tracking now, Japan’s Nikkei has added 0.42 per cent, Hong Kong’s Hang Seng has added 0.11 per cent and the Shanghai Composite has lost 0.22 per cent.

Economic news

The Australian Bureau of Statistics has released the latest Census data for 2016 with the Australian population reaching around 23.4 million people. There are more women in the country than men and more and more people are giving up on religion. Australians are also living longer, with one in six over the age of 65.

Company news

Downer EDI Limited (ASX:DOW) says its stake in Spotless Group is now 49.06 per cent and is encouraging Spotless shareholders to accept its looming takeover offer. Downer is offering $1.15 per Spotless share which it says it at a material premium to the company’s trading levels and there will be no superior proposals. Spotless Group has continued to tell its shareholders to refuse the offer. Shares in Downer EDI are trading up 0.24 per cent at $6.21.

Pilbara Minerals Limited (ASX:PLS) has welcomed an investment by Australia’s Clean Energy Finance Corporation as part of the funding package for its Pilgangoora Lithium Tantalum project in Western Australia. The CEFC was established to provide an increased flow of funds for the commercialisation of Australian based renewable energy technologies. Full scale site construction at the $234 million Pilgangoora project is about to commence. Shares in Pilbara Minerals are trading up 1.39 per cent at $0.36.

Best and worst performers

The best performing sector is Financials, gaining 0.03 per cent to 6,369. Shares in Janus Henderson (ASX:JHG) have risen 1.35 per cent and trading at $44.27. Shares in Commonwealth Bank (ASX:CBA) and ANZ (ASX:ANZ) are also stronger.

The worst performing sector is Utilities, falling 1.65 per cent to 8,844. Shares in APA Group (ASX:APA) have fallen 2.38 per cent, trading at $9.43. Shares in AGL Limited (ASX:AGL) and Austnet Services (ASX:AST) are also lower.

Gold and the dollar

Gold is trading at $US1,243 an ounce and the Australian dollar is buying $US0.7581.



 

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