The Australian share market has taken a backward turn this morning, dropping at the open and losing momentum in the first two hours of trade, falling 0.53 per cent at noon. Materials is proving to be the biggest drag on the market so far, following softness in commodity prices overnight. Energy and Utilities have also experienced some modest selling. On the flip side, Industrials are performing the best, followed by gains in Consumer Discretionaries.
The S&P/ASX 200 index is 30 points down at 5,743. On the futures market the SPI is 34 points lower.
Asian marketsChecking in with how Asian markets are tracking now, Japan’s Nikkei has added 0.3 per cent, Hong Kong’s Hang Seng has added 0.5 per cent and the Shanghai Composite has gained 0.1 per cent.
Economic newsThe Australian Bureau of Statistics shows dwellings approvals rose 0.1 per cent in June 2017, in trend terms, after falling for three months. In seasonally adjusted terms, dwelling approvals increased by 10.9 per cent in June.
Company newsResmed Limited
(ASX:RMD) has announced a 7 per cent increase in revenue to $556.7 million for the fourth quarter of FY17. The sleep apnoea treatment company says operating cash flow came in at $140.3 million and income from operations amounted to $127.4 million. The quarterly dividend increased by 6 per cent to $0.35 per share. Shares in Resmed are trading down 5.38 per cent at $9.14.
Downer EDI Limited
(ASX:DOW) has announced that it has increased its stake in Spotless Group
(ASX:SPO) to 84.8 per cent. The company has urged any remaining Spotless shareholders to accept its takeover offer, saying that those who don’t will remain minority shareholders in Spotless. It says there are a number of risks associated in remaining a minority shareholder, the biggest one being if Spotless Group is de-listed from the ASX. Shares in Downer EDI are trading up 0.53 per cent at $6.70.
Best and worst performersThe best performing sector is Industrials, gaining 0.5 per cent to 5,602. Shares in Qantas
(ASX:QAN) have risen 2.5 per cent and trading at $5.53. Shares in Seek
(ASX:SEK) and Cleanaway Waste
(ASX:CWY) are also stronger.
The worst performing sector is Materials, falling 0.9 per cent to 10,133. Shares in Syrah Resources
(ASX:SYR) have fallen 4.98 per cent, trading at $2.67. Shares in Fortescue Metals
(ASX:FMG) and Oz Minerals
(ASX:OZL) are also lower.
IPOsNusantara Resources Limited
(ASX:NUS) started trading today. The mineral exploration company floated with an issue price of $0.42, opened at $0.45 and is currently trading at $0.45.
Commodities and the dollarGold is trading at $US1,267 an ounce and the Australian dollar is buying $US0.7944.
