Following mostly weak lead on Wall leads with 10-year Treasury note’s falling, and the US dollar sliding to its 2015 low, the Australian share market opened higher but quickly entered selling territory and is now about tracking 0.24 per cent lower at noon.
Crude Oil prices slightly fell overnight and the energy space is leading the decliners, while Financial stocks are being sold off with the likes of CBA (ASX:CBA) losing 0.6 per cent on the back of the APRA inquiry getting underway.
Only about two sectors are bucking the trend and trading higher with the likes of Utilies and Reits putting a cap of falls.
About 19 companies are also going ex-dividend today, which is also putting pressure on selling.
The S&P/ASX 200 index is 14 points down at 5,676.
On the futures market the SPI is 11 points lower.
Japan’s Nikkei has lost 0.29 per cent, Hong Kong’s Hang Seng has added 0.31 per cent and the Shanghai Composite has lifted by 0.19 per cent.
Local economic news
ABS reported month on month home loan (owner occupied) growth rose 2.9 per cent in July, beating the 1 per cent growth expected. Meantime, investment lending fell 3.9 per cent in July.
Syrah Resources (ASX:SYR) inked a sales agreement with a Chinese company, BTR, the world’s largest manufacturer and a leader of technology development in battery anode materials. The industrial mineral company signed the agreement with BTR New Energy Materials to supply 30,000 tonnes of graphite from its Balama operation in the first year of production. The companies will also work on a potential supply chain agreement. Shares in Syrah Resources (ASX:SYR) are trading 7.58 per cent higher at $3.55.
Asia Pacific Data Centre Group (ASX:AJD) is now recommending its shareholders accept NEXTDC (ASX:NXT) takeover offer of $1.87 cash per security in the absence of a superior proposal. NEXTDC’s offer is due to close on 15 September 2017 at 7.00pm. It comes as 360 Capital (ASX:TGP) did not submit an all-cash, fully funded takeover offer for $1.95 per APDC shares. Shares in Asia Pacific Data Centre Group (ASX:AJD) are 0.27 per cent lower at $1.88.
The best and worst performers
The best performing sector is Utilites, gaining 1.25 per cent to 8,417. Shares in AGL Energy Limited (ASX:AGL) have risen 2.22 per cent and trading at $24.81. Shares in APA Group (ASX:APA) and Spark Infrastructure Group (ASX:SPI) are also stronger.
The worst performing sector is Energy, falling 0.82 per cent to 9,202. Shares in Worleyparsons Limited (ASX:WOR) have fallen 2.61 per cent, trading at $13.43. Shares in Beach Energy Limited (ASX:BPT) and Santos Limited (ASX:STO) are also lower.
Commodities and the dollar
Gold is trading at $US1,349 an ounce and one Australian dollar is buying 80.58 US cents.