The Australian share market is steady at noon. Despite generally positive overseas leads, the worsening crisis in Queensland continues to weigh on the market, with speculation the state’s flooding crisis could cut GDP by near $13 billion.
The S&P/ASX200 index has lost 3 points and is 4,708 at noon. On the futures market the SPI is 9 points lower.
Company news: Transport company Asciano Group (ASX:AIO) says customers of its wholly owned subsidiary Pacific National have issued force majeure notices under their coal haulage contracts as the extreme rainfall across Queensland continues to affect coal rail networks. Asciano forecasts growth in revenues for the Pacific National coal division to be impacted, but it is unable to make a full assessment until the severe weather conditions subside. More details are expected at the company’s half year results presentation on 23 February. Shares in Asciano Group have fallen 1.62 per cent at noon and are trading at $1.515.
The Reject Shop Ltd (ASX:TRS) has also joined the list of companies impacted by the floods, placing its shares into a trading halt in order to assess the damage. The discount retailer says its operations will be adversely affected by the floods, particularly its Ipswich-based distribution centre which services 90 of the company’s 211 stores. The Reject Shop says a trading halt of no more than 48 hours will allow it enough time to assess the impact, after which it will provide an update to the market. Shares in The Reject Shop last traded at $13.08.
Market indices: The best performing sector is Materials with the index lifting 141 points to 13,959. Shares in St Barbara have lifted 5.01 per cent to $1.885. Shares in Atlas Iron and Fortescue Metals Group have also lifted at noon. The worst performing sector at midday is Utilities losing 39 points to 4,377. Shares in Viri-dis Clean Energy Group have eased 6.67 per cent and are $0.014. Shares in SP AusNet and Australian Power and Gas Company have also dropped at midday.
To New Zealand: The NZSX50 has gained 5 points at noon. Taking a look at the top 4 stocks by turnover, Telecom Corporation of New Zealand is at the top of the list with stock 0.45 per cent higher at $2.21; followed Fletcher Building, Westpac and ANZ.
To gold and the dollar: Gold is trading at $US1,383 an ounce and the Aussie dollar is buying 98.42 US cents.
