The Australian market looks to open weaker today, following Wall St falling to its second day of losses amid mounting conflict in the oil-exporting nation of Libya. The price of oil continued to soar, climbing over 4 per cent to $US100 a barrel for the first time since October 2008.
In US economic news: The National Association of Realtors reported that sales of existing homes increased 2.7 per cent in January to an annual rate of 5.36 million units, representing the third consecutive month of gains. In the same period the median home price declined 3 per cent to $158,000.
On Wednesday, Dow Jones Industrial Average, dropped 107 points to 12,106, S&P500 slipped 8 points to close 1,307 and the NASDAQ fell 33 points to close 2,723.
European stocks closed lower: London’s FTSE down 73 points, Paris down 37 and Frankfurt down 124.
To Asian markets and stocks closed mixed: Hong Kong’s Hang Seng was down 84, Tokyo Nikkei was down 86 and China’s Shanghai Composite was up 7 points.
The Australian share market finished slightly lower on Wednesday. The S&P/ASX 200 Index eased 11 points to close at 4,846 and on the futures market the SPI is down 23 points.
Turning to currencies and the Australian Dollar at 8:40AM was buying $1.0022 US cents, 61.83 Pence Sterling, 82.69 Yen and 72.92 Euro cents.
In economic news: Due out today is the Australian Bureau of Statistics private new capital expenditure and expected expenditure for the December quarter and also from the ABS, average weekly time earnings for three months to November 2010.
Company news: Yesterday shares in Ten Network Holdings Ltd (ASX:TEN) fell 3.38 per cent to close at $1.28. Ten Network’s non-executive director Lachlan Murdoch will step into run the company as CEO, replacing Grant Blackley after only two months in the position. Ten has also announced that it will conduct an immediate strategic review of its operations, after downgrading its first half earnings guidance. The company now expects to post first half EBITDA of $103 million, under the $117 million achieved in the prior corresponding half. In the 2010 financial year Ten Network reported a net profit of $150 million.
On Wednesday shares in Rio Tinto Ltd (ASX:RIO) dipped 0.16 per cent to close at $84.96. Rio Tinto has received a $340 million binding offer from Imerys to acquire its talc business and has agreed on a period of exclusivity with the French mineral conglomerate. Also, in an update to its Simandou iron ore project in Guinea, Rio advises that it has been given a three month extension before it is forced to give up its rights to part of the concession. The extension comes amid a dispute with the West African nation, and Rio says will enable both parties to continue discussions aimed at resolving matters. Rio Tinto reported a net profit of $14.9 billion in the 2010 financial year.
Ex-dividends: Four companies are going ex-dividend today and they are Country Road with a $0.06 cent fully franked dividend, Premium Investors with a $0.04 cent fully franked dividend, SMS Management and Technology with a $0.14 cent fully franked dividend and Woodside Petroleum with a $0.54 cent fully franked dividend. Among those coming up tomorrow are Austin Engineering, Coal and Allied Industries and Emeco Holdings.
Commodities: Gold is up $12.90 to $US1,414 an ounce for the April contract on Comex, silver is up $0.44 to $33.30 for March and copper is down $0.07 at $4.28 a pound. Oil is up $2.68 at $98.10 a barrel for April light crude in New York.
