The Australian share market is 0.7 per cent lower at noon, hitting a three week low. All sectors are trading in the red, with energy and mining stock dragging on concerns over political tensions in Libya. The banks and insurers are also feeling the pressure after New Zealand's latest earthquake. While at home mixed earnings reports have pulled on sentiment.
The S&P/ASX200 index has dropped 39 points and is 4,807 at noon. On the futures market the SPI down 35 points.
Company news: Shares in Origin Energy Ltd (ASX:ORG) have fallen, after the company announced a first half loss and downgraded its full year earnings guidance as it gears up to issue new shares to party fund its $3.25 billion Australian power asset purchase. In the six months to 31 December, Origin booked a net loss of $136 million, down from a profit of $371 million achieved a year earlier. The interim result was weighed down by $164 million in costs related to Origins power asset acquisition, in addition to a $154 million impairment charge related to its investments in the Innamincka Deeps Joint Venture and Geodynamics Ltd. Origin says these losses do not reflect its underlying performance and expects full year underlying profit to grow between 10 to 15 per cent. Shares in Origin Energy have sagged 5.16 per cent and are trading at $15.63 at noon.
Shares in Aristocrat Leisure Ltd (ASX:ALL) have lifted after the gaming machine operator posted a turnaround profit for the full 2010 financial year. Aristocrat recorded a net profit of $77.19 million in 2010, rebounding from a loss of $157.8 million the year before. The company says operational performance in the year was mixed, with an encouraging performance in North America and strong results in the Asia Pacific and Europe offset by weaker earnings in Australia and Japan. An unfranked dividend of 1.5 cents per share has been declared. Shares in Aristocrat Leisure have risen 0.63 per cent and are trading at $3.18 at noon.
To the best and worst performers and all are in the red: The sector with the smallest losses is Consumer Staples, easing 33 points to 7,742. Shares in Coca-Cola Amatil are 2.48 per cent higher and are $11.97. Shares in Goodman Fielder and Foster’s Group have also firmed at midday. The worst performing sector is Energy, falling 236 points to 16,050. Shares in Origin Energy have fallen 5.16 per cent to $15.63 at noon. Shares Whitehaven Coal and AWE have also dipped at midday.
To New Zealand: The NZSX50 has fallen 7 point. Taking a look at the top 4 stocks by turnover, Telecom Corporation of New Zealand is at the top of the list with stock down 1.85 per cent at $2.12 followed by Fletcher Building, ANZ and Ryman Healthcare.
To gold and the dollar: Gold is trading at $US1413 an ounce and the Aussie dollar is buying $1.0041 US cents.
