A weaker finish today for the Australian share market after the Easter long weekend. Despite a positive lead from the US, the market dragged down on weakness in materials and consumer staples. All sectors closed in the red. The S&P/ASX200 Index was down by 41 points to close at 4,873. On the futures market, the SPI was down by 43 points.
In economic news, Australia’s consumer prices hit an almost five-year high last quarter. The annual pace of inflation picked up, reaching 3.3 per cent, from 2.7 per cent the previous quarter.
In company news, Production levels at Macarthur Coal Limited (ASX:MCC) have dropped 56 per cent during the quarter ending March 31. The company said the significant drop was due to continuing wet weather at its mines in Queensland, which had pushed the total coal sales well below expectations. Macarthur declared force majeure on deliveries from its Coppabella and Moorvale mines on December 3, which still remains in place on the two mines that produce 2.4 million tonnes per annum of coking coal. Macarthur Coal shares were down by 2.2 per cent today, to close at $11.91.
Leighton Group’s (ASX:LEI) 45 per cent owned associate, Al Habtoor, has secured two new projects in Abu Dhabi worth more than $600million. Headquartered in the Middle East, the Al Habtoor Leighton Group has been awarded the building and services project for the Abu Dhabi Company for Onshore Oil Operation (ADCO). The project will include facilities including a sport centre, clinic, and workshops, as well as external works like hard and soft landscaping, side-walks and roadworks. Leighton Group shares were up by 0.93 per cent to close at $25.08.
Origin Energy (ASX:ORG) shares have jumped after news broke of its multi-billion dollar liquefied natural gas deal with China Petrochemical Corporation last week. Shares were up 65 at midday today, after 2.6 million shares changed hands.
Caltex (ASX:CTX) stocks were up 4 per cent this morning after the long weekend, and in the wake of great support from analysts after the company reported a $77 million first quarter profit last Thursday.
Foster’s Group Limited (ASX:FGL) has faced its first executive demerger hurdle, after reports the proposed appointment of Peter Hearl as a non-executive director at Treasury Wines Estates cannot proceed, because of a conflict of interest.
WorleyParsons (ASX:WOR) has won a $250 million deal with Fortescue Metals to provide engineering services.
The best performing sector was Utilities, by three points to close at 4,338. The worst performing sector was Materials, which was down by 231 points to close at 14,211. The best performing stock in the S&P/ASX200 was Cudeco with shares rising 18.12 per cent to close at $3.65. Shares in Equinox and Sims also closed in positive territory. The worst performing stock was Hastie Group, shedding 14.58 per cent to close at $0.205. Shares in Lynas and Canarvon also closed weaker today.
In commodities, gold is trading at $US1,508 an ounce and Light crude is steady at US$112.21 a barrel.
