Despite slightly positive expectations from offshore leads, the Australian share market opened flat this morning.
The S&P/ASX200 index is down 18 points and is 4,666 at noon. On the futures market the SPI is down 21 points.
Economic news: company operating profits fell two per cent in the March quarter. Inventories rose 0.4 per cent, while seasonally adjusted estimates for wages and salaries increased by 1.4 per cent, according to Australian Bureau of Statistics (ABS) figures.
Looking at company news: Indian conglomerate, Reliance Industries, may submit an offer for Wesfarmers’ (ASX:WES) premier coal mine by the end of June. Sale terms haven’t been reported yet, but some media reports suggest a sale of Premier on reasonable terms would likely be a positive move for Wesfarmers’ credit profile. Shares in Wesfarmers are down 0.73 per cent at noon and are trading at $32.84.
Charter Hall Office REIT (ASX:CQO) investors may be called by US Hedge Fund Orange Capital, who is looking to remove the property trust’s management as the responsible entity. The AFR says Orange Capital has been trying to persuade Charter Hall Office to sell off its US assets. Shares in Charter Hall Office REIT are up 1.11 per cent at noon and are trading at $3.63.
To the best and worst performers: The best performing sector is Energy, up 5 points to 16,254. Shares in AWE Limited (ASX:AWE) have gained 1.41 per cent and are trading at $1.435. Shares in Oil Search Limited (ASX:OSH) and Santos Limited (ASX:STO) were also higher, at midday.
The worst performing sector is Financials excluding REITs, down 50 points to 4,972. Shares in QBE Insurance (ASX:QBE) are down 1.31 per cent to $17.27. Shares in Commonwealth Bank (ASX:CBA) and Westpac (ASX:WBC) are also lower at noon.
New Zealand: The NZSX50 is up 4. Taking a look at the top four stocks by turnover, Telecom Corporation of New Zealand is at the top of the list with stock up 1.05 at $2.39.5 followed by Fletcher Building, Guinness Peat Group and Westpac.
Gold is trading at $US1,536 an ounce and the Aussie dollar is buying US$1.0698.
