Metals and mining stocks are leading the retreat at midday with all sectors trading in the red. Weak commodity prices and the debt crisis in Europe continue to rattle investors.
The S&P/ASX200 index has lost 65 points and is 4,194. On the futures market the SPI is 52 points lower.
Economic news
The HIA Trades Report shows a modest surplus of skilled labour in the September quarter. The HIA Trade Availability Index registered +0.06 in the quarter, showing trades remained in moderate oversupply.
Company news
Both Centro Properties Group (ASX:CNP) and Centro Retail Group (ASX:CER) have been placed in a trading halt pending an announcement regarding the restructure proposal. The announcement is expected before Monday’s open. On October 5th the CNP Board unanimously recommended the restructure. The announcement comes just days ahead of a shareholder vote on the creation of Centro Retail Australia, which would form a new debt-free company worth more than $4 billion. Centro Properties Group shares are in a trading halt, last trading at $0.036.
Kathmandu Holdings Limited (ASX:KMD) reports sales have jumped 16 per cent in the first quarter. The outdoor clothing chain says sales grew to $42 million in the 15 weeks to November 13, compared with the prior corresponding period. The chief executive says that despite difficult trading conditions, sales have been in line with expectations. Kathmandu shares are flat, trading at $1.95.
Best and worst performers
All sectors are trading in the red. The sector with the smallest losses is Consumer Staples, falling 46 points to 7,626. Shares in Coca-Cola Amatil have firmed 0.08 per cent and are trading at $12.03. Foster’s shares are flat and Woolworths is trading lower.
The worst performing sector is Materials, retreating 255 points to 11,360. Shares in Lynas Corporation have fallen 2.41 per cent and are trading at $1.215. Shares in BHP Billiton and Rio Tinto are also weaker.
New Zealand
The NZSX50 is 21 points lower.
Taking a look at the top four stocks by turnover, Telecom Corporation of New Zealand is at the top of the list with stock losing 1.39 per cent to $2.49 followed by Fletcher Building, Westpac and AMP.
Gold and the dollar
Gold is trading at $US1,723 an ounce and the Australian dollar is buying $US1.0001.
