The Aussie sharemarket is down 0.14 per cent at midday despite strong overseas leads.
The S&P/ASX 200 index has lost six points and is 4,210. On the futures market the SPI is 5 points lower.
Economic news
The Westpac Melbourne Institute index of consumer sentiment shows a 2.4 per cent lift to 97.1 in January, from 94.7 in December 2011.
The ABS says sales of new motor vehicles in Australia fell 2.9 per cent in December, to 84,403, compared with 86,948 units in November.
Company news David Jones Limited
(ASX:DJS) is opening a new store at the Indooroopilly Shopping Centre in Brisbane and says it’s going to generate more than $40 million in sales a year. Chief executive Paul Zahra says it will be the sixth highest value store in its pipeline after Highpoint in Victoria and Macquarie in NSW. In a statement, the department store says it expects growth in the south west corridor of Brisbane to continue at a rate of 5.6 per cent a year, reasoning why it chose the centre. Shares in David Jones are trading 1.29 per cent higher at $2.35.
Wesfarmers Limited
(ASX:WES) has joined the list of companies hit by natural disasters – it’s expecting a 74 per cent drop in first-half earnings from its insurance division, including the Lumley Insurance and WFI brands. The company says estimated net claims from bushfires in Western Australia, the earthquake in Christchurch on December 23 and the storms in Melbourne on Christmas day will be $28 million over its allowances. Shares in Wesfarmers Limited
(ASX:WES) are trading 0.07 per cent higher at $30.57.
Best and worst performers
Materials leading the gains up 54 points to 11,290. Shares in Lynas has risen 4.93 per cent, trading at $1.065 cents. Shares in Bluescope and Fortescue are also stronger.
The worst performing sector is real estate investment trusts, it’s down eight points to 828. Shares in Dexus have pulled back 1.1 per cent and are trading at 90 cents. Shares in Investa and Westfield are lower.
New Zealand
The NZSX50 is 10 points stronger. Telecom Corporation of New Zealand is at the top of the list with the highest turnover, up 1.75 per cent at $2.03.5 followed by Heartland, Chorus and Guinness Peat.
Gold and the dollar
Gold is trading at $US1,653 an ounce and the Australian dollar is buying $US1.0388.
