Aus shares flat
Following soft offshore leads, the Australian share market opened moderately higher and is flat at noon. The S&P/ASX 200 index is 5 points up at 4,441 On the futures market the SPI is 4 points higher.
Economic news
Australian Industry Group and Commonwealth Bank of Australia (ASX:CBA) have reported Australian services sector has contracted in April. The Performance of Services Index (PSI) dropped 7.4 points to 39.6. A read below 50 indicates contraction. The PSI was 47.0 in March.
Company news
Transfield Services Limited (ASX:TSE) has won a $800 million contract to maintain and operate Sydney harbour’s ferry services. The seven-year deal is a 50/50 joint venture between Transfield and Veolia Transdev and is subject to several conditions. Shares in Transfield Services are trading down 0.87 per cent at $2.29.
Asciano Limited (ASX:AIO) expects its second half earnings to be above last years. The forecast comes on the back of volume growth for its rail operations and logistics business, due to new contracts during the third quarter. Shares in Asciano are trading up 0.84 per cent at $4.79.
Best and worst performers
The best performing sector is Consumer Staples gaining 49 points to 7,836. Shares in Woolworths Limited (ASX:WOW) have risen 1.48 per cent and trading at $26.81. Shares in Graincorp and Coca-Cola Amatil are also stronger.
The worst performing sector is Utilities, falling 27 points to 4,771. Shares in Energy World Corporation Limited (ASX:EWC) have fallen 8.04 per cent, trading at $0.52. Shares in Envestra and SP AusNet are also lower.
Gold and the dollar
Gold is trading at $US1,652 an ounce.
The Australian dollar is buying $US1.0294.
