Following weak offshore leads, the Australian share market opened lower and has retreated in early trade as negative news from Greece burdens the market.
The S&P/ASX 200 index is 38 points down at 4,259. On the futures market the SPI is 26 points lower.
Economic news
The Australian Bureau of Statistics has reported on new motor vehicle sales for April. Sales of new motor vehicles dropped 0.7 per cent for the month to 89,261. However, in the year to date, new car sales rose 7.3 per cent.
Company news
Hastings Diversified Utilities Fund (ASX:HDF) has received a non-binding take-over offer from Pipeline Partners Australia Pty Ltd. The proposal includes $2.35 per share and is subject to conditions including due diligence. Hasting’s chief says the proposal is indicative and non-binding and no definitive agreement has been reached. Shares in Hastings are trading up 13.74 per cent at $2.40.
After addressing its annual general meeting today, Coca-Cola Amatil’s Limited (ASX:CCL) group managing director Terry Davis, has assured shareholders that the beverage company expects a higher underlying profit in the first half of its calendar year. Mr Davis said Coca-Cola is on track to generate 4 to 5 per cent growth in net profit for the first half of this year. Shares in Coca-Cola Amatil are trading up 2.2 per cent at $13.01.
Best and worst performers
The best performing sector is Telco Services gaining 23 points to 1,273. Shares in Telstra Corporation Limited (ASX:TLS) have risen 1.92 per cent and trading at $3.71. Shares in Amcom Telecommunications and TPG Telecom and are also stronger.
The worst performing sector is Materials, falling 270 points to 10,164. Shares in Aquarius Platinum Limited (ASX:AQP) have fallen 8.24 per cent, trading at $1.61. Shares in Silver Lake Resources and Fortescue Metals are also lower.
Gold and the dollar
Gold is trading at $US1,553 an ounce.
The Australian dollar is below parity, buying 99.59 US cents.
