Following negative offshore leads the Australian share market plummeted at the open and stayed at this low for the rest of the day before closing 1.9 per cent down. Today, the S&P/ASX 200 index closed 79 points down to finish at 3,985. On the futures market, the SPI is currently 75 points down.
Economic newsThe Australian Bureau of Statistics: Business indicators for the March quarter showed company gross operating profits fell by 4.0 per cent.
The TD Securities and Melbourne Institute’s Inflation Gauge has come in steady for May, maintaining the 1.8 per cent annual rate of inflation.
ANZ Banking Group’s
(ASX:ANZ) Job advertisements series for May showed job vacancies fell by 2.4 per cent.
Company news Employment website SEEK Limited
(ASX:SEK) has maintained its full year earnings guidance. The company will also increase its debt facility headroom to around $145 million after announcing it will raise $125 million through the issuing of subordinated notes to eligible shareholders. SEEK's CFO John Armstrong says this will "further strengthen the company’s capital position" as it will be used to repay debt and fund investment. Shares in SEEK closed 4.91 per cent down at $6.39.
Gloucester Coal Limited
(ASX:GCL) shareholders, Treasurer Wayne Swan and the Australian Foreign Investment Review Board have all approved the miner's merger with China’s Yancoal Australia, creating the largest independently listed coal miner in the country. Gloucester chairman, and the future co-vice chair of the merged group, James Mackenzie told shareholders today that the merged entity planned to increase coal production from 12 million tonnes to between 25 and 33 million tonnes per annum by 2016. Shares in Gloucester Coal closed 1.75 per cent down at $6.75.
Pallet supplier Brambles Limited
(ASX:BXB) will not sell its data management business Recall, as no offers reflecting the true value of the business have been found. The company is now in a trading halt as it will commence capital raising.
BHP Billiton Limited's
(ASX:BHP) delay in approving the Olympic Dam open pit mine project will not force the miner to submit another environmental impact statement yet. The current environmental approvals the miner has been granted cover the project until October 2016.
Waste management firm Transpacific Industries Group Limited
(ASX:TPI) is carrying out due diligence on its rival Waste Management company Thiess which part of Leighton Holdings Limited
(ASX:LEI).
And Singapore Telecommunications Limited
(ASX:SGT) owned OPTUS, are progressing with their plan to build a nationwide 4G mobile network compiling a shortlist of equipment suppliers for the contract, which is speculated to be worth around $1 billion.
Best and worst performers The best performing sector, and the only major sector to rise, was Telco services adding 6 points to close at 1,254. The worst performing sector was Energy, losing 413 points to close at 12,084.
The best performing stock in the S&PASX 200 was OceanaGold Corporation
(ASX:OGC), rising 9.22 per cent to close at $1.96. Shares in Alacer Gold Corporation
(ASX:AQG) and Perseus Mining Limited
(ASX:PRU) also closed higher.
The worst performing stock was Dart Energy Limited
(ASX:DTE), dropping 12.02 per cent to close at $0.18. Shares in Aquarius Platinum Limited
(ASX:AQP) and Bathurst Resources Limited
(ASX:BTU) also closed lower.
CommoditiesGold is trading at $US1,624 an ounce. Light crude is $1.60 cents down at $US81.63 a barrel.
The Australian dollar The Australian dollar is buying 96.64 US cents.
