Following negative offshore leads, the Australian share market opened lower and traded within a 25 point range before closing flat with investors awaiting a federal reserve verdict on further monetary easing out of the US. Over the week the market fell 33 points as global growth concerns and falling iron ore prices took their toll.
Today, the S&P/ASX 200 index closed steady, gaining 0.40 to finish at 4,316. On the futures market, the SPI is 3 points higher.
Wall Street ended the trading week lower: The Dow Jones Industrial Average lost 57 points. The S&P 500 Index dropped 3, the Nasdaq lost 5 and the 100 Index shed 8 points.
Economic news
The RBA today released financial aggregates for July, recording a 0.2 per cent rise in private borrowing and a 4.2 per cent lift on total credit for the month. Housing credit was consistent with a 0.3 per cent increase as was also recorded in June, while other personal borrowing fell by 0.3 per cent. Business credit has grown 4.2 per cent in the year to July.
National Australia Bank released its index of online sales for July, revealing a 5.8 per cent increase from June, a 25.4 per cent annual growth and a total value of $11.7 billion for Australian online sales.
Company news
Qantas Airways Limited (ASX:QAN) is reportedly leaning towards a codeshare agreement with the Dubai based Emirates airline. The agreement would offer Qantas passengers access to Emirates’ European destinations as well as establishing a service to Dubai and stemming losses from some of Qantas’ European routes, according to reports. Analysts anticipate that the deal would negate the advantages of Virgin Australia’s allegiance with Abu Dhabi’s Etihad airlines. Shares in Qantas closed 0.86 per cent down at $1.15.
APN News and Media Limited (ASX:APN) shares tumbled today on the back of Chief financial officer Peter Myers stepping down. The media company has instilled chief financial controller Jeff Howard to cover Mr Myers responsibilities as the former CFO moved on to pursue other interests after a decade with APN.
Earlier this month APN widened its half year net loss by 225 per cent and anticipates tougher times ahead due to decreasing publishing revenues. Shares in APN closed 26.92 per cent down at $0.29.
Aspen Group Limited (ASX:APZ) reported a full year net loss of $99 million, reflective of a challenging residential housing and development environment and including impairments of $133 million.
Gold One International Limited (ASX:GDO) posted a half year loss of $11.5 million, sliding 403 per cent from the first half of last year. The result was impacted by acquisition costs as well as a miner’s strike.
Best and worst performers
The best performing sector was Consumer Staples adding 83 points to close at 8,581.
The worst performing sector was Industrials, falling 48 points to close at 3,318 points.
The best performing stock in the S&PASX 200 was FKP Property Group (ASX:FKP), rising 9.09 per cent to close at $00.30. Shares in Senex Energy Limited (ASX:SXY) and Buru Energy Limited (ASX:BRU) also finished higher.
The worst performing stock was APN News and Media Limited (ASX:APN) dropping 26.92 per cent to close at $0.29. Shares in Linc Energy Limited (ASX:LNC) and Ausdrill Limited (ASX:ASL) were also lower at market close.
Commodities
Gold is trading at $US1,657 an ounce, and is $14.00 lower over the week. Light crude is $0.03 up at $US94.65 a barrel.
The Australian dollar
The Australian dollar is buying $1.03 and has lost $0.0105 over the week.
