The Australian share market eased at open this morning despite higher finishes from offshore markets but has recovered as investors pounced on some sagging mining shares to finish 0.06 per cent higher. Over the week the market has endured an up and down ride, finishing lower for four consecutive days on the back of European Austerity uncertainty and poor performances in the mining sector before recovering moderately to finish higher over the past two days after Chinese central bank stimulus measures.
FiguresToday, the S&P/ASX 200 index closed 3 points up to finish at 4,387. Over the week the index has lost 21 points. On the futures market, the SPI is 2 points down.
Looking at Wall Street, over its four trading days this week: The Dow Jones Industrial Average lost 111 points. The S&P 500 Index dropped 13 points, the Nasdaq shed 39 and the 100 Index also closed lower, dropping 40 points.
Economic newsFigures from the Reserve bank of Australia’s financial aggregates report have shown moderate Australian credit growth for the third successive month. August saw a 0.2 per cent rise in total credit provided to the private sector by banks and other lenders, while total credit has risen by 4.1 per cent over the year so far. There was a 2.8 percent growth over the three months to August, down from 5.7 per cent in the previous three month period.
Company newsLeighton Holdings Limited
(ASX:LEI)has finalised the $218 million sale of Thiess Waste Management to Redmonis AG & Co KG. The international contractor expects the sale to generate $115 million in pre-tax net capital gain, a figure not included in the group's underlying guidance for the year. Leighton CEO Hamish Tyrwhitt says the sale is an important element of the company's strategy to improve shareholder returns and recycle capital. Mr Tyrwhitt believes the sale will generate gross cash proceeds of approximately $190 million, which will go towards the reduction of debt. Shares in Leighton Holdings closed .48 per cent up at $16.62.
Virgin Australia Holdings Limited
(ASX:VAH) CEO John Borghetti has out-earned Qantas counterpart Alan Joyce after receiving a 45 per cent rise in his annual earnings of $4.07 million. Australia’s second largest carrier today released its annual report, revealing that Mr Borghetti's package included base pay of $1.2million as well as $2.53 million in short-term cash bonuses and long-term share-based payments. His total remuneration of $4.07 million was up from with $2.81 million last year, boosted by Virgin’s increased share of the business travel market. Shares in Virgin Australia closed flat at $0.41.
Shares in DuluxGroup Limited
(ASX:DLX) have firmed after its $2.05 per share cash offer was unanimously recommended by the board of Alesco Corporation Limited
(ASX:ALS).
Gloves and condom maker Ansell Limited
(ASX:ANN) has announced the completion of its $126 million acquisition of privately owned French group Comasec.
Best and worst performersThe best performing sector was Materials, adding 43 points to close at 9,930.
The worst performing sector was Consumer Staples which lost 74 points to close at 8,448.
The best performing stock in the S&PASX 200 was Mirabela Nickel Limited
(ASX:MBN), rising 14.67 per cent to close at $0.43.Shares in Saracen Mineral Holdings Limited
(ASX:SAR) and APN News and Media Limited
(ASX:APN) also closed higher.
The worst performing stock was NRW Holdings Limited
(ASX:NWH), dropping 5.53 per cent to close at $2.05. Shares in Macmahon Holdings Limited
(ASX:MAH) and Energy World Corporation Limited
(ASX:EWC) were also lower at market close.
CommoditiesGold is trading at $US1,781 an ounce, and is up $8.97 over the week. Light crude is flat at $US92.14 a barrel.
The Australian dollarThe Australian dollar is buying $1.046 and is flat over the week.
