The Australian share market closed 1.5 per cent down, sliding in afternoon trade as investor concerns centred on a slowdown in China after Beijing tightened its mortgage rules. The market was also weighed down today by ex-dividend stocks, namely global miner BHP.
The S&P/ASX 200 index closed 76 points down to finish at 5,011. The value of trades was $4.7 billion on volume of 785 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited
(ASX:BHP), heavily traded while trading ex-dividend today, Rio Tinto Limited
(ASX:RIO) and Westpac Banking Corporation
(ASX:WBC)
On the futures market the SPI is 53 points down.
Economic news
Job advertisements rose to their highest level since October last year in February, according to the ANZ job ads survey. The survey said the total number of ads was up 3 per cent, with internet job ads rising 3.3 per cent.
The TD Securities - Melbourne Institute’s Inflation gauge was flat in February following a 0.6 per cent rise in January.
The Australian Bureau of Statistics says Company profits fell by 0.9 per cent in the December quarter, slightly ahead of analyst expectations of a 1 per cent fall.
Also from the ABS, Building approvals slipped against expectations for the second consecutive month in January. The number of buildings approved fell 2.4 per cent to 12,920.
Company news
Infigen Energy
(ASX:IFN) has scuppered reports of a possible sell off of its Australian assets, however says it continues to assess a range of options to provide improved financial stability. The company says it will update the market on any potential corporate activity, and continues to deal constructively with opportunities that might advance its strategy, including asset sales. Shares in Infigen Energy closed steady at $0.29.
Coca-Cola Amatil Limited
(ASX:CCL) chief Terry Davis earnt a total pay package of $7.96 million last year, making him one of Australia’s best paid CEO’s. Beyond his salary, which was slightly up on 2011, Mr Davis’ package comprises non-monetary benefits including vehicle and club memberships, superannuation and incentive payments. Shares in Coca-Cola Amatil closed 0.42 per cent down at $14.38.
Southern Cross Media Group Limited
(ASX:SXL) has responded to media speculation surrounding a possible $4 billion merger with the Nine network, saying it is reviewing a number of strategic options.
Building and construction manufacturer Boral Limited
(ASX:BLD) will merge its construction materials and cement divisions into one business as part of ongoing restructuring initiatives.
Diversified media company News Corp
(ASX:NWS) subsidiary News Limited will divest its 44 per cent stake in New Zealand’s leading pay TV service, SKY Network Television Limited (NZE:SKT).
Rare earths producer Lynas Corporation Limited
(ASX:LYC) Executive Chairman Nick Curtis has agreed with the board that it is time to implement planned CEO succession and will step down on March 31st.
Best and worst performers
All but the Utilities and Real Estate Invesment Trusts sectors finished lower today: Utilities was the best performer adding 32 points to close at 5,539.The worst performing sector was Materials, losing 329 points to close at 10,257 points.
The best performing stock in the S&PASX 200 was Maverick Drilling and Exploration Limited
(ASX:MAD), rising 3.36 per cent to close at $0.61. Shares in Southern Cross Media Group Limited
(ASX:SXL) and FlexiGroup Limited
(ASX:FXL) also closed higher.
The worst performing stock was St. Barbara Limited
(ASX:SBM), dropping 10.57 per cent to close at $1.10. Shares in Arrium Limited
(ASX:ARI) and OZ Minerals Limited
(ASX:OZL) also closed lower.
Commodities
Gold is trading at $US1,576 an ounce. Light crude is $0.29 down at $US90.39 a barrel.
The Australian dollar
The Australian dollar is buying $US1.013.
