With Wall Street falling as global investors bite their nails about the fallout from Cyprus’ 10 billio Euro bailout, the Australian share market fell at open and is trading flat at noon with losses in the energy sector weighing early.
The S&P/ASX 200 index is 6 points down at 4,989. On the futures market the SPI is 9 points lower.
Economic news
The TD Securities Melbourne Institute monthly inflation gauge increased by 0.2 per cent in March, on the back of a flat result in February. The gauge has risen by 2.1 per cent over the year to March. The reading was the lowest annual inflation outcome for eight months, renewing expectations of another official interest rate cut by June.
Company news
Telecom Corp of New Zealand
(ASX:TEL) plans to slash approximately 1,000 full time equivalent employees by the middle of the year.
The job cuts are part of an effort to save up to $NZ110 million and come as Telecom reaffirmed its full year earnings guidance of between $NZ1.04 and $NZ1.06 billion. Shares in Telecom Corp are trading up 0.27 per cent at $1.85.
Nufarm Limited
(ASX:NUF) have plunged in early trade following a 53 per cent fall in first half net profit. The agricultural chemicals supplier has slashed its full year earnings outlook after hot and dry conditions in Australia reduced crop protection product demand in the first half.
Shares in Nufarm are trading down 14.26 per cent at $4.09.
Best and worst performers The best performing sector is Materials gaining 83 points to 9,818. Shares in PanAust Limited
(ASX:PNA) have risen 5.46 per cent and trading at $2.51. Shares in BlueScope Steel Limited
(ASX:BSL) and Atlas Iron Limited
(ASX:AGO) are also stronger.
The worst performing sector is Energy, falling 134 points to 13,189. Shares in Aurora Oil & Gas Limited
(ASX:AUT) have fallen 9.63 per cent, trading at $3.38. Shares in Karoon Gas Australia Limited
(ASX:KAR) and AWE Limited
(ASX:AWE) are also lower.
Gold and the dollar
Gold is trading at $US1,605 an ounce and the Australian dollar is buying $US1.045.
