Lifted by a strong US and European lead the Australian share market spiked at open but has since pared gains and is trading almost where it began the day. Strength among the banking sector has failed to offset weakness among energy and mining stocks.
The S&P/ASX 200 index has dipped 1 point and sitting at 4,984. On the futures market the SPI is 12 points higher.
Company news Origin Energy Limited
(ASX:ORG) says it will mull its options following a move by Standard & Poor’s revise criteria used for assigning equity content to hybrid capital instruments. The energy producing company will now consider whether it will exercise its early redemption rights. The statement comes after Santos Limited
(ASX:STO) said it is very disappointed by the ratings agency’s reclassification decision. Shares in Origin Energy have fallen 1.86 per cent and are trading at $13.20.
Oil and gas producer AWE Limited
(ASX:AWE) believes its Sugarloaf area of mutual interest has further substantial growth potential following an independent review. The independent review was launched after the Sugarloaf area’s performance exceeded the company’s expectations and AWE has today announced Sugarloaf 2P Reserves have increased by 67 per cent. The Sugarloaf area of mutual interest is located in Texas in the US and was acquired by AWE in 2010. Shares in AWE have risen 0.2 per cent and are trading at $1.23.
Best and worst performers The best performing sector is telco services gaining 15 points to 1,558. Shares in Telecom Corporation of New Zealand
(ASX:TEL) have risen 1.84 per cent and trading at $1.94. Shares in iiNet Limited
(ASX:IIN) and Telstra Corporation Limited
(ASX:TLS) are also stronger.
The worst performing sector is energy, falling 93 points to 13005. Shares in Whitehaven Coal Limited
(ASX:WHC) have fallen 3.94 per cent, trading at $1.95. Shares in Santos Limited
(ASX:STO)and WorleyParsons Limited
(ASX:WOR)are also lower.
Gold and the dollar
Gold is trading at $US1,576 an ounce.
The Australian dollar is buying $US1.045.
