The Australian share market is headed for a soft start to the day of trade, after Wall Street pared back its record gains following the release of disappointing economic data.
US economic news
US jobless claims rose by 32,000 to a seasonally adjusted 360,000. That was the largest jump since November 2012.
Figures
The Dow Jones Industrial Average lost 42 points to close at 15,233, the S&P 500 shed 8 points to close at 1,650 and the NASDAQ lost 6 points to close at 3,465.
London’s FTSE lost 6 points, Paris lost 3 points and Frankfurt added 7 points.
Hong Kong’s Hang Seng added 38 points, Tokyo’s Nikkei lost 59 and China’s Shanghai Composite added 27 points.
The Australian share market sank lower yesterday after some profit taking. The S&P/ASX 200 index fell 26 points yesterday, closing at 5,166.
On the futures market the SPI is 3 points higher.
Currencies
The Australian Dollar at 7:30AM was buying $US98.21 cents, 64.31 Pence Sterling, 100.40 Yen and 76.23 Euro cents.
Company news
Metcash Limited
(ASX:MTS) will buy Australian Truck and Auto Parts Group for $84 million. The grocery and hardware wholesaler says the company generates annual sales of about $90 million. ATAP specialises in brake, steering and suspension products and the acquisition also includes Auto Brake Service, a national franchise network of 53 brake and steering and auto repairs specialists. Shares in Metcash rose 0.72 per cent yesterday to close at $4.18.
Central Australian Phosphate Limited
(ASX:CEN) has entered in to a joint venture with Canadian gold miner Monument Mining. Monument has instead struck an $8.8 million deal to buy a 51 per cent stake in Central's phosphate projects. Meantime, the company has recommended shareholders reject the $12.7 million takeover bid by Rum Jungle Resources Limited
(ASX:RUM). Central Australian Phosphate shares fell 5.26 per cent to 1.8 cents yesterday.
Ex-dividend
Ausmani Limited
(ASX:ABF) will pay 0.1 cents unfranked
Incitec Pivot Limited
(ASX:IPL) will pay 3.4 cents per share partially franked
Whitefield Limited
(ASX:WHF) will pay 8.5 cents per share fully franked
Commodities
Gold is down $9.30 to $US1,387 an ounce for the June contract on Comex. Silver is down $0.02 to $22.66 for July. Copper is up $0.03 at $3.29 a pound. Oil is up $0.86 at $US95.16 a barrel for June light crude in New York.
