With Wall Street posting a tepid finish on disappointing profit results the Australian share market toppled from its recent positive run to open lower and it trading 0.3 per cent down at noon, with industrial stocks leading the losses at this stage. The Aussie dollar is continuing a slide on the back of yesterday’s weak Chinese manufacturing data, it’s down more than a cent from yesterday’s session.
The S&P/ASX 200 index is 19 points down at 5,016. On the futures market the SPI is 18 points lower.
Company news
DEXUS Property Group
(ASX:DXS) has acquired a 14.9 per cent stake in Commonwealth Property Office Fund
(ASX:CPA), an investment it expects to be accretive to earnings. The CPA portfolio comprises $3.7 billion of prime grade office properties, which Dexus says is consistent with its investment in high quality Australian office properties. Shares in Dexus are trading up 1.21 per cent at $1.04.
Ausenco Limited
(ASX:AAX) shares have taken a nosedive on its downgraded earnings forecast, falling more than 30 per cent in early trade.
Chief market analyst of global brokerage firm Invast Securities Peter Esho says the engineering company has been battling against the tide in an industry rife with downgrades, and after promising a performance turnaround for some time they have been caught out. Shares in Ausenco are trading down 31.40 per cent at $1.48.
Best and worst performers The best performing sector is Real estate investment trusts gaining 10 points to 1,040. Shares in Commonwealth Property Office Fund
(ASX:CPA) have risen 3.54 per cent and trading at $1.17. Shares in Stockland
(ASX:SGP) and Westfield Group
(ASX:WDC) are also stronger.
The worst performing sector is Industrials, falling 55 points to 3,638. Shares in McMillan Shakespeare Limited
(ASX:MMS) have fallen 48.11 per cent, trading at $7.97. Shares in Leighton Holdings Limited
(ASX:LEI) and Aurizon Holdings Limited
(ASX:AZJ) are also lower.
Gold and the dollar
Gold is trading at $US1,317 an ounce and the Australian dollar is buying $US0.9153, having lifted slightly from its morning low of $US0.9142.
