The Australian share market closed not far off the days lows, failing to recover from the heavy falls taken on offshore leads besotted with concern over the situation unfolding in Syria. Most major sectors ended in the red, although Utilities stocks saw some gains and Consumer staples advanced as investors responded positively to Woolworth’s healthy full year profit.
The S&P/ASX 200 index closed 54 points down to finish at 5,087. The value of trades was $4.7 billion on volume of 810 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited
(ASX:BHP), Commonwealth Bank of Australia
(ASX:CBA) and ANZ Banking Group
(ASX:ANZ).
On the futures market the SPI is 54 points down.
Economic news
The Australian Bureau of Statistics has released its construction work data for the June quarter, revealing a 0.3 per cent fall. Over the year to June, the volume of construction work is down 0.9 per cent. Economists had anticipated total construction work to rise 1 per cent in the quarter.
Company news
BC Iron Limited
(ASX:BCI) hit an all time high today on the back of a record production run achieved in the face of falling commodity prices, touching $4.32. Shipments from the Nullagine JV operation in Western Australia reached five million wet metric tonnes in fiscal 2013, up 41 per cent from from the previous year. The record share jump came despite a 4 per cent fall in its full year net profit of $48.8 million.
Shares in BC Iron closed 5.68 per cent up at $4.28.
Metcash Limited
(ASX:MTS) shares plunged in afternoon trade after the grocery wholesaler issued a profit downgrade at its AGM. The company told shareholders that because of a sustained downturn in the trading environment it now expects underlying earnings per share dilution for the current financial year to be in the high single-digit range. Metcash announced a 6.9 per cent rise in its underlying fiscal 2013 profit of $281 million. Shares in Metcash closed 5.80 per cent down at $3.25.
Woolworths Limited
(ASX:WOW) shares rose 2.01 per cent after it generated a bumper full year net profit of $2.26 billion, up 24 per cent on last year, and is confident of growing its profit by between four and seven per cent in fiscal 2014.
Wotif.com Holdings Limited
(ASX:WTF) shares fell 6.36 per cent after the online retailer posted a full year net profit of $51 million, a 12 per cent decline on last year’s result.
Sandfire Resources NL
(ASX:SFR) fell 3.07 per cent despite a maiden annual net profit of $88 million, bolstered by a strong financial performance from its DeGrussa Copper Mine in Western Australia.
AGL Energy Limited
(ASX:AGK) shares jumped 4.94 per cent after a full year net profit of $388.7 million on the back of the integration of the Loy Yang power station into its business.
Best and worst performers
The best performing sector was Utilities adding 75 points to close at 5,385.
The worst performing sector was Materials, losing 202 points to close at 9,490.
The best performing stock in the S&PASX 200 was Transfield Services Limited
(ASX:TSE), rising 11.11 per cent to close at $0.90. Shares in Silver Lake Resources Limited
(ASX:SLR) and AGL Energy Limited
(ASX:AGK) also closed higher.
The worst performing stock was Billabong International Limited
(ASX:BBG), dropping 9.35 per cent to close at $0.48. Shares in Discovery Metals Limited
(ASX:DML) and Arrium Limited
(ASX:ARI) also closed lower.
Commodities
Gold is trading at $US1,432 an ounce. Light crude has seen a price spike amid concerns a military strike against Syria could hit Middle Eastern crude supply, it’s up $3.09 at $US109 a barrel.
The Australian dollar
The Australian dollar is buying $US0.8932.
