The Australian share market sank to session lows before noon but pared losses to end 0.4 per cent lower. Despite upbeat offshore leads local stocks sank amid ongoing concerns about military action against Syria. Weaker commodity prices put pressure on mining and energy stocks and the financials and consumer staples sectors also ended lower.
Figures
The S&P/ASX 200 index ended 19 points lower at 5,143.
The value of trades was $4.6 billion on volume of 791 million shares at the close of trade.
The top three stocks by value were BHP Billiton Limited
(ASX:BHP), Telstra Corporation Limited
(ASX:TLS) and Commonwealth Bank of Australia
(ASX:CBA).
On the futures market the SPI is 20 points lower.
Economic news
Australia's trade balance fell to a deficit in July, defying expectations it would remain as a surplus. The Australian Bureau of Statistics reports the nation posted a trade deficit of $765 million in July, back-flipping from a surplus of $243 million the month before.
Company news
Air New Zealand Limited
(ASX:AIZ) has been given the green light to become a larger shareholder in Virgin Australia Holdings Limited
(ASX:VAH). The Australian Competition and Consumer Commission (ACCC) has given its approval for the Kiwi carrier to boost its stake in Australia’s second largest carrier by 6 per cent to 25.9 per cent. Shares in Air New Zealand ended the session 3.2 per cent lower at $1.21.
Worleyparsons Limited
(ASX:WOR) has won a contract from Brazilian resources giant Vale to work on a rail infrastructure project in Africa. The mining services provider will build a rail link between Vale’s coal mine and the Port of Nacala which is located in the north-east of Mozambique. Shares in Worleyparsons pulled back 1.63 per cent to finish at $21.80.
Shares in Westfield Group
(ASX:WDC) ended 3.03 per cent lower after the ACCC said it would allow the property group and Westfield Retail Trust (WRT) to purchase the Karrinyup Shopping Centre in Perth – provided it agrees to sell the Innaloo Shopping Centre.
Shares in Newcrest Mining Limited
(ASX:NCM) fell 1.49 per cent despite an independent review of the gold miner’s disclosure practices backing its communication with the market.
Shares in Global Construction Services Limited
(ASX:GCS) climbed 9.9 per cent after the construction services group scored a $10.4 million contract to work on an office tower in central Perth.
Shares in Linc Energy Limited
(ASX:LNC) firmed 0.94 per cent after the energy producer reached a major milestone in the Wyoming research and development license application process for Powder River Basin.
Best and worst performers
The best performing sector was health care adding 57 points to close at 13,889.
The worst performing sector was consumer staples, losing 74 points to close at 9,865 points.
The best performing stock in the S&P/ASX 200 was FKP Property Group
(ASX:FKP), rising 6.53 per cent to close at $1.30. Shares in Downer EDI Limited
(ASX:DOW) and McMillan Shakespeare Limited
(ASX:MMS) also closed higher.
The worst performing stock was Medusa Mining Limited
(ASX:MML), dropping 7.46 per cent to close at $2.48. Shares in St. Barbara Limited
(ASX:SBM) and OceanaGold Corporation
(ASX:OGC) also closed lower.
To commodities
Gold is trading at $US1,385 an ounce.
Light crude is $1.31 down at $US107 a barrel.
The Australian dollar
The Australian dollar is buying 91.52 cents.
