Midday: Aus shares 0.7% down at noon

Market Reports

The Australian share market opened slightly higher on strong US leads however has dived quickly to be 0.7 per cent lower at noon, with insurer QBE plunging on another profit downgrade and weighing on sentiment early. Energy stocks are also weighing on the market at this Stage.
 
The S&P/ASX 200 index is 35 points down at 5,151. On the futures market the SPI is 29 points lower. 
 
Economic news 
 
ANZ Bank has released its job ads data for November, and job advertisements have weakened again despite signs of improving demand in some states. Job ads fell 0.8 per cent last month, after decreasing 0.1 per cent in October. 
 
Company news 
 
QBE Insurance Group Limited (ASX:QBE) shares have tanked on the back of yet another downgrade, with the insurer forecasting a $US250 million full year loss as well as the departure of Chair Belinda Hutchinson. The insurer announced a goodwill impairment charge of $US600 million, primarily from its North American business. Shares in QBE are trading down 19.42 per cent at $12.45. 
 
Oil Search Limited (ASX:OSH) says it is in ongoing discussions over the purchase of equity in the license area of the Elk and Antelope oil fields in Papua New Guinea, after French company Total confirmed it will pay up to $US 3.6 billion to buy into the field. The group says the nature of its potential participation in any transaction is uncertain and there is no guarantee that any agreement will be reached. Shares in Oil Search are trading down 1.27 per cent at $8.18. 
  
Best and worst performers

The best performing sector is Industrials gaining 9 points to 3,798. Shares in UGL Limited (ASX:UGL) have risen 3.05 per cent and trading at $6.42. Shares in Monadelphous Group Limited (ASX:MND) and Transfield Services Limited (ASX:TSE) are also stronger. 
 
The worst performing sector is Energy, falling 122 points to 13,172. Shares in Origin Energy Limited (ASX:ORG) have fallen 1.83 per cent, trading at $13.38. Shares in Aurora Oil & Gas Limited (ASX:AUT) and Santos Limited (ASX:STO) are also lower. 
 
IPOs

Affinity Education Group Limited (ASX:AFJ) started trading today. The Childcare service provider floated with an issue price of $1.00, opened at $1.08 and is currently trading at $1.04
 
Gold and the dollar

Gold is trading at $US1,228 an ounce and the Australian dollar is buying $US0.9106.

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