Midday: Aus shares well down at noon

Market Reports

The Australian share market opened sharply lower following negative offshore leads and some dismal economic data out of China, leading to a sell-off in the big miners, banks and blue chips. At noon, the market is trading 1.4 per cent down at noon. 
 
The S&P/ASX 200 index is 77 points down/up at 5,336. On the futures market the SPI is 84 points lower. 
 
Economic news

ABS Lending finance data for January has seen a general rise in lending across the board. In seasonally adjusted terms, Housing finance rose 1.5%, Personal finance was up 0.6%, Commercial finance was 2.1% up and Lease finance rose 4.3%.
 
Company news 
 
Qantas Airways Limited (ASX:QAN) CEO Alan Joyce is expected to shortly front a senate enquiry into possible changes to the Qantas Sale Act. He will follow union officials and an independent consultant that have been scathing of the airline’s recent management.
 
Managing director of aviation consulting specialists, CAPA Consulting Ian Thomas told the enquiry it was hard to understand why Qantas suddenly needed to cut 5000 jobs rather than making smaller cuts over a period of time and the airline’s “cataclysmic adjustment” should not have been necessary.
 
Mr Joyce is expected to support changes to the act which will allow greater foreign ownership of the airline as well as the relocation of key support and maintenance facilities offshore. Mr Joyce has said Qantas faces an uneven playing field with both foreign-owned domestic competitors and state-owned international competitors. Shares in Qantas Airways are trading down 0.7 per cent at $1.09. 
 
Telstra Corporation Limited (ASX:TLS) has announced Media Group Executive Rick Ellis will leave Telstra following the completed majority sale of Sensis to Platinum Equity Group.
 
Telstra today expanded its executive committee, appointing Mark Buckman as Group Managing Director, Media and Marketing, and Mike Wright as Group Managing Director, Networks.
 
CEO David Thodey said Buckman and Wright would immediately join the senior executive group, which supports the CEO leadership team.
 
Buckman’s role will be expanded to encompass all of Telstra’s brand and digital media growth activities.  Shares in Telstra Corporation are trading down 1.28 per cent at $5.01. 
  
The best and worst performers

All major sectors are trading down at noon.  The sector with the smallest losses is Real Estate Investment Trusts. REITs have lost 10 points to 1,009. Shares in GPT Group (ASX:GPT) is trading flat at $3.66. Shares in DEXUS Property Group (ASX:DXS) and Charter Hall Group (ASX:CHC) are down. 
 
The worst performing sector is Materials, falling 186 points to 9,978. Shares in Adelaide Brighton Limited (ASX:ABC) have fallen 8.06 per cent, trading at $3.99. Shares in Atlas Iron Limited (ASX:AGO) and OZ Minerals Limited (ASX:OZL) are also lower. 
 
Gold and the dollar

Gold is trading at $US1,375 an ounce.

The Australian dollar is buying $US0.9037.

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