After trading flat for most of the day the Australian share market dipped after midday to close 0.33 per cent down. Pessimism was fuelled by lower Chinese new home prices; while traders wait on news from the US Federal Reserve meeting, which will be held tonight.
Aquila was a top mover, surging 7.35 per cent after it backed a takeover from Baosteel and Aurizon Holdings, while Woodside Petroleum sunk 4.55 per cent after a sell-off by Shell Energy Holdings Australia.
The S&P/ASX 200 index closed 18 points down to finish at 5,383.
The value of trades was $8.14 billion on volume of 821 million shares at the close of trade. The top three stocks by value were Woodside Petroleum Limited
(ASX:WPL), BHP Billiton Limited
(ASX:BHP) and ANZ Banking Group
(ASX:ANZ)
On the futures market the SPI is 9 points down.
Company news
Newcrest Mining Limited
(ASX:NCM) has reached a settlement with ASIC in which it will declare two contraventions of disclosure laws and pay penalties of $1.2 million.
The gold miner came under investigation from the corporate regulator relating to production guidance being made available to analysts prior to public disclosure. The company says they have commissioned an independent review of their investor relations practices. Newcrest closed 1.81 per cent up at $10.15
South African retail group Woolworths has cleared a hurdle in its bid to buy David Jones Limited’s
(ASX:DJS).
Woolworths shareholders almost unanimously voted in favour of the $2.15 billion proposed takeover of the Australian department store retailer. Attention will now turn to David Jones shareholders who will get their chance to vote on the cash offer of $4.00 per share at the end of this month. Shares in David Jones closed half a percent up at $3.90.
Aquila Resources Limited
(ASX:AQA) has backed a $1.4 billion takeover bid from Chinese giant Baosteel and coal haulage company Aurizon Holdings Limited
(ASX:AZJ).
Pulse Health Limited
(ASX:PHG) has tied up a $3 million purchase of the 34-bed North Mackay Private Hospital in Queensland.
Telecom Corporation of New Zealand (ASX:TEL, NZE:TEL) will expand its cloud offering through the acquisition of business cloud specialist Appserve.
Australia’s biggest airline Qantas Airways Limited
(ASX:QAN) has launched a multimillion-dollar luxury business class lounge in Los Angeles.
Best and worst performers
The best performing sector was materials adding 30 points to close at 9,529. The worst performing sector was energy, losing 273 points to close at 14,301 points.
The best performing stock in the S&P/ASX 200 was Atlas Iron Limited
(ASX:AGO), rising 7.76 per cent to close at $0.63. Shares in Aquila Resources Limited
(ASX:AQA) and Bradken Limited
(ASX:BKN) also closed higher.
The worst performing stock was Cover-More Group Limited
(ASX:CVO), dropping 6.86 per cent to close at $1.90. Shares in Mesoblast limited
(ASX:MSB) and Karoon Gas Australia Limited
(ASX:KAR) also closed lower.
Commodities
Gold is trading at $US1,269 an ounce.
Light crude is $0.54 down at $US106.36 a barrel.
The Australian dollar is buying $US0.9333
