Following a reversal of gains in the US, the Australian share market opened lower this morning and is 0.9 per cent down at noon.
Investors are hesitant ahead of earnings season and it seems there’s still uncertainty about the direction of interest rates.
Consumer sentiment figures released today came in positive, but they weren’t strong enough to spur much optimism.
The S&P/ASX 200 index is 47 points down at 5,464. On the futures market the SPI is 53 points lower.
Economic news
The Westpac -Melbourne Institute have released their index of consumer confidence for July and its pointing to a slight gain in consumer confidence over the past month with the index up 1.9% to 94.9 points. Westpac Chief Economist Bill Evans commented that this is another disappointing result for the Index with expectations for a stronger bounce back in the index following its 7 per cent post-budget tumble.
Company news
Scentre Group Limited
(ASX:SCG) has raised more than $3 billion in European bonds.
The shopping centre manager issued four tranches ranging from four to twelve year maturities. The company says the proceeds will be used to partially refinance Scentre Group’s $5 billion bridge facility. The group manages the Australian and New Zealand operations of Frank Lowy’s Westfield Group and Westfield Retail Trust. Shares in Scentre Group are trading up 1.41 per cent at $3.25.
Shares in Objective Corporation Limited
(ASX:OCL) have jumped more than 10 per cent on the release of strong preliminary results.
The IT services company has seen net profit lift by 46 per cent last financial year and revenue up by 18 per cent to $48.6 million, with figures still subject to audit. Directors plan to pay a fully franked final dividend. Shares in Objective Corporation are trading up 10.17 per cent at $1.30.
Best and worst performers The best performing sector is real estate investment trusts, gaining 0.02 per cent to 1,083. Shares in BWP Trust
(ASX:BWP) have risen 1.42 per cent and trading at $2.50. Shares in Scentre Group Limited
(ASX:SCG) and CFS Retail Property Trust
(ASX:CFX) are also stronger.
The worst performing sector is consumer discretionary, falling 2.34 per cent to 1,792. Shares in Navitas Limited
(ASX:NVT) have fallen 31.53 per cent, trading at $4.82. Shares in Domino's Pizza Enterprises Limited
(ASX:DMP) and Flight Centre Travel Group Limited
(ASX:FLT) are also lower.
IPO 3P Learning
(ASX:TPN) started trading today. The education software developer floated with an issue price of $2.50, opened at $2.39 and is currently trading at $2.30.
Gold and the dollar
Gold is trading at $US1,320 an ounce.
The Australian dollar is buying $US0.9408
