The Australian share market failed to shake off early losses ending 0.93 per cent lower after a pre-lunch rally failed to gain support. The market chose to take soft Chinese economic data to heart ahead of promising GDP figures from the US.
The S&P/ASX 200 index closed 49 points down to finish at 5,264.
The value of trades was $3.6 billion on volume of 649 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited
(ASX:BHP), Commonwealth Bank of Australia
(ASX:CBA) and Westpac Banking Corporation
(ASX:WBC)
On the futures market the SPI is 49 points down.
Company news
Wesfamers Limited (ASX:WE) owned Coles Supermarkets has been banned from advertising that its bread is baked the same day it’s sold and ordered to display a Federal Court notice in its stores that it has broken Australian consumer law. The ACCC launched proceedings against Coles last year after discovering some bread that was advertised as freshly baked in-store was partially baked overseas some months before. The grocery retailer was declared guilty of misleading customers in June and the Federal Court has now ordered Coles to tell shoppers of the ban and that it has been making false claims. Coles still faces fines of up to $3 million. Shares in Wesfarmers closed 1.24 per cent down at $42.21.
Qantas Airways Limited
(ASX:QAN) has announced a 3 per cent rise in passenger numbers for August compared the same month last year. Passenger numbers for the year-to-date have also risen by 3.2 per cent however group yields were lower in the domestic markets. International yields were higher with improvements across the majority of routes. Qantas has also announced new flights to Hamilton Island and Toowoomba and new codeshare agreements with SriLankan Airlines and WestJet. Shares in Qantas closed 0.7 per cent lower at $1.42.
Brockman Mining Limited
(ASX:BCK) is one step closer to gaining rail access in WA with the state’s Supreme Court ruling its proposal to gain access to Fortescue Metals Group Limited
(ASX:FMG) railway networks as valid.
Horizon Oil Limited
(ASX:HZN) says it has made a new oil discovery at its joint venture with Roc Oil in China.
ANZ Banking Group
(ASX:ANZ) has sold its 17.5 per cent stake in Vietnam's Saigon Securities to the corporations Chairman and a group of local investors.
And takeover target Treasury Wine Estates Limited
(ASX:TWE) has scrapped all talks with its suitors saying bids of $5.20 per share were not enough and that it would proceed with strategic plans to regrow the company.
Best and worst performers
The best performing sector was real estate investment trusts adding 0.4 per cent to close at 1,083. The worst performing sector was consumer staples, losing 1.3 per cent to close at 9,618 points.
The best performing stock in the S&P/ASX 200 was Sandfire Resources, rising 3.7 per cent to close at $5.89. Shares in Horizon Oil and Oz Minerals also closed higher.
The worst performing stock was Lynas Corporation, dropping 25.22 per cent to close at $0.09 after announcing a discounted share placement. Shares in Treasury Wine Estates and Mount Gibson Iron also closed lower.
Commodities
Gold is trading at $US1,218 an ounce. Light crude is $1.01 up at $US93.54 a barrel. The Australian dollar is buying 87.00 US cents.
