There was a glimmer of hope this morning as the local bourse opened in the green but gains were soon reversed and the market closed 0.8 per cent lower.
The financial sector weighed on the market today despite the iron ore and gold miners posting some gains. News of a contraction of growth in Japan also fuelled pessimism as the country officially slipped into recession once again.
Also, the Prime Minister Tony Abbott today announced the successful conclusion of a trade agreement between Australia and China. While few details have been released, agriculture and services are touted as big winners in the deal.
The S&P/ASX 200 index closed 41.8 points down to finish at 5,413.
The value of trades was $3.33 billion on volume of 561 million shares at the close of trade. The top three stocks by value were National Australia Bank Limited
(ASX:NAB),
BHP Billiton Limited (ASX:BHP) and ANZ Banking Group (ASX:ANZ).
On the futures market the SPI is 45 points down.
Company news
Shares in Elders Limited
(ASX:ELD) jumped 5 per cent today as it posted a turnaround full year profit on the back of higher earnings and a 10 per cent reduction in costs.
The agribusiness posted a net profit of almost $3 million in the year to the end of September from a loss of more than $500 million the year before. Elders closed 5 per cent up at $0.21. Shares in Bendigo and Adelaide Bank Limited (ASX:BEN) slipped into the red today after inking a deal with four credit unions to create a new banking alliance. Under the deal the credit unions’ loans and deposits will be transferred to Bendigo Bank while the reserves will remain wholly member-owned. Shares in Bendigo Bank closed 0.31 per cent down at $12.72
Pacific Brands Limited
(ASX:PBG) has confirmed it is in talks regarding a potential sale of its Brand Collective business.
Fairfax Media Limited’s
(ASX:FXJ) online residential listings business Domain will team up with Firstfolio Limited
(ASX:FFF) to target first home buyers.
Virgin Australia Holdings Limited’s
(ASX:VAH) frequent flyer program has entered into a new partnership with fuel retailer BP.
Shares in Cellmid Limited
(ASX:CDY) have risen after inking a deal with global animal health company Zoetis.
Best and worst performers
All major sectors closed lower today. The sector with the least losses was materials losing 0.06 per cent to close at 9,151. The worst performing sector was financials, losing just below 1 per cent to close at 6,120 points.
The best performing stock in the S&P/ASX 200 was Mount Gibson Iron Limited
(ASX:MGX), rising 7.89 per cent to close at $0.41. Shares in Atlas Iron Limited
(ASX:AGO) and Northern Star Resources Limited
(ASX:NST) also closed higher.
The worst performing stock was Sundance Energy Australia Limited
(ASX:SEA), dropping 5.32 per cent to close at $0.89. Shares in Greencross Limited
(ASX:GXL) and Ainsworth Game Technology Limited
(ASX:AGI) also closed lower.
IPO Simonds Group Limited
(ASX:SIO) started trading today. The homebuilder and construction education company listed with an issue price of $1.78, opened at $1.75 and a closed at $1.60
Commodities
Gold is trading at $US1,190 an ounce.
Light crude is $1.61 up at $US75.82 a barrel.
The Australian dollar is buying $US0.8788
