Following large falls in global markets and heavy selling of European bank stocks the Australian share market sank on open and is hovering in a low band to be 0.64 per cent down at noon.
Investors are seeking safe haven with gold stocks seeing marked gains following the US$50 jump in the gold price overnight.
The S&P/ASX 200 index is 31 points down at 4,790. On the futures market the SPI is 31 points lower.
Infomedia Limited (ASX:IFM)
has hit out at market rumours it has lost its lucrative worldwide contract to provide the electronic parts catalogue system to Jaguar Land Rover dealers. The company says it has renewed its data licence agreement and it will be the sole EPC provider until the end of December 2017. Shares in Infomedia were as much as 23 per cent down in morning trade but are recovering somewhat to be 18.06 per cent lower to $0.59 at noon.
Stanmore Coal Limited (ASX:SMR)
says that its on track to restart mining at its Isaac Plains site in Queensland. The dragline overhaul is complete and under budget and first blasts have also completed successfully. Recent heavy rain has only had a moderate impact on the schedule and its expects first coal production in April as planned. Shares in Stanmore Coal last traded at 14 cents.
Best and worst performers
The best performing sector is telcos, gaining 0.7 per cent to 2,022. Shares in Telstra have risen 0.81 per cent and are trading at $5.58. Shares in Spark NZ are flat and TPG are lower.
The worst performing sector is Utilities, falling 1.5 per cent to 6,905. Shares in AGL have fallen 1.89 per cent to $18.17. Shares in AusNet and APA Group are lower.
Gold and the dollar
Gold is trading at $US1,239 an ounce.
The Australian dollar is buying 71.11 US cents.