Unemployment rate steady, wages rise: ASX tracking 2.4% lower at noon

Market Reports

by Rachael Jones

The Australian share market dropped at the open following a plunge in the US markets overnight. It is now tracking 2.14 per cent lower at noon. Treasury Wine Estates (ASX:TWE) shares have soared after it reported NPAT up $419.5 million, that's up 16 per cent on the prior corresponding period. Packaging manufacturer meanwhile Orora's (ASX:ORA) share price dropped after reporting on challenging market conditions today. A new CEO - Brian Lowe will take over in September.
The Real Estate Investment Trust sector is leading the way and the Energy sector trailing behind.

The S&P/ASX 200 index is 141 points down or at 6,455. On the futures market the SPI is 1.1 per cent points lower.

Local economic news

Labour force July

Trend unemployment rate increased in July 2019 to 5.3 per cent, from 5.2 per cent in June.

The average weekly ordinary time earnings for full-time adults in Australia in May 2019 was $1,634 on trend terms.

Average full-time earnings increased by $27 - that's 1.7 per cent over the previous six months and by $48 over the year, 3.0 per cent.

Company news

Gold Road Resources (ASX:GOR) and Gold Fields have reported progress on the commissioning of the Gruyere process plant, with safe, steady state operations of the comminution circuit achieved for the 96 continuous hours. Shares in Gold Road Resources (ASX:GOR) is 3.1 per cent higher at $1.60.

Ship building company Austal (ASX:ASB) notes media speculation today that the Company is part of a consortium that is in negotiations to purchase the former Hanjin Heavy Industries shipyard at Subic Bay in the Philippines. Austal say there is no certainty that any additional expansion opportunities will be either pursued or completed. Shares in Austal (ASX:ASB) is 6.1 per cent lower at $3.72.

Best and worst performers

The sector that shed the least today is REITs that's 1.1 per cent lower, while the worst performing sector is Energy, shedding 4.6 per cent.

The best performing stock in the S&P/ASX 200 is Super Retail Group (ASX:SUL), rising 3.8 per cent to $9.01, followed by shares in Treasury Wine Estates (ASX:TWE) and St Barbara (ASX:SBM).

The worst performing stock in the S&P/ASX 200 is Orora (ASX:ORA), dropping 15.5 per cent to $2.71, followed by shares in Cleanaway Waste Management (ASX:CWY) and GUD Holdings (ASX:GUD).

Asian markets

Japan’s Nikkei has lost 1.5 per cent, Hong Kong’s Hang Seng has shed 0.7 per cent and the Shanghai Composite has lost 1.2 per cent.

Commodities and the dollar

Gold is trading at US$1,520 an ounce.
Iron ore price rose 1.6 per cent to US$90.72
Iron ore futures are pointing to a rise of 1.6 per cent.
One Australian dollar is buying 67.78 US cents.