Australia | May 23 2013
By Stephen Hogan, Senior Private Client Adviser, Equities/Derivatives
Australian Market
The Australian market (XJO) closed down -103 points or -1.99% to 5062.4 today. The market took a large and steep move down in the morning till around 1pm when there was a small sign of people buying back into the market but it was short lived as we continued moving down, finishing the day 3 points off the low. The Information Technology sector was the only one to gain today, rising 1.79%, while all the rest fell, the Telecommunications sector fell the hardest, slipping -3.84%. Overnight the Dow Jones dropped -80.41 points or -0.52% to 15,307.20 after Federal Reserve Chairman Ben Bernanke has stated that the central bank will continue its stimulus program.
China's PMI was released today, the preliminary reading of 49.6 for a purchasing managers' index. The number was also below the 50.4 median estimate. A reading below 50 indicates a slowdown. China's manufacturing growth is slowing for the first time in seven months.
QBE's credit outlook was raised from "negative" to "stable" by Standard & Poor's, which has revamped its rating criteria for insurance companies.
Car company Ford has announced this morning that they will abandon Australian manufacturing in 2016 with 1200 job losses to follow after losing $141 million in Australia in the current financial year.
AUD is currently trading at $0.9607, down -$0.0089 against the USD
Top Performers
Sundance Resources Limited ((SDL)) up $0.015 or 23.08% to $0.08
Discovery Metals Limited ((DML)) up $0.042 or 22.70% to $0.227
Horizon Oil Limited ((HZN)) up $0.04 or 10.00% to $0.44
QBE Insurance Group Limited ((QBE)) up $0.96 or 6.30% to $16.19
NRW Holdings Limited ((NWH)) up $0.055 or 5.31% to $1.09
Bottom Performers
M2 Telecommunications Group Limited ((MTU)) down -$0.64 or -10.34% to $5.55
IINET Limited ((IIN)) down -$0.65 or -9.70% to $6.05
Lynas Corporation Limited ((LYC)) down -$0.05 or -8.33% to $0.55
Myer Holdings Limited ((MYR)) down -$0.19 or -7.09% to $2.49
Flight Centre Limited ((FLT)) down -$2.83 or -6.94% to $37.92
Our Comments
No Comment Today
(For a more comprehensive summary of last night’s market action see FNArena’s Overnight Report.)
Re-published with permission. Views expressed are not by association FNArena's (see our disclaimer).
Stephen Hogan is an Authorised Representative of Novus Capital. Authorised Representative No.345411 – http://www.stephenhogan.com.au
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