Australian Stocks: What Happened Today?

Array
(
    [0] => Array
        (
            [0] => ((ANZ))
            [1] => ((EHL))
            [2] => ((FMG))
            [3] => ((IAU))
            [4] => ((MQG))
            [5] => ((NNC))
            [6] => ((CPL))
            [7] => ((IMD))
            [8] => ((QBE))
            [9] => ((ALL))
            [10] => ((PRU))
            [11] => ((OGC))
            [12] => ((BDR))
            [13] => ((BBG))
        )

    [1] => Array
        (
            [0] => ANZ
            [1] => EHL
            [2] => FMG
            [3] => IAU
            [4] => MQG
            [5] => NNC
            [6] => CPL
            [7] => IMD
            [8] => QBE
            [9] => ALL
            [10] => PRU
            [11] => OGC
            [12] => BDR
            [13] => BBG
        )

)

This story features ANZ GROUP HOLDINGS LIMITED, and other companies.
For more info SHARE ANALYSIS: ANZ
The company is included in ASX20, ASX50, ASX100, ASX200, ASX300 and ALL-ORDS

By Stephen Hogan, Senior Private Client Adviser, Equities/Derivatives

Australian Market

The Australian market (XJO) closed down -103 points or 2.12% to 4758.4 today, feeling the impact of the U.S. markets hurting from Ben Bernanke's speech. The market dropped significantly on the open, came back a little and then dropped through the floor again. We hit a low at about 2pm of 4729 with a small rally to the close.

Best performing sector was Information Technology rising 1.00% and the worst was the Gold sector, dropping -4.13% followed Metals and Mining falling -3.08%.

Federal Chairman Ben Bernanke's speech to the press after a two-day policy meeting stated that rates stay at 0.25% and announced no change to the QE or bond-buying program for now, but flagged changed later this year and a possible end mid next year.

ANZ bank ((ANZ)) is sending 600 jobs overseas and firing the call centre staff in Australia. Finance Sector Union national secretary Leon Carter has revealed that an internal memo from ANZ outlines plans that the bank will close a call centre in Mulgrave (around 340 jobs) and a possibly a call centre in the bank's South Melbourne office (250 jobs) and outsource the work to the Philippines and New Zealand.

Emeco Holdings Limited ((EHL)) joined the mining services list of companies to downgraded earnings. It now expects to post a financial year net profit of $35-36 million, short of the expected $40-44 million which was stated in April.

Fortescue Metals Group Limited ((FMG)) has said in a statement to the market today that it will miss its iron ore production target for FY2013 and has pushed back the timing of a sale of its infrastructure assets. FMG says that production this year will fall as much as 4.75% below expectations, after producing a possible 80-82 million tonnes instead of the forecast 82-84 million tonnes.

Intrepid Mines Limited ((IAU)) is trying to win back rights to a $5 billion copper and gold project in Indonesia that the company lost last year. At stake is an 80% interest in the Tujuh Bukit project, which Intrepid lost last year when its Indonesian partners transferred the leases for the project into a new company, now controlled by Indonesian tycoon Edwin Soeryadjaya. Shareholders have supported the board, with majority of votes in favour of the move.

Macquarie Group Limited ((MQG)) have increased their holding in Yellow Brick Road Holdings Limited (YBR), the mortgage business run by Mark Bouris. MQG bought $2.2 million of shares, upping a 8.2% holding to 10.5%. Shares were purchased off market for 56c each, which is a few cents higher than the current trading price.

Manufacturing data out of China is less than predicted, HSBC's flash PMI released at 48.3, down from 49.2 last month, forecasted for 49.1.

AUD is currently trading at $0.9247, down -$0.0045 against the USD.

Top Performers

New Newscorp Inc ((NNC)) up $2.34 or 16.08% to $16.89

Coalspur Mines Limited ((CPL)) up $0.05 or 14.93% to $0.385

Imdex Limited ((IMD)) up $0.065 or 8.97% to $0.79

QBE Insurance Limited ((QBE)) up $0.85 or 5.53% to $16.23

Aristocrat Leisure Limited ((ALL)) up $0.16 or 3.94% to $4.22

Bottom Performers

Emeco Holdings Limited (EHL) down -$0.075 or -20.00% to $0.30

Perseus Mining Limited ((PRU)) down -$0.12 or -14.20% to $0.725

Oceanagold Corporation ((OGC)) down -$0.17 or -10.93% to $1.385

Beadell Resources Limited ((BDR)) down -$0.07 or -10.14% to $0.62

Billabong International Limited ((BBG)) down -$0.013 or -8.39% to $0.142

Our Comments

Carnage is the best word to describe the market today and no one was spared.

Massive over reaction in my opinion but that does not mean there may be some more short term weakness to follow. It almost feels like it would not have mattered what Bernanke said last night the US market was looking for an excuse to sell.

I was happy with his comments and everything they are doing and planning to do is accurate at the moment.

(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

Novus Capital Limited ("Novus") is holder of Australian Financial Services Licence No 238 168. Novus, its directors, officers, associates and employees each declare that they, from time to time, may hold interests in financial products and/or earn brokerage, commission, fees or other benefits from financial products mentioned in this e-mail or attached documents. Unless specifically stated within this e-mail or an attached document, any information communicated by this e-mail constitutes unsolicited general financial product advice which has been compiled without regard to any investor's individual objectives, financial situation or needs. It is not specific advice for any particular investor. Before making any decision about the information provided, you need to consider the appropriateness of this information having regard to your individual objectives, financial situation and needs and consult your adviser. Any indicative information and assumptions used here are summarised and also may change without notice to you, particularly if based on past performance or relate to a future matter.

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