The market is down 12. SFE Futures were down 5 this morning.
Dow Jones up 13. The Dow was up 62 at best and down 8 at worst. Oil down $6.47 to $91.84. US markets opened on a higher note after the Bank of Japan joined the ECB and FOMC in their promises to support markets by buying whatever needs to be bought to support markets and stimulate growth. Japan also left their interest rate unchanged at 0.10%. The Tokyo stock market rose to the highest level in more than four months following the BoJ announcement, up 1.19% to 9232.21 (the highest closing level since May 2).
US economic data was good — existing home sales as well as building permits were better than expected and the PHLX housing index was up +2.5%. A Merrill Lynch monthly survey of investors saw concerns over the European debt crisis fall to the No.2 spot on the European fund managers’ list of risks (first time since April 2011). The number one concern is now the US fiscal cliff.
Best sectors — Consumer Disc, Consumer Staple, Materials. Worst Sector — Energy, Financials. Iron ore spot price down 10c to $109.50. Gold up 30c to $1772.40. $A is at 104.73
ANNOUNCEMENTS
- Chinese HSBC PMI Manufacturing figures are due out soon.
- Billabong International (BBG) — One of the two potential bidders looking to take over Billabong has pulled out of the due-diligence process crushing hopes of a bidding war. Despite the withdrawal TPG International is said to be still interested. BBG shares are down 7.61% to 133.5c.
- Kathmandu (KMD) –- FY result above consensus – Net profit fell 11% to $NZ34.9 million down from $39.1 million in the previous year. The result was above a market consensus estimate of $31 million . Fully franked final dividend 7 NZ cents per share. No guidance given but company said provided there is no further deterioration in economic conditions, they expect an improvement in performance in the year to the end of July 2013. KMD is up 1.82% to 139.5c.
- Brickworks (BKW) — Net profit of $43.3 million down 70% from $142.6 million. Plant closures and restructuring resulted in $35.6 million worth of one-off charges. Earnings from building products operations in the second half of the year were in line with the first half. Fully franked dividend of 27c. BKW is down 0.3% to 1001c.
- Paperlinx (PPX) — The chairman has quit the board along with two other directors. The departure follows that of PaperlinX chief executive Toby Marchant in July. PPX is up 3.51% to 5.9c.
- BHP Billiton (BHP) has dumped plans to build one of the country’s biggest coal mines amid falling commodity prices and lower growth expectations in China. Studies on the Red Hill underground coking coal mine and the Saraji East underground mine have ceased. Both were expected to produce up to 14 million tonnes of coal a year. BHP is down 0.91% to 3391c.
- The Commonwealth Bank business sales indicator found that consumer spending dipped 0.4% in August following a 5.4% fall the previous month. The indicator tracks the value of credit and debit card transactions through CBA point-of-sale terminals. CBA is down 0.18% to 5525c.
For a five-day FREE TRIAL of the MARCUS TODAY newsletter click here. You will receive our renowned and popular daily email about the sharemarket with all the stuff you need to know ahead of the trading day including:
- Overnight developments, news, comments, rumours, broker recommendations and ideas from Marcus and his team.
- Our portfolio recommendations which is actively managed on behalf of subscribers … no “set and forget”. Everything you need to effortlessly manage your own long term investment portfolio.
- Daily technical trading ideas and data, including daily scans of the ASX 300 for stocks changing trend.
- Stock database — all the numbers with comments on the top 300 stocks and more.
- Educational section — Marcus’ educational and entertaining articles.
Subscribe to MARCUS TODAY. We are sure you will enjoy and profit from what we offer … we have one of the highest re-subscription rates in the financial newsletter industry.
Crikey is committed to hosting lively discussions. Help us keep the conversation useful, interesting and welcoming. We aim to publish comments quickly in the interest of promoting robust conversation, but we’re a small team and we deploy filters to protect against legal risk. Occasionally your comment may be held up while we review, but we’re working as fast as we can to keep the conversation rolling.
The Crikey comment section is members-only content. Please subscribe to leave a comment.
The Crikey comment section is members-only content. Please login to leave a comment.