Following soft offshore leads, the Australian share market opened in the red and extended losses after news broke Prime Minister Julia Gillard retained her position following a leadership challenge. The sectors are mainly trading lower, dragged down by the miners with mining giant BHP Billiton Limited (ASX:BHP) trading ex-dividend today.
The S&P/ASX 200 index has lost 28 points and is 4,278. On the futures market the SPI is 16 points lower.
Company news
Spark Infrastructure Group (ASX:SKI) has improved its full year profit by 2 per cent to $82.6 million. Subject to business conditions, Spark has forecast distribution growth of between 3 to 5 per cent per share between next year through to 2015. A final cash distribution of 5.25 cents per security has been declared. Shares in Spark Infrastructure are trading 0.72 per cent higher at $1.405.
Billabong International Limited (ASX:BBG) has rejected a $765 million takeover offer from private equity group TPG Capital. The surf-wear retailer says the indicative price of $3 per share proposed by TPG does not reflect the fundamental value of the company. Shares in Billabong International are trading 2.75 per cent higher at $2.99.
Best and worst performers
The sectors are mainly trading lower: The best performing sector is Utilities gaining 23 points to 4,580. Shares in Envestra Limited (ASX:ENV) have risen 0.9 per cent and trading at $0.787. Shares in AGL Energy Limited (ASX:AGK) and Spark Infrastructure Group (ASX:SKI) are also stronger.
The worst performing sector is Materials, falling 158 points to 11,384. Shares in Newcrest Mining Limited (ASX:NCM) are 2.98 per cent lower, at $33.52. Shares in BHP Billiton Limited (ASX:BHP) are trading lower, the stock going ex-dividend today. Shares in Kagara Limited (ASX:KZL) are also down at noon.
New Zealand
The NZSX50 is 6 points lower at noon: Taking a look at the top four stocks by turnover, Fletcher Building is at the top of the list with stock 0.31 per cent higher to $6.42, followed by Telecom Corporation of New Zealand, Westpac Banking Corporation and Chorus.
Gold and the dollar
Gold is trading at $US1,773 an ounce.
The Australian dollar is buying $US1.0674.
