Markets blog
Shares steady despite weak leads
Updated | The ASX is steady on Thursday morning despite negative overseas leads, as worries about the economic outlook for the euro zone and disappointing US data weighed on sentiment.
Aust bonds strengthen amid global worries
Australian bond futures prices have followed US Treasury bonds stronger amid caution about the global economy and the European financial situation.
Markets
Equities, $A stumble on economic outlook
Before the Bell | With Europe heading closer to recession and doubts about the financial future of debt-stricken Greece, there’s little buying enthusiasm ■ US stocks in the red ■ SPI down 12pnts ■ $A slips
Brazil eyes move on Australian iron ore
Exclusive | Brazilian miner Vale is examining investment in iron ore assets in Western Australia to help overcome the disadvantage of the distance between Brazil and China relative to Australia and China.
China to outshine India in gold market
China is poised to overtake India to become the world's biggest market for gold this year, thanks to soaring investment purchases of bullion and steadily rising jewellery sales, according to the World Gold Council's annual report.
World Indices
| S&P/ASX 200 | 4,270.3 | - 22.8 | - 0.53% |
| ALL ORDINARIES | 4,351.7 | - 20.4 | - 0.47% |
| S&P/ASX 100 | 3,475.4 | - 18.2 | - 0.52% |
| SMALL ORDS | 2,476.3 | - 10.8 | - 0.43% |
| Dow Jones | 12,938.67 | - 27.02 | - 0.21% |
| S&P 500 INDEX | 1,357.66 | - 4.55 | - 0.33% |
| NASDAQ COMPOSITE | 2,933.17 | - 15.40 | - 0.52% |
| Wilshire 5000 | 14,263.27 | - 54.25 | - 0.38% |
| FTSE 100 | 5,916.55 | - 11.65 | - 0.20% |
| CAC 40 INDEX | 3,447.37 | - 17.87 | - 0.52% |
| SMI PR | 6,192.42 | - 45.40 | - 0.73% |
| XETRA DAX PF | 6,843.87 | - 64.31 | - 0.93% |
| HANG SENG INDEX | 21,549.28 | 0.00 | 0.00% |
| STRAITS TIMES | 2,995.59 | - 29.48 | - 0.97% |
| NIKKEI 225 INDEX | 9,535.12 | - 18.88 | - 0.20% |
| SSE COMPOSITE/d | 2,403.59 | 0.00 | 0.00% |
Currencies
| AUD | USD | EUR | JPY | GBP | |
| AUD |  |
1.0621 | 0.8018 | 85.25 | 0.6782 |
| USD | 0.941 |  |
0.7549 | 80.24 | 0.6384 |
| EUR | 1.2457 | 1.3243 |  |
106.26 | 0.8454 |
| JPY | 0.0117 | 0.0125 | 0.0094 |  |
0.0080 |
| GBP | 1.4732 | 1.5662 | 1.1824 | 125.66 |  |
The next source of worry after Greece
If Greece finally is old news, what’s going to fill the investor attention void? Candidates include Portugal, China and the US.
Medicine is making Greece sicker
The efforts of Europe and the IMF to plaster over Greece’s budget problems look likely to soon lose their last vestiges of credibility.
Gonski: beyond the spin
Christopher Pyne is right when he says the highest priorities in education are teaching, curriculums and more independent school management.
Decmil looks under-resourced
Decmil Group says it has achieved a net profit of $13 million in the first half of 2011-12, well below the forecasts of analysts at Moelis who were expecting a net profit of $16.3 million.
Medicine is making Greece sicker
The efforts of Europe and the IMF to plaster over Greece’s budget problems look likely to soon lose their last vestiges of credibility.
Hope flows from liquidity boost
Equity investors are clearly hoping the Greek debt deal is about to become yesterday’s news. And they’ve welcomed moves by Chinese authorities to again loosen credit constraints.
Nordic currencies stung in Europe’s debt crisis
Sweden and Norway are losing their appeal as havens from Europe’s debt crisis at a time when the krona and krone are more overvalued than at almost any point in the past 40 years.
Lazard picks, and holds, for value
For Lazard Asset Management’s Rob Osborn, the proclaimed death of “buy and hold” as an investment strategy could not be further from the truth.
Broker watch
Flight Centre (FLT)
Commonwealth Bank of Australia has retained its “buy” recommendation on Flight Centre and has raised its price target to $26.45, from $24.75.
Downer EDI (DOW)
Commonwealth Bank of Australia has maintained its “sell” rating on Downer EDI following the release of the company’s first-half results yesterday, which were in line with its expectations.
Taking stock
Downer EDI (DOW)
Revenue growth of 79 per cent at Downer Mining was one of the key highlights of Downer EDI’s interim results, but growth was not as impressive in the other divisions.
Sonic Healthcare (SHL)
Shares in Sonic Healthcare came under pressure ahead of its result this week as analysts adjusted numbers after the company revealed a more pronounced seasonal earnings split with earnings weighted to the second half.
Company News - Earnings and Reporting
Perpetual first-half net plunges 34pc
Financial services group Perpetual said its first-half net profit fell 34 per cent to $22.931 million on restructuring costs and as it fights an uncertain economic outlook.
David Jones sales slip, guidance reaffirmed
David Jones has reaffirmed its guidance for a 15 to 20 per cent decline in first-half net profit despite releasing better than expected sales for the second quarter.
Company News - Mergers and Acquisitions
GM, Peugeot discuss potential alliance
General Motors is in talks about a possible alliance with France’s leading car maker PSA Peugeot Citroen, a deal that could dwarf PSA’s partnerships with BMW, Mitsubishi Motors and Toyota.
Shell agrees to buy Cove Energy for $1.5bn
Royal Dutch Shell has made an agreed £992.4 million bid for Mozambique-focused Cove Energy, offering a full price to open up a new gas frontier for the Anglo-Dutch oil major in East Africa.
Equity Markets
Ask the professional: Piers Watson
This global equity manager holds high hopes for the future of his asset class.
Debt Markets
Greece rushes to adopt emergency laws
Greece is scrambling to adopt emergency laws that will apply harsher cuts to wages and government spending but is facing further doubts over its financial future after Fitch cut it rating deeper into junk status.
Inside the minds of company directors
Opinion | Directors believe the vast majority of recent regulation is populist, are appalled about AGMs, and reckon M&A might strengthen in 2012, a recent survey has discovered.
Currency Markets
CEO Q&A: Matt McCarthy
Travelex’s regional divisional director tells us how business has changed and why now is not the time to play it safe.
Tiger economy puts the bite back into life
It seems that consumers are far more inclined to focus on negative news than on the positive variety.
