The market is down 61. The SFE Futures were down 37 this morning.

The Dow Jones closed down 72 overnight. The Nasdaq was down 2% on disappointing results from Apple. European markets were higher on reports that the EFSF would be increased from its current €440 billion to between “one and two trillion euros”. But Sarkozy said that talks to tackle the euro zone crisis were stuck as they struggled to increase the bailout fund.

US CPI was in line with expectations, while housing starts were better than expected. The gold price down $11.20 to $1641.60. The oil price down $2.27 to $86.07. The Aussie dollar was down at 102.29¢ from 102.63¢. Market losing momentum into the weekend’s Euro solution announcement. Seems to have discounted a lot already. Resources in particular are on the slide after the Chinese GDP numbers this week.

Main points:

  • Wesfarmers’ (WES) Coles has posted a first quarter lift in salesup 8% higher on the same quarter a year ago. Food and liquor sales were up 5.5%, convenience sales jumped 17.7%. Bunnings sales up 8.5%. WES down 55¢ to 3163¢.
  • Newcrest Mining (NCM) has posted a 16% fall in production in the first quarter. They said the drop was due to maintenance shutdowns at its Lihir, Telfer and Gosowong projects, and bad weather at Lihir. But they say “Strong exploration results continued during the quarter at Wafi-Golpu, Namosi, Lihir, Gosowong and Telfer”. NCM down 5.3%.
  • Rio Tinto (RIO) has offered $602.75 million for Canadian junior uranium explorer Hathor Exploration in an all cash deal. Rio said their “strategy is to invest in the primary uranium producing regions of the world” and that “the acquisition provides a quality opportunity to expand the Rio Tinto presence in the Athabasca Basin which currently provides approximately 20% of global uranium production”. RIO down 182¢ to 6226¢. Other uranium stocks boosted a touch on M&A hopes and the RIO commitment to the sector.
  • Amcor’s (AMC) AGM says Q1 performance met expectations and the “earnings in 2012 are anticipated to be substantially higher than in 2011, largely driven by operating improvements and realisation of further synergy benefits from recent acquisitions”. AMC up 1.9%.
  • Leighton Holdings (LEI) has established a $US600 million lease facility to further expand its mining activities and fund existing subsidiaries in Indonesia.  CFO Peter Gregg said “This new facility will enable us to take advantage of the many opportunities available to the business in Indonesia”.  LEI down 1.7%.
  • Super Retail Group (SUL) has emerged from its trading halt and has announced the completion of their institutional entitlement offer which has raised $248m.  SUL down 14.8%.

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