The market is down 61. The SFE Futures were down 31 this morning.

The Dow Jones closed down 131 overnight. The Dow closed lower for a third day and hit its lowest level in two weeks. The euro continued its decline, falling to $1.294, its lowest level against the dollar in 11 months. An Italian bond auction was struck at a yield of 6.47% up from the last 5 year bond at 6.29% sending warnings about Italy’s ability to fund itself. Recent warnings about a downgrade to France’s AAA rating could threaten the top rating of Europe’s bailout fund and weigh heavily on the euro. Gold was the big mover overnight — down 5% or $84.10 to $1579 and oil fell 5% or $5.18 to $94.99. The Aussie dollar fell below parity to 99.14c from 100.14c. Metal prices all down as well.

Main points:

  • National Australia Bank (NAB) has held their AGM today. Chairman Michael Cameron said global economic conditions were having an impact on Australian businesses and are pushing the cost of funds up. He added that the NAB are well positioned for satisfactory returns and volatile markets have pushed up the cost of doing business across the board. 2012 will be another tough year. NAB down 34c to 2352c.
  • Talk is that the Commonwealth Bank (CBA) will sell their 17% stake in Mortgage Choice (MOC) before Christmas. They also have a substantial stake in Countplus (CUP) which could also be up for sale. CBA down 71c to 4867c and MOC down 0.5c to 129c.
  • According to the AFR, Qantas Airways (QAN) will have to raise capital despite management denying a capital raising is an option. QAN down 1.5c to 151.5c.
  • Westpac Bank (WBC) CEO says major Australian banks will have to move interest rates independently of the RBA next year because of funding cost issues. Not what the government and mortgagees want to hear. WBC down 1.6% to 2046c.
  • Leighton Holdings (LEI) has been awarded a $240m mining contract extension at the South Australian Iron Ore mine. LEI down 2% to 1983c.
  • REA Group (REA) raised their stake in Italian property portal to 100% for a cash consideration of $9.22m. They’ve had a controlling interest in the site since February 2007. REA up 11c to 1240c.
  • Bannerman Resources (BMN) has received commitments to raise $8.2m through an equity placing.
  • BlueScope Steel (BSL) is in a trading halt and they seek to sell shares not taken up in a recent capital raising at 40c. The halt will last until Monday unless the outcome of the bookbuild is known earlier. BSL last traded at 43.5c.
  • Ten Network (TEN) up 6% on talk that restrictive media laws will be abolished.
  • New motor vehicle sales fell 0.7% in November to a seasonally adjusted 87,370 units, compared to 88,003 units in October

For a free 5 day obligation FREE TRIAL of the MARCUS TODAY newsletter Click Here. You will receive our renowned and popular Daily email about the stockmarket 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 Recommended Portfolio which is actively managed on behalf of subscribers … no “set & forget”. Everything you need to effortlessly managed your own long term investment portfolio. It includes Income Portfolio recommendations.
  • 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’s Educational and Entertaining articles.

We also offer a FREE END OF DAY EMAIL —  Click here —  A free summary of the day in the market.

Subscribe to MARCUS TODAY —  Click Here. 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.