The market is down 37. SFE Futures were down 28 this morning.
The Dow closed down 115 — was down 126 at worst. July home sales came in better than expected (+3.6%) but the initial unemployment claims data before the US markets opened missed expectations. The President of the Reserve Bank of Saint Louis James Bullard told CNBC that new measures by the US Central Bank were not a certainty contradicting the tone of Wednesday’s release of minutes from the Fed’s latest policy meeting.
Weak Chinese and Euro zone data — The HSBC Chinese Flash PMI number came in below expectations yesterday and the Eurozone PMI number was benign. The focus is now on the meeting between German Chancellor Angela Merkel and Greek Prime Minister Antonis Samaras tonight.
Worst Sectors — Basic Materials (-1.7%), Utilities (-1.0%), Technology (-1.0%), Financials (-1.0%) and Energy (-1.0%). The Stoxx Europe 600 index fell by 0.6% with Utilities (-1.3%), Financials (-0.8%), Energy (-0.6%) and Industrials (-0.6%).
Get Crikey FREE to your inbox every weekday morning with the Crikey Worm.
Spanish 10 year bond yield up 7.2bpts to 6.34%. Italian 10 year bond yield up 3.9bpts to 5.69%. Metals up–– Copper up 1.06%, Nickel up 2.70%, Zinc up 1.58%, Aluminium up 1.84% and Lead was up 1.94%. Iron Ore down 4.9% to $99.6 per tonne. Vale SA (world’s largest iron ore producer) down 3.2% in San Paulo to 34.19 reais, a 35 month low. Aussie dollar is at 104.39c
Earnings Season Results:
- Woolworths (WOW) — FY12 guidance disappoints — Net profit of $1.82bn down 15%. WOW expects net profit to grow in the range of 3%-6% in the 2012/13 year. Forecast was below market expectations of almost 8%. WOW is down 1.66% to 2900c.
- Whitehaven Coal (WHC) — FY result slight below consensus — Net profit of $62.5m overshadowed by Nathan Tinkler’s decision to pull out of his 520c takeover bid. WHC is down 12.07% to 306c.
- IRESS (IRE) — Interim result below consensus forecast — Profit was $19.7m down from $21.7m and below an analyst forecast of $25.9m. IRE is down 2.22% to 704c.
- NRW Holdings (NWH) — FY result above expectations — Net profit of $97.1m up 136% and above a consensus forecast of $95.4m. NWH is down 3.67% to 289c.
- Australian Infrastructure Fund (AIX) — Receives takeover bid — FY Profit of $195m which was down 8% from $212m. AIX is up 21.51% to 322c after a $2bn bid from the Future Fund.
- Telecom Corp of NZ (TEL) — Net profit of $1.15bn up 604.3%. Revenue was $4.576bn down 8.6%. Final dividend 11c. TEL is down 8.18% to 196.5c.
- St Barbara (SBM) — FY statutory profit up 90% to $130m. Underlying profit up 140% to $131m. Cash balance of $185m. SBM is down 0.81% to 152.75c.
- Tabcorp Holdings (TAH) — is seeking compensation of $686.8m from the Victorian government following the expiry of their license to operate poker machines. TAH is down 1.39% to 284c.
For a five day 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 Portfolio recommendations which is actively managed on behalf of subscribers … no “set & forget”. Everything you need to effortlessly
- managed 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’s 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.