Asciano Sees Stability
October 27th, 2009 by Bryden Elssmann
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 9867.96 | -104.22 | -1.0% |
| NASDAQ | 2141.85 | -12.62 | -0.6% |
| S P 500 | 1066.94 | -12.66 | -1.2% |
| FTSE 100 | 5191.74 | -50.83 | -1.0% |
| Nikkei 225 | 10362.62 | 79.63 | 0.8% |
| ASX 200 | 4,830 | -29.1 | -0.6% |
| COMEX Gold - Dec 09 | 1042.8 | -13.6 | -1.3% |
| COMEX Silver - Sep 09 | 17.095 | -0.628 | -3.5% |
| COMEX Copper - Sep 09 | 301.1 | -2.35 | -0.8% |
| WTI Spot | 78.68 | -1.82 | -2.3% |
| AUD-USD | 0.9157 | -0.0048 | -0.5% |
| Aluminium | 1974 | 25.5 | 1.3% |
| Copper | 6675.5 | 35.5 | 0.5% |
| Lead | 2376 | -29.5 | -1.2% |
| Nickel | 19150 | -345 | -1.8% |
| Tin | 15500 | 150 | 1.0% |
| Zinc | 2331 | 62 | 2.7% |
Capital worries surrounding Bank of America, coupled with a drop in commodity prices, drove the market lower. The Dow ended off 104.22 points, or 1.05%, at 9867.96. Bank of America led the decliners on concerns U.S. regulators are pushing the banking giant to raise more capital. The bank closed down 82 cents, or 5.1%, at 15.40, while other financials, such as JPMorgan Chase, off 1.41 or 3.1% at 43.82, also closed lower.
Gold retreated as a rising US dollar prompted profit taking. Gold often moves in opposition to the greenback because the metal is seen as a US dollar hedge and, more broadly, as an alternative currency. Gold fell to $US1042, down $US13.6 an ounce or 1.29%.
The SPI is down 40 points, so we should see the market test the 4800 level today.
Asciano sees stability
Transport and logistics company Asciano Group (AIO) said in its September quarter operating report this morning that it has seen some encouraging signs within a number of its businesses, with volumes and trading conditions showing signs of stability or improvement in the quarter.
Chief executive and managing director Mark Rowsthorn said first quarter coal haulage by its Pacific National rail business improved 25 per cent on a year ago. And while Asciano’s Patrick Container Ports stevedoring business saw the number of lifts improve 8 per cent quarter-on-quarter, the numbers were still down 17 per cent on a year ago.
Mr Rowsthorn said that although volumes for its non-bulk businesses remain below last year’s level, the overall results are in line with expectations.
Asciano’s net profit in 2009 was sharply lower than in 2008.
Asciano is currently trading in a sideways range, last price $1.60.
Please remember that this Thursday is Options expiry. If you have open positions please review them and contact your adviser to discuss your alternatives.
We would also like to introduce and welcome two new staff to Freeman Fox Stockbroking. Bryden Elssmann will be moving to an advisory role in due course.
Katy Loi has joined as a new advisor and will be contacting clients shortly. The addition of the girls will enable us to continue, and enhance, the service we have been providing to Freeman Fox clients.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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