Falls On Wall Street Overnight
December 4th, 2009 by Bryden Elssmann
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10366.15 | -86.53 | -0.8% |
| NASDAQ | 2173.14 | -11.89 | -0.5% |
| S P 500 | 1099.92 | -9.32 | -0.8% |
| FTSE 100 | 5313 | -14.39 | -0.3% |
| Nikkei 225 | 9977.67 | 368.73 | 3.8% |
| ASX 200 | 4,775 | 12.2 | 0.3% |
| COMEX Gold - Dec 09 | 1218.3 | 5.3 | 0.4% |
| COMEX Silver - Sep 09 | 19.128 | -0.197 | -1.0% |
| COMEX Copper - Sep 09 | 324.5 | -1.35 | -0.4% |
| WTI Spot | 76.48 | -0.12 | -0.2% |
| AUD-USD | 0.9245 | -0.0004 | -0.0% |
| Aluminium | 2102.5 | 58.5 | 2.9% |
| Copper | 7055 | 65 | 0.9% |
| Lead | 2445 | 102 | 4.4% |
| Nickel | 16400 | 135 | 0.8% |
| Tin | 15050 | 90 | 0.6% |
| Zinc | 2374.5 | 71.5 | 3.1% |
The Australian share market is likely to open lower this morning following falls on Wall St overnight after weak data on the services sector of the US economy fuelled concerns for the recovery. Lower oil and metals prices may also weigh on resource stocks today. Miners BHP Billiton Ltd and Rio Tinto Ltd could be in focus with the two expected to sign an agreement for their planned iron ore joint venture in Australia.
Company News
Telstra Corporation (TLS) closed steady at $3.49 yesterday. According to reports, the Australian Competition and Consumer Commission has frozen the prices payed to Telstra for access to its copper network. The watchdog says it will freeze prices until December 31 next year while it conducts a review of the prices that the telecommunications giant charges its rivals for access to its copper network. The move has outraged many competitors of the telco who access its copper network with many angry that instead of lowering the prices Telstra charges that ACCC has taken a ‘do nothing’ approach. Telstra’s 2009 net profit was just over $4 billion.
Shares in Caltex Australia Ltd (CTX) fell 2.22% to $9.26 yesterday. The Australian Competition and Consumer Commission has announced that it intends to oppose Caltex Australia proposed acquisition of Mobil Oil Australia’s retail assets. The ACCC says its decision was based on the likely effect the proposed acquisition will have on local market competition as well as the broader concerns about the effect of the acquisition on the stability and effectiveness of coordination between major fuel retailers in determining petrol prices. CEO Julian Segal says Caltex will consider its position on the basis of this decision, the public competition assessment and further discussion it proposes having with the ACCC and will then determine what action it will take in response. Caltex Australia’s 2008 net profit was significantly less than its high the year before of $646.3 million.
Incitec Pivot Ltd (IPL ),Australia's top fertiliser maker, has priced an US$800 million debt issue in the United States 144A bond market, it said on Friday. The fixed rate senior unsecured notes were issued with a coupon of 6.00 percent for 10 years, it said in a statement. The funding will be used primarily to repay the remainingA$352 million ($326 million) balance of, and cancel, a loan facility entered into in March 2009.
Quote of the day
“When the power of love exceeds the love of power the world will be a better place.”
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