The Australian market trended higher in early trade today, but lost its way as investors were disappointed by the annual results of several companies.
Here’s the scoreboard:
- S&P ASX 200: 5,473.20 -35.95 -0.65%
- All Ordinaries: 5,473.10 -31.85 -0.58%
- AUD/USD: 0.7320 -0.0092 -1.24%
On Wall Street, the S&P500 closed up 1.3%. The local market ignored the lead, with eight out of ten sectors in the red, reversing Monday’s 0.63% gain.
All the major banks fell, except for the Commonwealth, which is due to release its annual results tomorrow.
The NAB was down 2.58% to $32.46, the ANZ 1.73% to $30.07 and Westpac 1.93% to $32.05. The Commonwealth closed steady, down just 0.02% to $82.12.
Among the results today, WorleyParsons took a $200 million write down. It closed down almost 3% to $8.44.
Bradken, the mining engineering group, posted a $241.3 million loss, but the market gave a tick, closing up 1.35% to $1.125.
The top stories for Tuesday:
3. Cochlear drove revenue to record heights in the full year to June to post a 56% rise to $145.8 million in net profits. BUt what happened on market with Cochlear is a classic case of buy the rumour, sell the fact. Its shares closed down 7.2% to $83.56.
4. John Borshoff, the founder of uranium miner Paladin Energy, has stepped down as CEO after 21 years. Its shares closed up 11% to $0.20.
5. The NAB monthly business survey release this morning was a disappointment, showing that after rising sharply in June, Australian business confidence and conditions pulled back in July.
6. Tech help wanted. ANZ has established a tech panel with executives from a number of companies including Twitter and PayPal to advise the bank’s board on emerging digital trends.
7. Housing puzzles. Property guru John McGrath says we’re near the top of the Sydney market.
8. Three companies associated with billionaire mining magnate Gina Rinehart have been fined for late lodgement of financial records.