Australian Stock Market Report – Afternoon 1/6/14
By Steven Daghlian, CommSec Market Analyst | January 6, 2014 6:48 PM EST
The Australian sharemarket steadily worsened this afternoon, with the All Ordinaries (XAO) falling 0.5 per cent by close. Today was extremely quiet on the volume front however, with investors in holiday mode. There were around half as many shares traded as usual. The banks were minimising the losses at lunch; however the gains fell away with the rest of the market later in the session.
Tim Wimborne / Reuters
People look at market display indicators through the window of the Australian Stock Exchange in Sydney
All sectors slipped into the red; with slumping commodity prices on Friday holding back both the miners and energy players. Australia's second biggest company and world's largest resource business, BHP Billiton (BHP) dropped by 0.56 per cent; wiping out 2.4pts from the All Ordinaries Index in the process. Iron ore miner, Fortescue Metals (FMG) was the worst performer; slumping by 1.89 per cent.
Mining services group, Forge Group (FGE) has continued to rise, with its shares edging 0.35 per cent higher, thanks to investment firm BlackRock snapping up a 5.3 per cent last week. FGE rose by 38 per cent last week.
At the close, 1.39bn shares changed hands, worth $2.38b. 423 stocks were higher, 468 fell and 342 closed flat.
Tonight in Europe, the latest reading on the health of the euro zone's services sector will be out at 8pm (AEDT). A reading of 51.2 is expected by the market (a number above 50.0 indicates industry expansion).
It should be an eventful evening for economic releases tonight in the U.S. with a monthly reading on factory orders and a senate vote amongst the highlights. At 2am (AEDT), the factory orders report will be issued; with a rise in orders often indicating a future rise in manufacturing activity. A 1.8 per cent rise over November 2013 is forecast by the market. At 9.30am (AEDT) tomorrow morning, the U.S. Senate will vote to either pass or reject the nomination of Janet Yellen as the head of the Federal Reserve (four year term starting in Feb and ending at the start of 2018).
Looking ahead to the rest of the week, the highlight globally will be the monthly non-farm payrolls report out of the U.S. this Friday. This is one of the more important pieces of economic data as it significantly influences the Federal Reserve's plans and the market's thinking in relation to stimulus tapering expectations.
[Kick off your trading day with our newsletter]
More from IBT Markets:
Follow us on Facebook
Follow us on Twitter
Subscribe to get this delivered to your inbox daily
Most Popular Slideshows
- In Photos, Typhoon Rammasun Blasts the Philippines
- Ellen DeGeneres Caught Cheating with Mutual Friend Before Portia de Rossi’s Rehab – Reports [PHOTOS]
- Flight MH17 Attack: Russians Claim 'Putin A Terrorist,' Memorial at Dutch Embassy Overflows [PHOTOS]
- Malaysia Airlines MH17: Vital Black Boxes Finally Land in Hands of Malaysian Authorities, Rebels Announce Ceasefire (PHOTOS/VIDEOS)
Join the Conversation
- Australian Stock Market Report – Midday July 23, 2014
- Australian Stock Market Report –Midday July 22, 2014
- Major European & U.S. Airlines Cancel Flights to Israel after Rocket Attack on Tel Aviv Airport
- BHP Billiton Goads Abbott Government to Also Repeal Mining Tax Law
- Australian Stock Market Report – Morning July 23, 2014
- Google Nexus 8 Release Date Soon Along with 2 More HTC Android Tablets – Reports
- Windows Phone 8.1 Update Rollout: 20 Nokia Lumia Phones Eligible and 13 New Features to be Added
- Sony PlayStation 4 Outsells a Resurgent Xbox One in June
- Three New Moto G Successors Spotted in FCC Document Dubbed Moto G2, Moto M and More --Reports
- NVIDIA Shield Gaming Tablet with Tegra K1 SoC Reported to be Released on July 29