News: Market Wrap: ASX posts soft start to new week

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After dropping 1.4 per cent over last week the Australian share market continued to trade in negative territory and ended 0.3 per cent lower. The soft start to the new week followed on from Wall Street’s falls on Friday and ahead of a US Federal Reserve meeting and rate outcome later this week. Across the sectors energy stocks weighed but strength among financials helped the benchmark to bounce off the sessions low by close. 

 

Figures

 

The S&P/ASX 200 index finished 17 points lower at 5,798. 

 

The value of trades was $4 billion on volume of 617 million shares at the close of trade. 

 

The top three stocks by value were BHP Billiton Limited (ASX:BHP), Telstra Corporation Limited (ASX:TLS) and Commonwealth Bank of Australia (ASX:CBA). 

 

On the futures market the SPI is 17 points lower.

 

Economic news

 

New vehicle sales improved last month following the Reserve Bank of Australia’s rate cut. The Australian Bureau of Statistics (ABS) reports new car sales rose 2.9 per cent to 95,737 in February and are now 4.1 per cent higher from the year before. 

 

Company news

 

Shares in Vocation Limited (ASX:VET) jumped to the best performer in the All Ordinaries index after divesting two businesses for $15 million. The education and training company will sell Australian School of Management and the Australian College of Applied Education to Careers Australia Group. After falling more than 60 per cent this year shares in Vocation recovered 17.33 per cent today close at $0.09. 

 

Paladin Energy Limited (ASX:PDN) has advised its Langer Heinrich Mine in southern Africa is back to normal production following the repair of a pre-leach thickener. The uranium miner expects to provide revised annual guidance at the end of the month once overall output for the quarter is known. Shares in Paladin Energy fell 2.6 per cent today to close at $0.38. 

 

Oil and gas producer Woodside Petroleum Limited (ASX:WPL) has temporarily shut-in production at its Pluto LNG Plant in Western Australia. 

 

Origin Energy Limited (ASX:ORG) has advised the first of two new production wells at the BassGas Joint Venture with AWE Limited (ASX:AWE) has successfully spudded. 

 

Liquified Natural Gas Limited (ASX:LNG) has received a permit to construct its 8 million tonne per annum LNG facility in Nova Scotia and expects final approval in the second quarter.  

 

Gold and copper miner OZ Minerals Limited (ASX:OZL) has sold its 19 per cent stake in fellow mining company Sandfire Resources NL (ASX:SFR) for a cash gain of $2.5 million. 

 

Best and worst performers

 

The best performing sector was financials excluding REITs, adding 0.2 per cent to close at 8,070.
The worst performing sector was energy, losing 1.9 per cent to close at 10,940 points.

 

The best performing stock in the S&P/ASX 200 was Monadelphous Group Limited (ASX:MND), rising 5.05 per cent to close at $9.56. Shares in iiNet Limited (ASX:IIN) and Asaleo Care Limited (ASX:AHY) also closed higher.

 

The worst performing stock was Senex Energy Limited (ASX:SXY), dropping 7.46 per cent to close at $0.31. Shares in Regis Resources Limited (ASX:RRL) and MMA Offshore Limited (ASX:MRM) also closed lower. 

 

Commodities 

 

The price of gold is buying $US1,160 an ounce. 

Light crude is $2.07 lower at $US47.06 a barrel.

 

Currencies

 

The Australian dollar is buying $US0.7643.