Australian Stocks at 3-month Lows; Stockland, Westfield in Focus

Marcus Jacob
08 Jun, 2011
New York City

Australian stocks declined for the third day this week and extended losses in the fourth week in a row. The dollar edged lower and commodities prices generally closed down. David Jones and JB Hi-Fi fell to two year lows. Stockland and Westfiled put properties for sale.

[R]5:10 PM Sydney – Australian stocks declined for the third day this week and extended losses in the fourth week in a row. The dollar edged lower and commodities prices generally closed down. David Jones and JB Hi-Fi fell to two year lows. Stockland and Westfiled put properties for sale.[/R]

The ASX 200 index dropped 0.6% or 29.50 to 4,536.8 and All Ordinaries index fell 0.7% or 32.40 to 4,608.70.

Stock trading turnover decreased back to 1.80 billion shares worth $5.3 billion. Of the shares traded, 413 increased, 656 declined and 418 were unchanged.

The Australian dollar decreased a fraction to US$1.066 and crude oil price edged 45 cents lower to US$98.63 a barrel.

Stock Movers

Commodities and resources linked stocks declined after broader market indexes fell. Gold miners led the decliners.

BHP Billiton declined 17 cents to $42.79 and Rio Tinto increased 31 cents to $79.60.

Fortescue Metals Group increased 12 cents to $6.35.

Newcrest Mining declined 70 cents to $37.66 and Resolute Mining fell 3.5 cents to $1.07 and Kingsgate Consolidated eased 46 cents to $8.16.

Woodside Petroleum fell $1.17 to $43.88. Santos ltd declined 28 cents to $13.76 and Oil Search fell 5 cents to $6.59.

Retailers declined for the second day of this week and extended losses to the lows last seen two years ago.

David Jones fell 9 cents to $3.99 and JB Hi-Fi dropped 40 cents to $16.12.

Banks closed mixed but a negative bias.

Macquarie Group fell 99 cents to $31.01.

National Australia Bank declined 36 cents to $24.08 and Commonwealth Bank fell 41 cents to $49.32. Westpac added 1 cent to $21.53 and ANZ inched up 1 cent to $21.34.

QR National fell 9 cents to $3.20 and CSL declined 40 cents to $33.23.

Stockland increased 1 cent to $3.47 after the real estate company confirmed that it is looking to sell 20% of its entire portfolio for $200 million. The company plans to sell its industrial property portfolio and focus on retail, retirements and residential property.

Westfiled Group closed unchanged at $8.72 after the company was reported have placed 17 malls on the market in the U.S. The mall operator plans to trim its portfolio of 55 malls in the U.S. and focus on faster growing properties in its portfolio.