Australian Indexes in 3-day Losses; Qantas Awaits Tribunal Ruling

Marcus Jacob
22 Nov, 2011
New York City

Australian stocks extended losses for the third day in a row. The benchmark index fell as banks, resource stocks and steelmaker led the decliners. Thorn Group, the retail chains operator said first half net soared 30%.

[R]6:00 PM Sydney – Australian stocks extended losses for the third day in a row. The benchmark index fell as banks, resource stocks and steelmaker led the decliners. Thorn Group, the retail chains operator said first half net soared 30%.[/R]

Stocks in Sydney trading declined for the third day in a row as world markets falter and the debt contagion in Europe reach to France.

The ASX 200 index fell 30 or 0.7% to 4,133.02 and All Ordinaries index decreased 0.7% or 29.4 to 4,204.20.

The Australian dollar dropped 1 cent to US$0.985.

In trading, stock turnover was 2.2 billion shares worth $5.14 billion nearly twice the number of shares declined for every share that rose.

Stock Movers

BHP Billiton Ltd closed down $0.30 to $35.60 and Rio Tinto Ltd decreased $1.40 to $64.50. Newcrest Mining decreased 20 cents to $35.05.

Fortescue Metals Group increased 5 cents to $4.90, Lynas Corporation Limited decreased 3 cents to $1.16 and Iluka Resources fell $0.89 to $14.85.

BlueScope Steel closed unchanged at 61 cents after the steelmaker said it will raise $600 million in an underwritten offer at 40 cents a share. The shares were halted before the announcement.

OneSteel declined 10 cents to 83 cents.

Uranium miner Paladin Energy decreased 3 cents to $1.46 and Peninsula Energy Ltd closed unchanged at 4.2 cents. Extract Resources decreased 8 cents to $7.48.

Oil Search Limited increased 1 cent to $6.13, Santos Limited fell 19 cents to $12.57 and Woodside Petroleum closed down 18 cents to $35.15.

Commonwealth Bank of Australia closed down 15 cents to $47.40 and National Australia Bank decreased 7 cents to $23.13. ANZ edged down 21 cents to $19.54. Westpac decreased 6 cents to $20.36.

David Jones Limited closed down 3 cents to $3.03 and Wesfarmers Limited fell 22 cent to $31.90. Harvey Norman decreased 2 cents to $2.05.

Thorn Group increased 7 cents to $1.70 after the operator of Radio Rentals and Rentlo said first half net surged 30% and the company said fiscal 2012 earnings will increase “substantially.”

Woolworths Limited closed down 14 cents to $24.51 and James Hardie Industries SE decreased 10 cents to $6.50.

Centro Retail Group and Centro Properties Group shareholders agreed to merge two companies. At the time of trading halt, Centro Retail was trading at 31 cents and Centro Properties at 4 cents. Both companies are in restructuring on heavy debt burden.

Ramsay Health Care Limited increased 16 cents to $18.77.

Qantas Airways Ltd closed down 7 cents to $1.57, Virgin Blue fell 0.5 cent 37 cents but Flight Centre declined 56 cents to $18.76.

Qantas and three unions are awaiting a ruling from the labor tribunal after both sides failed to agree on terms before the deadline set by the Fair Works Australia.