Australian Indexes Advance, Seven West Media Plunges 22%

Marcus Jacob
26 Apr, 2012
New York City

Australian indexes gained a fraction and media stocks declined after Seven West Media lowered its profit outlook. Mining stocks were in focus after Caterpillar reported sales weakness in China.

[R]8:00 PM Sydney – Australian indexes gained a fraction and media stocks declined after Seven West Media lowered its profit outlook. Mining stocks were in focus after Caterpillar reported sales weakness in China.[/R]

Australian stocks gained in weak trading after the latest data failed to sway investor sentiment. Market indexes opened higher tracking the stronger than expected earnings in the U.S. but weak Asian markets trading dragged the market sentiment in the late afternoon.

The ASX 200 index increased 14.80 to 4,375.20 and All Ordinaries index gained 11.10 to 4,444.96.

The Australian dollar closed at $1.0376.

Stock Movers

Seven West Media dropped 22.8% or 86 cents to $2.91 after it lowered the operating earnings outlook to between $460 million and $470 million for the year full year ending on June 25.

The lowered profit outlook at Seven dragged down Southern Cross by 4%, Prime Media by 2.7% and Fairfax Media by 2.8% but Ten Networks closed flat.

BHP Billiton closed up 2 cents to $35.10 and Rio Tinto soared 56 cents to $66.16 and investors took a note of weak sales of Caterpillar equipment in China according to the company’s latest earnings report.

Lynas Corporation Limited closed unchanged at $1.12 and Iluka Resources advanced 44 cents to $17.48.

Newcrest Mining declined $1.03 or 3.8% to $25.57 after it reported quarterly production estimates and lowered its full year 2012 estimate to between 2.25 million to 2.35 million ounces from 2.43 million and 2.55 million ounces.

Kingsgate decreased 10 cents to $6.15.

Oil Search Limited rose 5 cents to $7.52. Woodside Petroleum fell 6 cents to $34.57 and Santos Limited gained 20 cents to $13.95.

David Jones Limited unchanged to $2.46, Harvey Norman Holdings closed up 4 cents to $2.07 and Woolworths fell 2 cents to $25.82. Myer rose 2 cents to $2.39 and Kathmandu unchanged to $1.35.

Billabong International Limited slipped 6 cents to $2.70.

Westpac Banking Corporation advanced 20 cents to $22.67 and Commonwealth Bank of Australia surged 51 cents to $51.66. Bank of Queensland gained 26 cents to $7.48. ANZ rose 1 cent to $23.73 and Macquarie Group increased 3 cents to $28.43.

Stockland decreased 7 cents to $3.05.

Telstra gained 4 cents to $3.51 and closed at the highest level since August of 2009 and after hitting the low in December 2010.

Qantas fell 1 cent to $1.63, Virgin Australia edged down 0.01 cents to 38 cents and Flight Centre added 3 cents to $20.79.

QR National gained 4 cents to $3.67.