Australian Dollar in 8th Weekly Gain Against Euro, Billabong Surges

Marcus Jacob
06 Jul, 2012
New York City

Australian indexes traded lower on Friday but managed to close up 1.5% in the week. Resources stocks fell after commodities prices weakened on the worries of economic slowdown in China. The Australian dollar closed up for the eight week in a row against the euro.

[R]8:00 PM Sydney – Australian indexes traded lower on Friday but managed to close up 1.5% in the week. Resources stocks fell after commodities prices weakened on the worries of economic slowdown in China. The Australian dollar closed up for the eight week in a row against the euro.[/R]

Australian stocks closed lower after a steep decline in the first thirty minutes of trading and dropped further by the early afternoon. The indexes rebounded in the evening hours and pared half the day’s losses.

The ASX 200 index slipped 11.40 to 4,157.80 and All Ordinaries index decreased 10.97 to 4,198.98. For the week, the ASX 200 index increased 1.5%.

The Australian dollar rebounded to US$1.022 and closed up for the fourth week in a row against the dollar and gained for the eighth week in a row against the euro.

In trading, turnover increased to 1.24 billion shares worth $2.89 billion and 406 stocks rose, 460 decreased and 349 were unchanged.

Stock Movers

Billabong International Limited soared 13 cents or 12.5% to $1.17 in heavy trading of 9.6 million shares after Macquarie Group acquired 23.9 million shares according to a statement with the ASX regulator.

Billabong plunged last month to as low as 96 cents from the high of $17 five years ago and $5 a year ago.

News Corp slid 3 cents to $21.85 and Ten Network added 1 cent to 48 cents and Fairfax Media closed unchanged at 58.5 cents.

Fairfax said that the rating agency S&P reaffirmed the company’s debt rating at BB+ but lowered the outlook to negative from stable.

Resources stocks were lower on the worries that slowing economic growth in China may drag the demand for commodities and iron ore.

BHP Billiton Limited dropped 33 cents to $32.09 and Rio Tinto Limited declined 88 cents to $57.80. Fortescue Metals Group fell 5 cents to $4.88.

Lynas Corporation Limited rose 1.5 cents to 85.5 cents and Iluka Resources gained 7 cents to $11.70. Newcrest Mining slumped 24 cents to $24.13 and Kingsgate fell 2 cents to $5.26.

Oil Search Limited added 1 cent to $6.68 and Santos Limited dropped 26 cents to $10.69.

Metcash fell 3 cents to $3.19, Harvey Norman Holdings closed unchanged at $1.96 and Woolworths increased 7 cents to $26.97. Kathmandu rose 4 cents to $1.18.

David Jones Limited closed up 1 cent to $2.46.

Commonwealth Bank of Australia advanced 28 cents to $54.09 and Bank of Queensland was unchanged at $6.79. ANZ increased 10 cents to $22.58. National Australia Bank slipped 7 cents to $23.78 and Westpac Banking Corporation closed down 1 cent to $21.74. Macquarie Group decreased 16 cents to $26.16.

Perpetual Limited declined 48 cents to $23.0.

Stockland fell 3 cents to $3.09, Leighton dropped 29 cents to $16.48 and Toll Holdings rose 2 cent to $3.98.

Qantas decreased 1 cent to $1.10, Virgin Australia edged down 0.5 cent at 38.5 cents and Flight Centre added 1 cent to $20.50.

QR National closed unchanged at $3.33.