Australian Index in Yearly Gain of 15%, Sundance Inches Closer to Takeover

Marcus Jacob
31 Dec, 2012
New York City

Australian markets eased on the last day of trading. For the year, the benchmark index gained 14.6%, the best annual increase since 2009. Sundance Resources inched closer in completing its $1.4 billion deal with China based Hanlong Group.

[R]7:30 PM Sydney – Australian markets eased on the last day of trading. For the year, the benchmark index gained 14.6%, the best annual increase since 2009. Sundance Resources inched closer in completing its $1.4 billion deal with China based Hanlong Group.[/R]

Australian stocks slipped on the last day of trading in short sessions and looked at other markets for direction.

U.S. lawmakers narrowed their differences after rounds of discussions on weekend but failed to produce an accord. Senate is called for an emergency session on Monday at 11 a.m. but the vote is unlikely to take place.

A private survey in China showed growth in manufacturing rose to a 19-month high.

The HSBC manufacturing purchasing managers'' index rose to 51.5 in December from 50.5 in November, higher than the flash reading of 50.9.

The ASX 200 index slipped 22.40 or 0.5% to 4,648.90 and the broader All Ordinaries decreased 20.67 to 4,664.60.

Stocks traded in shortened sessions in Australia and New Zealand and trading was light.

Australian dollar backed off from its 3-month high to $1.0378 and traded near a 2-month low.

Stock Movers

BHP Billiton Limited dropped 30 cents to $37.10 and Rio Tinto Limited declined 52 cents to $66.01. Fortescue Metals added 1 cent to $4.65.

Newcrest Mining slumped 33 cents to $22.18. Kingsgate lowered 3 cents to $4.40 and Whitehaven Coal down 3 cents to $3.50.

Sundance Resources Ltd soared 15.6% after the Republic of Congo issued a key mining permit that will facilitate the takeover deal with China based Hanlong Group for $1.4 billion.

Transfield Services gained 3 cents to $1.95 and engineering contractors WorleyParsons plummeted 48 cents to $23.36.

Lend Lease slid 1 cent to $9.28.

Oil Search Limited down 1 cent to $7.01 and Santos Limited closed unchanged at $11.10.

Woodside Petroleum declined 31 cents to $33.88 and Origin Energy Limited slipped 6 cents to $11.62.

Fairfax Media Ltd increased 7% after a consortium of investors allied with Gina Rinehart purchased 0.1% stake in the company.

Woolworths slumped 13 cents to $29.33 and Kathmandu closed unchanged at $1.58.

David Jones Limited decreased 7 cents to $2.36 and Wesfarmers down 4 cents to $36.85. Breville Group plunged 35 cents or 5% to $6.65.

Commonwealth Bank of Australia decreased 7 cents to $62.18 and Bank of Queensland gained 5 cents to $7.35 and ANZ up 5 cents to $25.05. National Australia Bank slid 2 cents to $25. Westpac dropped 23 cents to $26.04.

Toll Holdings lowered 2 cents to $4.56, Leighton down 1 cent to $17.88 and property developer Mirvac Group added 1 cent to $1.49.

Westfield Group slipped 3 cents to $10.56.