At the start of today's session, a sluggish trading is still the general sentiment as there is not enough good news that could perk up the appetite of investors.

In Sydney, the S&P/ASX 200 Index futures contract due in September declined 0.7 percent to 4,232 as of 6:59 a.m. The Bank of New York Australia ADR index S&P/ASX200 index dropped 1 percent to 4,301.50.

Mining stocks may benefit as copper prices jumped for the first time in three days in New York in correlation to reports that U.S. manufacturing rose for the ninth consecutive month.

(BHP AU), the world's largest mining company, lost 1.1 percent to A$37.65 in Sydney on Thursday. Rio Tinto Group (RIO AU), the world's third-largest mining company, retreated 2.6 percent to A$66.66. The two companies were apprehensive of that they must share some of their Western Australian rail lines with rivals, the country's competition tribunal said.

Billabong International Ltd. (BBG AU): The publicly traded surf wear maker said it has agreed to buy West 49 Inc. for C$1.30 a share. Billabong shares gained 1.2 percent to A$8.74 on Thursday.

Westfield Group (WDC AU) was also given by a "neutral" from "underperform" at Credit Suisse.

Australia's largest housing developer Stockland (SGP AU) was given a "neutral" upgrade by Credit Suisse.

Virgin Blue Holdings (VBA AU) disclosed that the airline will integrate its long-haul operation V Australia into its main business, Reuters reported citing a memo from Chief Executive Officer John Borghetti to the airline's staff. Virgin Blue shares lost 3.3 percent to 29.5 Australian cents.