Australian Stock Market Report - Midday 11/15/2011

LUNCHTIME REPORT (12.30pm AEDT)

The local share market is trading in the red in the early session, although the losses aren't as severe as was predicted following losses in European and US share markets overnight. Volatility returned to global markets overnight as investors questioned whether or not the new governments in Italy and Greece would actually be able to solve the European debt crisis. At lunchtime in the East, the All Ordinaries Index (XAO) is down 17.8pts or 0.4pct to 4351.3.

The Commonwealth Bank (CBA) has announced unaudited cash earnings for the three months to September came in at $1.75 billion. CBA shares are down 1.6pct in early trade to $49.08.

Uranium stocks are performing strongly after Prime Minister Julia Gillard announced she would reverse ALP policy and allow uranium exports to India. Shares in Deep Yellow (DYL) are up 16pct to $0.145 while Toro Energy (TOE) has firmed by 9pct, Paladin (PDN) is up 4.4pct and Pensinsula Energy (PEN) has gained 16pct.

The Australian dollar is worth US102.2c.

Juliette Saly, CommSec Market Analyst

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