Australian Stock Market Report – Midday 11/20/13

MID-SESSION REPORT
(12.30pm AEDT)

The Australian share market is being sold off for the third time this week, down 0.8 per cent at lunchtime in the East despite only modest falls on the US Dow Jones Index overnight.

Energy stocks are the worst performers, the sector down 2.3 per cent today.

The materials sector is down 0.8 per cent while banks are down 0.6 per cent at lunch despite attempting a comeback in early trade.

In company news, Myer (MYR) is holding its annual general meeting today. The retailer has told shareholders it remains cautious about the year ahead as it faces increased costs and a challenging economic and consumer environment. MYR shares fell 0.9 per cent in early trade to $2.815.

Meanwhile, outdoor wear retailer Kathmandu (KMD) has posted a 0.9 per cent rise in sales for the 16 weeks to November 19 to $70.9 million, in line with expectations. KMD shares are down 0.3 per cent in early trade to $3.39.

Virgin Australia's (VAH) boss John Borghetti has condemned rival Qantas's (QAN) campaign against foreign ownership as "absurd". QAN has set up an online petition against VAH's three major shareholders increasing their stake in the company. Air New Zealand, Singapore Airlines and Etihad Airways could lift their collective stake in Virgin Australia from 63 per cent to 70 per cent as Virgin issues new shares to raise $350 million. Richard Branson´s Virgin Group owns another 10 per cent stake. VAH shares are down 0.6 per cent to $0.3875 while QAN is firmer by 2.7 per cent to $1.155.

Oz Forex (OFX) shares are firmer by 2.6 per cent to $2.72 after the company said it's on track for FY14 forecasts and reported a 1H net profit of $9.7 million.

So far on the market, 782 million shares have changed hands, worth $1.63 billion.

The Aussie dollar is higher at US94.22c

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