Australian Stock Market Report – Midday 11/21/13

MID-SESSION REPORT
(11.30am AEDT)

The Australian share market is in the red for the fourth time this week, despite hopes we would see a rebound today.

Things were looking good for our market until the last hour and a half of US trade, when stocks fell into the red following the release of the US Federal Reserve board minutes. According to the minutes, many Fed members felt if the economy warranted, it could decide to slow bond purchases at one of its next few meetings. It noted that many members were seeing downside risk to the economic outlook as having diminished. At the close of trade left, the Dow Jones was down by 66 points or 0.4pct with the S&P 500 down by 0.4pct and the Nasdaq was lower by 10pts or 0.3pct.

Locally, financial stocks are under pressure with the financial sector down 0.4 per cent.

The energy sector is higher, thanks to a rebound in the oil price. The S&P/ASX 200 Energy Index is up 0.6 per cent to 13400.4pts.

One of the biggest companies by market capitalisation, BHP Billiton (BHP) is due to hold its annual general meeting in London later today. BHP shares are up 0.2 per cent in early trade to $37.63 while Rio Tinto (RIO) shares are firmer by 0.5 per cent to $65.08.

Sonic Health Care (SHL) is another firm holding its AGM today. The world's third largest medical diagnostics company has told shareholders it has a strong and stable financial outlook and remains a market leader in Australia, Germany and the UK. SHL shares are down 0.6 per cent in early trade to $16.28.

So far on the market, 664 million shares have changed hands, worth $1.9 billion. 290 are up, 408 are down and 267 are unchanged.

The Australian dollar is buying US93.3c, £0.5796 and €69.46c.

[Kick off your trading day with our newsletter]