Australian Stock Market Report - Midday 2/24/2012

MIDDAY REPORT
(12pm AEDT)

The Australian share market is slightly higher in early trade, following modest gains on Wall Street overnight. US investors were encouraged by a report showing the number of Americans lining up for unemployment benefits last week remained at the lowest reading since March 2008. At lunchtime in the East, the All Ordinaries Index (XAO) is up 12pts or 0.3pct to 4379.6.

Financial stocks are supporting the gains, while index leader BHP Billiton (BHP) is also firmer, up 0.2pct to $36.29.

Australia's largest gold producer Newcrest Mining (NCM) has seen its share price fall 3.6pct to $34.78 after warning gold production is likely to fall in the March quarter due to a production issue at its Lihir mine in Papua New Guinea.

Entertainment group Crown Limited (CWN) has seen its first half profit rise by 79pct to $274.4 million, driven by turnover from high rollers. Shareholders will receive an interim dividend of 18c per share. CWN shares are up 0.7pct to $8.49.

AGL Energy (AGK) shares are lower by 3.7pct to $13.81 after its 1H profit missed expectations.

The Australian dollar is buying US107.49c, £0.6824 and €80.37c.

Juliette Saly, CommSec Market Analyst

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