Australian Stock Market Report – Midday 8/15/13

MID-SESSION REPORT
(12pm AEST)

The Australian share market remains flat in early trade on Thursday, as investors weigh up profit results against a triple digit loss on Wall Street overnight.

The All Ordinaries Index remains unchanged from yesterday's close at 5,141 points. Overnight the Dow Jones Index eased 0.7 per cent as investors continued to speculate on when the Fed may taper the QE3 program and after retailer Macy's missed expectations with its quarterly sales and warned consumers were shying away from discretionary spending.

In company news today, retail conglomerate Wesfarmers (WES) has beaten expectations with its FY13 result. Net profit rose 6 per cent to $2.26B, with strong growth at Coles while Target disappointed. Coles FY13 profit rose 13 per cent to $1.53B. Shareholders will receive a final dividend of $1.03 per share plus a capital return of 50 cents per share. WES shares rose two per cent immediately following the result but are only slightly higher at lunchtime in the East.

Also reporting today, wealth management company AMP Limited (AMP). 1H profit rose 6 per cent to $393M, above expectations. AMP also announced that incoming CEO Craig Meller will replace Craig Dunn, who's retiring in January. AMP will pay an interim dividend of 11.5 cents per share. AMP shares are up 3.9 per cent in early trade to $4.715.

Elsewhere the Bank of Queensland (BOQ) has announced it will refund an estimated $34.5 million to its customers after an internal review found errors in its interest rates and fees, dating back almost a decade. BOQ shares are up 0.4 per cent in the early session to $9.74.

So far on the market, a total of 798 million shares have changed hands, worth $2.3 billion. 385 shares are firmer, 321 are down and 282 are unchanged.

The Aussie dollar is buying US91.55c.

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