Stocks flat at midday on possibly hung parliament
The Australian stock market swung between small gains and losses at midday as resources offset mixed results in other sectors.
At Monday noon east-coast time, the benchmark S&P/ASX200 Index gained 2.7 points or 0.06 per cent at 4433.6 points. The broader All Ordinaries Index had climbed 2.3 points or 0.05 per cent to 4464.4 points.
On a sector-by-sector basis, telecommunications was the worst off, weaker by 4.91 per cent after Telstra shares lost as much as 18 cents or 6.1 per cent to $2.78.
The telecoms' performance is no surprise amid uncertainty about the future of the national broadband network and as the company went ex-dividend to the tune of 14 cents. The stock touched its record low and shortly after midday dropped 17 cents.
Financials fell 0.33 per cent but the other sub-indices edged up, led by utilities, which increased 2.02 per cent, and information technology, climbing 1.54 per cent.
With company earnings reporting season entering its final week, the uncertainty surrounding the election outcome had been viewed to leave traders even more nervous than usual. Already announced this morning are results from Westpac, Challenger Financial, RCG, Caltex, nib Holdings, Boart Longyear, RCR Tomlinson, Spark and Ansell.
Rumours that brewing giant SAB Miller may seek to swallow Foster's Carlton & United Breweries unit saw the latter's stocks soar as these recently increased 32 cents to $6.14, after climbing as much as 6.53 per cent in morning trade.
On the Sydney Futures Exchange, the September share price index contract added 18 points at 4414, on a volume of 14,840 contracts.