5:30 PM Sydney – In volatile pattern, market indexes trimmed morning losses in Australia and banks led the charge. Australian dollar gained but gold and crude oil closed nearly unchanged. Arrium Ltd declined after announcing additional impairment charges.
Market indexes in Sydney opened lower following weak market conditions in New York in Friday’s trading and Greek jitters in the euro zone.
Market indexes recovered most of the losses in the session in moderate trading and banks were in focus.
Australian dollar closed at 77.20 U.S. cents and in stock trading turnover added to 683 billion shares worth $4.2 billion.
At close, the ASX 200 Index fell 6.50 to 5,538.80 and the broader All Ordinaries Index slid 10.60 to 5,541.10.
In commodities trading, gold slid US$1 to US$1,181 an ounce and Brent crude edged up 0.01 cents to close at US$63.88 a barrel.
Australian Stock Movers
declined 3% to 15 cents after the mining and materials group said it will take an additional write-down on assets of about $320 million after taking $1.3 billion in impairments announced in January.
The miner forecasted operating profit for the year in the range of $335 million to $350 million and as of June 30 net debt would be between US$1.75 billion and US$1.85 billion.
The company said it will reduce capital expenditure up to fiscal 2019 and will reduce production between 6 million and 8 million tons a year.
Burson Group Ltd
was halted at $3.40 and the auto component maker agreed to acquire Metcash Automotive Holdings Pty Ltd the automotive business of Metcash Limited for about $275 million.
The transaction is expected to close in next month.
jumped 1.8% to $1.13 after the grocery and wholesaler reported group sales revenues in the year ending in April jumped 1.7% to $13.6 billion from $13.4 billion in a year ago period.
Net in the year swung to a loss of $384.2 million compared to profit of $175.1 million and diluted loss per share swung to 42.4 cents from diluted earnings per share of 1.2 cents in the same period a year ago.
TEN Network Holdings Limited
surged 7.1% to 26 cents after the free-to-air broadcaster agreed to sell up to 15% stake in the company to cable-TV provider Foxtel for $77 million and raise another $77 million through a stock offering at 15 cents per share, a discount of 57%.
TEN plans to acquire 25% stake in Multi Channel Network, an advertising sales joint venture between Foxtel and Fox Sport as its sales representative.
TPG Telecom Ltd
gained 0.7% to $8.60 after the telecommunications services provider plans to revise $1.56 billion offer for smaller rival iiNet Ltd and be the second largest after Telstra.