5:30 PM Sydney, Australia – Australian market opened lower after banks and mining stocks dropped. The total number of home loans jumped while investment lending in the month plunged. Qube Holdings offered to acquire Asciano for $9.25 billion.
Markets in Sydney opened lower after banks and mining stocks dropped and total number of home loans in September increased 2% while investment lending in the month plunged 8.5%.
Oil stocks declined after oil prices dropped for the fourth day in a row on the rising U.S. supply weighed on prices.
The seasonally adjusted total number of home loans in September jumped 2% to 55,053 followed by 1.5% increase in August, the Australian Bureau of Statistics said.
Total investment lending in the month plunged 8.5% to $12.32 billion after edged up to 0.1% in August and the value of loans soared 3% to $21.05 billion after rising 4.3 percent a month earlier.
Australian dollar ease to 70.48 U.S. cents and in stock trading turnover jumped to 944 million shares worth $6.1 billion.
At close, the ASX 200 Index slipped 20.30 or 0.4% to 5,099.20 and the broader All Ordinaries Index decreased 22.60 to 5,157.70.
In commodities trading, gold slid US$1 to US$1,093 an ounce and Brent crude future for immediate month delivery edged down 2 cents to US$47.17 a barrel.
Australian Stock Movers
jumped 2.9% to $8.99 after the logistics company received a takeover offer from ports operator Qube Holdings Ltd for about $9.25 billion compared to $8.9 billion offered by Canada-based Brookfield Infrastructure Partners and Global Infrastructure Management LLC.
Cimic Group Ltd
declined 4.7% to $25.99 after the engineering construction company plans to make a conditional offer to acquire 49.4% stake or cash offer price of 75 cents per share, a 25% premium to last share price to the residential property developer Devine Ltd.
Devine management responded to shareholders not to take any action in relation to the takeover offer.
Devine Limited stock surged 25.6% to 76 cents.
Incitec Pivot Ltd
slipped 1.6% to $3.73 after the fertilizers, industrial explosives and chemicals products maker reported revenues in the year ending in September soared 8.7% from a year ago to $3.64 billion.
Net profit in the year surged 60.7% to $398.9 million compared to $248.2 million and diluted earnings per share jumped to 23.7 cents to 15 cents in the same period a year ago.
Surfstitch Group Ltd
soared 4.1% to $1.78 after the online sports and youth culture apparel retailer said revenue in the year ending in September advanced 30% from a year ago to $199.4 million.
Net in the year swung to profit of $4.1 million compared to a loss of $8.1 million in the same period a year ago.
The retailer reaffirmed operating profit forecast for fiscal 2016 between $15 million and $18 million.