Afternoon (PM) Market Report

Details

Published on Tuesday, 13 September 2016 07:00

The Australian market started the day on a high point, following a strong lead from the US market overnight.

Tuesday, 13th September 2016

However, local stocks failed to hold onto early profits and slid into the red territory in the last hour of trading, with the big four banks weighing most heavily on the market. There were mixed the results from the sectors; health care posted the biggest gains while energy lagged behind the rest. The Australian dollar depreciated against most major currencies.

The All Ordinaries fell 9.10 points (-0.17%) to 5,310.00 while the S&P/ASX 200 lost 11.80 points (-0.23%) to 5,207.80.

Fortescue Metals Group advised that it has issued a US$700m repayment notice for the 2019 Senior Secured Credit Facility. In line with its previously announced strategy, the US$700m Term Loan repayment will be made at par on 16 September 2016, generating annual interest savings of US$26m. FMG added 4 cents (0.85%) to $4.74. Sandfire Resources noted that Talisman Mining advised that the Springfield Project JV, managed by the Company has approved a $3.07m budget (100% basis) for the four-month period to the end of December 2016 with work underway. This budget is separate to expenditure on the ongoing Monty Deposit Feasibility Study. A key aspect of the forthcoming budget is a planned 30,100m of AC drilling to better define interpreted exhalative horizons within the prospective Homer, Monty and Southern Volcanic VMS corridors. In addition to the planned AC drilling, the JV plans to undertake RC drilling to follow up shallow copper anomalism. The first diamond drill hole to test the potential down dip extensions to the Monty Deposit is budgeted to be undertaken in October 2016. SFR remained unchanged at $5.06.

The NZX dropped 30.53 points (-0.42%) to 7,249.23 while the Nikkei lifted 56.12 points (0.34%) to close at 16,729.04.

The Australian dollar was last quoted at 75.18 US cents.