Australian Market Report of July 30, 2010
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- Author: ABNNewswire
Tags: Energy Resources of Australia ASX:ERA Macquarie Group Ltd ASX:MQG graincorp Limited ASX:GNC AWB ASX:AWB
The Australian sharemarket has opened lower on Friday, led by financials, energy and material sector. Overnight US market ended the choppy session with a loss, as investors seesawed between the disappointing revenue from utilities and consumer companies and a batch of strong earnings reports. In early trade, Australia's benchmark S&P/ASX200 index shed 0.93 per cent, while the All Ordinaries dropped 0.9 per cent. On the economic front, the Reserve Bank of Australia releases private sector credit data for June. Company News Energy Resources of Australia (ASX:ERA) reported that net profit fell 82 per cent to A$22.68 million in the six months ended June 30 from A$127.55 million for the first half of last year. ERA says the uranium market appears to be well-supplied in the short term, due to adequate inventory coverage held by utilities, along with increased production, especially from Kazakhstan. Moreover, the global financial crisis has led to delays in nuclear reactor builds in most regions other than China. However, in the long term the decline of secondary supplies, the challenges of bringing on new higher-cost primary supply and growth in demand, mainly from China, should result in higher spot and term prices. Macquarie Group Ltd (ASX:MQG) today said earnings in the June 2010 quarter were slightly ahead of a subdued June 2009 quarter. Weak global market conditions caused Macquarie Securities, Macquarie Capital and Fixed Income, Currencies and Commodities to all make ...
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