Aust stocks lower as oil price, uncertainty drag on resources
05 Dec 2008 4:34 PM
INDEX MOVEMENT POSITION INDEX MOVEMENT POSITION
S&P/ASX200 -42.5 3489.9 Dow Jones -215.45 8376.24
All Ords -40.9 3427.2 S&P 500 -25.52 845.22
SPI contract -37.0 3504.0 Nasdaq -46.82 1445.56
Gold $USoz -5.05 765.55 Nikkei +52.36 7979.60
$A/USD -.0006 0.6446 NZSE-50 -23.961 2706.721
MELBOURNE, Dec 5 AAP - The Australian stock market closed lower on Friday, dragged back by weakness in the resources sector after a big drop in the price for oil.
At the 1615 AEDT close, the benchmark S&P/ASX200 index had fallen 42.5 points, or 1.2 per cent, to 3,489.9, while the broader All Ordinaries reversed 40.9 points, or 1.18 per cent, to 3,427.2.
On the Sydney Futures Exchange, the December share price index futures contract was off 37 points at 3,504 on a volume of 25,429 contracts, according to preliminary calculations.
ABN Amro Morgans senior client adviser Roger Chandler said resource stocks had led the market down.
"People after a lit bit skittish about the slowdown in the economy and what will happen," he said.
"The big drop in the oil price last night doesn't really do a lot of good for Santos, Woodside - any of the oil stocks - and BHP Billiton is part oil stock, so it's included."
Mr Chandler said Rio shares were down because investors had concerns that it may not be able to refinance some of its debt.
The oil price fell $US3.12 to $US43.67 in New York, the lowest in almost four years, due to growing concerns about demand in the world's biggest energy-consuming nation, the United States.
On the local market in the resources sector, global miner BHP Billiton lost $1.35, or 4.91 per cent, to $26.15.
Rio Tinto shed 50 cents to $32.00.
Fortescue Metals fell 23 cents, or 9.35 per cent, to $2.23 after the iron ore miner suspended contracts on about two-thirds of its iron ore shipments in a bid to switch the burden of freight costs to customers in China.
Felix Resources surged $1.99, or 36.58 per cent, to $7.43 after the coal miner confirmed it was being eyed by prospective suitors.
Oil and gas supplier Woodside Petroleum was down 65 cents to $30.46 and Santos retreated $1.20 to $12.15.
Among the major banks, the National Australia Bank was 35 cents richer at $19.81, ANZ picked up 18 cents at $14.60, Westpac dipped nine cents to $16.85 and Commonwealth Bank was 70 cents poorer at $30.90.
On Wall Street on Thursday, the Dow Jones Industrial Average index fell 215.45, or 2.51 per cent, to 8,376.24.
Stock Move Price
AMP -0.040 5.160
ANZ Bank +0.180 14.600
BHPBilton -1.350 26.150
CBA -0.700 30.900
NAB +0.350 19.810
NewsCorp +0.120 12.890
Polartech -0.005 .085
Rio Tinto -0.500 32.000
TelstraCp +0.030 4.120
WestpacBk -0.090 16.850
Woolwrths -0.410 26.090
