Midday Market Commentary: Soft Start


The Aussie market is slightly underwater heading into the after lunch session, with the XJO currently 20 points (-0.4%) weaker, at 4275.

Most sectors are in the red, with industrials, healthcare and consumer staples the worst of the bunch whilst the IT and energy sectors are the only ones in the green.

In economic news, the latest RBA minutes from the 6 March meeting showed policy makers were less worried about Europe’s debt crisis, although they still considered it a major risk to their upbeat outlook.

In company news, TPG Telcom announced its 1H FY12 earnings, booking a net profit of $55.7 million – a 65% increase on the prior corresponding half. The results beat analyst expectations.

Around the region, Asian markets are mainly weaker; the Hang Seng is down 0.4% whilst the Shanghai Composite is off 0.7%.

The Nikkei is bucking the regional trend, currently 0.1% stronger.

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