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Additional	Information
Market:	ASX 200
Sector:	Aerospace
Epic:	ASX200
News:	Latest news
Web Site:	Australia Market Wrap
Other Articles:	10-03-201010-03-201010-03-2010

Aussie shares recover from low point, still down

by Proactiveinvestors

The market fell again today despite a late rally on Wall Street overnight and the lifting of a ban on short-selling.

 The Reserve Bank board looks likely to cut at least three-quarters of a percentage point from interest rates when it meets again on December 2, and may even cut by a full point.

Late yesterday the futures market was pricing in a cut of one percentage point in December and a further three-quarters in February, with further cuts taking the cash rate down to 3.25% in May — which would be the lowest level since the 1950s.

The benchmark S&P/ASX200 index was down 0.7%, or 23.6 points, to 3499.

Regional markets were also weaker as Japan's Nikkei average shed 1.8%, driven in part by falling bank shares after No. 1 Mitsubishi UFJ Financial Group suffered a 61% drop in quarterly profit.  The MSCI index of Asia-Pacific stocks outside of Japan dropped 1.7% and was back near a four-and-a-half-year low hit last month.

Banks regain some ground

ANZ Bank (ASX:ANZ) was up 78 cents, or 6%, to $13.82, Commonwealth Bank (ASX:CBA) was up 83 cents, or 2.8%, to $30.93, National Australian Bank (ASX:NAB) rose 53 cents, or 2.8%, to $19.68 and Westpac (ASX:WBC) was up 70 cents, or 4.5%, to $16.25.

Macquarie Group (ASX:MQG) continued rising, gaining $1.16, or 4.8%, to $25.16 and Babcock & Brown (ASX:BNB) was down 6 cents, or 19%, to 25 cents.  Babcock shares fell as much as 27% in early trading.   It announced a review of its strategy today.

Miners head higher then lose altitude

Australia's third-largest diversified miner OZ Minerals has responded to a query from the Australian stock exchange with a profit warning.  Its shares were hammered as a result down 12.5 cents, or 17.1%, to 60.5 cents in afternoon trading.

The company was formed this year through the merger of Oxiana and Zinifex, and produces zinc, copper, nickel, gold and lead from operations in Australia and Laos.

It said in a statement today that it did not know of any information that could explain recent trading in its securities.

BHP Billiton (ASX:BHP) was down $1.00, or 4.1%, to $23.20, Rio Tinto (ASX:RIO) was down $2.10, or 3.1%, to $65.90, Oz Metals (ASX:OZL) plunged 10 cents, or 13.7%, to 63 cents, Paladin Energy (ASX:PDN) was down 16 cents, or 6.7% and Fortescue Metals lost a whopping 25.5 cents, or 15.8%, to $1.35.5.

Energy stocks were mixed. Woodside Petroleum (ASX:WPL) was down $1.06, or 3%, to $33.93 and Santos (ASX:STO) was up 7 cents, or 0.5%, to $12.82.  Gold stocks were lower after spot gold fell overnight, Lihir (ASX:LGL) was down 6 cents, or 3.4%, to $1.69 and Newcrest Mining (ASX:NCM) was down 4 cents, or 0.2%, at $18.95.

The Australian dollar was also weaker, down to 64.40 US cents..

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