THE sharemarket was nearly 1 per cent lower by early afternoon as big-ticket miners dragged on the ASX after base metal prices slipped. The benchmark S&P/ASX 200 index was down 40.1 points, or 0.86 per cent, at 4727.70, while the broader All Ordinaries index fell 42 points (0.86 per cent) at 4821.20 points.
Oil and copper were down overnight. CommSec market analyst Steven Daghlian said it was the second straight day of falls, with copper falling almost 3 per cent. ?We are still seeing weakness in global markets - base metal prices are lower (in both) London and the US,? Mr Daghlian said. ?When that happens, it puts pressure on the miners. For the last three days, we've seen miners being the worst performers. Start of sidebar. Skip to end of sidebar. ?That puts quite a bit of pressure on our market.?
BHP Billiton was down 75 cents (1.63 per cent) at $45.25, while Rio Tinto had fallen $1.43 (1.74 per cent) at $80.95. Rio Tinto has increased its offer price for Riversdale Mining, provided the predator gains more than 50 per cent of the coal producer. Riversdale Mining shares lifted 2c to $15.15. Australia's unemployment rate remained at 5 per cent in February, holding at its lowest level in almost two years, Australian Bureau of Statistics data showed on today. The result did not move the market, Mr Daghlian said, with falls in total employment possibly allaying fears about inflation.
Improvements to Rio Tinto's bid for Riversdale: Offer Price increase to $16.50 if Rio Tinto obtains more than 50 per cent interest by 23 March 2011 ? No offer price increase beyond $16.50 in the absence of a competing proposal ? Rio Tinto frees Bid of all conditions other than the 50 per cent minimum acceptance condition ? Accelerated five business day payment terms if the Bid becomes unconditional ? Offer period extended by two weeks until 1 April 2011
