daytrade diaries... january 19 part 2, page-2

The Australian share market had slipped into negative territory at noon as wary investors took profits from banks and financial stocks ahead of earnings reports by US banking giants.

All Ordinaries index had fallen 28.3 points, or 0.57 per cent, at 4,907.8.

According to figures released by the ABS Australias international merchandise imports rose 1% to $17.66 billion in December.

Analyst said "The market looks to have caved in over the last hour, and it's really the financial sector that is dragging down the broader market. Those big cap materials stocks are not providing much resistance. Although JPMorgan had a relatively good profit, their retail division was fairly weak and that may translate into a bit of nervousness for our retail banks. I don't think it's really warranted. We're in a different space economically and we've seen relatively good profit guidance that was well ahead of forecasts for the Commonwealth Bank (CBA)."

Gold miner Kingsgate Consolidated Ltd (KCN) says it produced 40,224 ounces of gold in the December quarter from its Chatree mine in Central Thailand. The company says the result was above expectations and forecasts production of up to 140,000 ounces of gold for the year to June 2010. The company says plans for an increase in reserves and resources, is targeted together with a proposed plant expansion to double the processing capacity. Kingsgate Consolidateds shares gained 1.59% to $9.58.

IT Services provider ASG Group (ASZ) has secured a contract to provide additional IT services to the Department of Education in Western Australia. The contract is for a three year term with two one year extension options, with a total value in excess of $23 million. In addition to this contract, ASG says it has a project pipeline of more than $500 million. Shares in ASG Group rose 7.53% to $1.285.
The best performing sector at midday is the Health Care index up 20 points at 8,437.

The worst performing sector at midday is the Real Estate Investment Trust index, down 12 to 885.

Gold is trading at US$1,137.20 an ounce and the Aussie dollar is trading at 92.59 US cents.

VLA: Sold early 8c/.092c
IRG: Sold .025/.028c (Will re enter 0.022c)

http://www.marketwatch.com/
http://www.thebull.com.au/
http://www.news.com.au/business/