News: Midday: Aus shares slide lower on earnings

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Following mixed leads from US markets and volatile trade in the Aussie dollar, the Australian share market opened lower and is 1 per cent down at noon. 

 

The S&P/ASX 200 index is 61 points down at 5,887. On the futures market the SPI is 56 points lower. 

 

Company news
 

Genworth Mortgage Insurance Australia Limited (ASX:GMA) have delivered a disappointing first quarter result. Net profit was flat as gross written premiums dropped 20 per cent.  GMA says the drop in new mortgages is due to a drop in the origination of both high risk loans and in owner occupier loans. Shares in GMA are trading down 4.06 per cent at $3.31. 

 

Genesis Energy Limited (ASX:GNE) has cut its forecast for the full year to a maximum of $332 million, down from previous guidance of $350 million. The New Zealand-based energy retailer says lower oil prices and strong competition from energy suppliers have resulted in a reduction in both gas and electricity customers. Shares in Genesis Energy slumped 8.1 per cent to $1.93. 

 

Best and worst performers

All sectors are down in morning trade. The sector with the least losses is industrials, losing 0.5 per cent to 4,705. Shares in MMA Offshore have risen 3.49 per cent and are trading at 67 cents. Shares in ALS and Bradken are also stronger. 

 

The worst performing sector is healthcare, falling 1.5 per cent to 18,837. Shares in Virtus Health have fallen 3.68 per cent, trading at $7.59. Shares in Ansell and CSL are also lower. 

 

Gold and the dollar

Gold is trading at $US1,210 an ounce.

The Australian dollar is buying 79.95 US cents.