The Australian share market has closed lower as investors take profits in the wake of the market hitting its highest level in 14 months.
At 1615 AEDT on Wednesday, the benchmark S&P/ASX200 index had dropped 14.6 points, or 0.32 per cent, to 4,490.7 points, while the broader All Ordinaries index lost 14.7 points, or 0.32 per cent, to 4,511.9 points.
On the ASX 24, the December share price index futures contract was 19 points lower at 4,490 points, with 20,544 contracts traded, according to preliminary figures.
On Tuesday, the Australian market had closed above the 4,500-point level for the first time in 14 months.
OptionsXpress market analyst Ben Le Brun said investors were cashing in, on Wednesday.
“We’ve been expecting to see that for some time,” he said.
“We haven’t had a lot of news on the corporate side today.”
Mr Le Brun said the volume of trading on the Australian Securities Exchange was still “absolutely miserable”, which suggested that investors weren’t ready yet to steam too far ahead of the 4,500-point mark.
Mr Le Brun said a prediction by the International Monetary Fund of weaker world economic growth had not had much impact upon investors.
“They (the IMF) are such a backward-looking organisation. They’re talking about things that we were talking about in the market some months ago,” Mr Le Brun said.
On the Australian market on Wednesday, stronger energy and iron ore prices helped boost the resources sector.
Global miner BHP Billiton nudged up one cent to $33.48, and Rio Tinto was 13 cents richer at $55.83.
Alumina improved two cents to 89.5 cents as its joint-venture partner, US aluminium maker Alcoa, said it had posted a $US143 million ($A140.78 million) loss in the third quarter of calendar 2012.
Fortescue Metals was 11 cents lower at $3.84. Fortescue believes iron ore prices will firm in the short-term and the company will emerge stronger despite shedding 1,000 jobs and shelving its expansion plans.
In the banking sector, ANZ was off six cents at $25.56, Commonwealth Bank shed eight cents to $56.65, National Australia Bank retreated 10 cents to $26.20, and Westpac dumped 17 cents at $25.72.
Among other stocks, Transurban descended nine cents to $6.10 as it said its share of revenue from its portfolio of toll roads rose 2.5 per cent in the September quarter, driven partly by an increase in tolls on some roads.
Preliminary national turnover was 1.51 billion securities worth $3.37 billion, with 548 stocks down, 400 up and 354 unchanged.
