Australian stocks were flat at noon after figures revealed the nation’s trade deficit had shrunk.
Official figures released on Wednesday show Australia’s trade deficit narrowed to $178 million in February, coming in under economists’ forecasts of $1 billion.
CMC Markets strategist Ric Spooner said this had both a negative and positive effect on the market.
“Some analysts were concerned that the trade figures would make a negative contribution to economic growth so it’s a positive that the deficit was down a bit,” he said.
“But it also applies a little bit of upward pressure on the Australian dollar.”
He said some investors were waiting for the retail sales and building approvals figures to be released on Thursday.
On the market, mining stocks were lower at midday.
BHP Billiton dropped five cents to $32.67, Fortescue Metals fell 4.5 cents to $3.755 and Rio Tinto lost 52 cents to $55.98.
The four major banks were mixed at noon.
National Australia Bank jumped 17 cents to $31.12 and Westpac added 10 cents to $31.12.
But Commonwealth Bank dived 47.5 cents to $68.475 and ANZ tumbled 31 cents to $28.51 after it announced its head of international and institutional banking Alex Thursby resigned to take up a new job in the Middle East.
KEY FACTS
* At 1200 AEDT on Wednesday, the benchmark S&P/ASX200 index was down 11.8 points, or 0.24 per cent at 4,973.7 points.
* The broader All Ordinaries index was also down 11.8 points, or 0.24 per cent, at 4,983.7 points.
* The June share price index futures contract was flat at 4,976 points, with 16,382 contracts traded.
* National turnover was 638.4 million securities worth $1.45 billion.
