Stocks to watch on the Australian stock exchange on Thursday January 17, 2013.

BBG – BILLABONG INTERNATIONAL LTD – down 1.5 cents, or 1.5 per cent at 96.5 cents

Billabong shares were lower on Wednesday, just a day after the stock rallied 16 per cent as traders braced for a potential bidding war for the embattled surfwear company.

BLD – BORAL LTD – up 44 cents, or 10 per cent, at $4.80

Building products maker Boral will cut 700 people from its workforce, with most of the reduction coming from its head office is in Sydney.

CTY – COUNTRY ROAD LTD – steady at $3.32

Country Road expects total group sales to have increased by 50.5 per cent in the half year ending 31 December 2012, after the acquisition of fashion retailer Witchery and accessories brand Mimco in August.

FMG – FORTESCUE METALS GROUP – down seven cents, or 1.5 per cent, at $4.57

Rising iron ore prices could be behind Fortescue Metals’ decision to walk away from a deal to invest in a small unconventional gas exploration company in Western Australia.

NAM – NAMOI COTTON CO-OP – up six cents, or 25 per cent, at 30 cents

Shares in Namoi Cotton have soared after it agreed to partner with global commodities company Louis Dreyfus in a deal that will deliver it more than $34 million.

QAN – QANTAS AIRWAYS LTD – up one cent, or 0.65 per cent, at $1.54

Qantas says there is no change to its order of 15 Boeing 787 aircraft, after All Nippon Airways (ANA) and Japan Airlines (JAL) grounded all their Dreamliners following a series of incidents in recent days.

RIO – RIO TINTO LTD – down 35 cents, or 0.53 per cent, at $65.55

Rio Tinto has signalled predictions of falls in iron ore prices hold no fear for it as it posted record annual production and said its massive expansion plans are on track.

STO – SANTOS LTD – down nine cents, or 0.77 per cent, at $11.64

Santos will release its fourth quarter production report on Thursday.

WPL – WOODSIDE PETROLEUM LTD – up three cents to $35.20

Woodside will release its fourth quarter production report on Thursday.