Aust. market gives way

Press, 13 November 1981, Page 9

Aust. market gives way

The Australian sharemarket gave way for the second consecutive day, as significant metal and oil stocks slipped, and smaller industrial issues eased. However, larger industrial issues held steady, and several stocks notched modest gains. The index of all-industrial stocks rose 1.3 points to 703.4, but the declining min-eral-and-oil sector pulled the general market indicator down 3.3 points to 568.2. A drop in the price of gold, sliding world prices for copper, aluminium, nickel, silver, and zinc, and nervous share trading in New York combined to present the Australian trader with a gloomy investment outlook. The breadth and depth of the U.S. recession has emerged as the dominant concern of overseas investors as an increasing number of

economic indicators reveal a rapid slowdown in the growth of the U.S. economy. Trading was light after a very quiet opening, and special situations provided the only interest. Western Mining dropped 9c to 390 c after threats by South Australian opposition politicians to block a bill authorising an indenture agreement for development of the huge Roxby Downs copper, aluminium, and gold deposit in the far north of the state. Yesterday, A.L.P. members and the lone Australian Democrat in the upper house, Lance Milne, said the uranium mining should not proceed in S.A. at this stage. They were speaking after the release of a select committee report on uranium resources, which recommended exploitation of S.A.’s uranium reserves.