THE share market ended its first day of trading for 2009 in the red, dragged lower by financial stocks despite solid gains in the resources sector. The benchmark S&P/ASX200 index was down 8.5 points, or 0.23 per cent, at 3713.8 while the broader All Ordinaries index fell 3.6 points, or 0.1 per cent, to 3655.7, despite a strong lead from Wall Street. CommSec market analyst Steve Daghlian said the financials were among the "worst performers'' on the market on Friday. However the energy sector was stronger after the crude oil price jumped 5.5 per cent to $US44.60 per barrel. Woodside Petroleum lead the charge, gaining 60 cents to $37.30 while Santos fell 20 cents to $14.67 and Oil Search shed 7 cents to $4.58. "The iron ore producers also did well after signs China is buying more of the raw material,'' Mr Daghlian said. Mining giant BHP Billiton was up 14 cents to $30.58 and rival Rio Tinto gained or 2.53 per cent, to $38.96. Among smaller iron ore miners, Atlas Iron advanced 17 cents to $1.025, while Murchison Metals put on 10.5 cents, to 74 cents. The banks were the biggest losers of the day. Westpac dropped 21 cents to $16.76, NAB lost 47 cents to $20.40 and ANZ slipped 11 cents to $15.18. Commonwealth bank was the only positive for the sector, gaining 30 cents, to $29.20. Retailers were down. Woolworths fell 2.1 per cent, to $26.11 while Coles owner Wesfarmers retreated 30 cents to $17.70. In the media sector, News Corporation (the parent company of the publisher of news.com.au) was down 3 cents at $13.47. Fairfax rose 4.59 per cent, to $1.71, and Consolidated Media dropped 1.5 cents to $1.865. Gold stocks were stronger. Newmont jumped 12 cents, or 2.11 per cent, to $5.80, Newcrest inched two cents higher to $33.91 and Lihir put on eight cents, or 2.66 per cent, to $3.09. The spot price of gold in Sydney was $US872.05 per fine ounce at 4.24pm (AEDT), up $US4.10 on Wednesday's close of $US867.95. Making headlines on Friday, manufacturing activity declined for a seventh straight month in December as firms continued to struggle with weakening consumer demand, according to a survey. Oil and gas explorer MEO Australia is hunting for a joint venture partner for its Timor Sea projects after a company owned by one of Australia's wealthiest individuals failed to proceed with the tie-up. Shares in MEO were up half a cent, or 3.45 per cent, at 15 cents. On the Sydney Futures Exchange at 4.19pm, the March share price index contract was 61 points lower at 3685 on a volume of 9313 contracts.

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