The Australian share market closed flat on Thursday after falling bank stocks ended the market's rally this week and investment bank Macquarie Group and Macquarie Airports went into a trading halt.
At the 1615 AEST close, the benchmark S&P/ASX200 index was down 4.4 points, or 0.11 per cent, at 4,064.1, while the broader All Ordinaries index gained 3.7 points, or 0.09 per cent, to 4,072.6 points.
On the Sydney Futures Exchange, the September share price index contract fell four points to 4,033 points on 17,363 contracts.
Shares in Macquarie Group and Macquarie Airports (MAp) have gone into a trading halt, pending an announcement that MAp says will offer strategic options to enhance security holder value.
Macquarie Group shares last traded at up $1.90, or 4.76 per cent, at $41.80 while the stapled securities of MAp last traded 25 cents, or 10.46 per cent higher at $2.64.
IG Markets research analyst Ben Potter said there has been a lot speculation surrounding the move.
"There is speculation that Macquarie Airport may want to sell its potential assets, its main assets being its airports," Mr Potter said.
"There is also speculation that Macquarie Group, which has a stake in Macquarie Airports, may want to sell its stake or its right to mange the business."
ABN Amro Morgans Ipswich manager Tony Russell said the rest of the market has been trading three points up and three points down for most of the day waiting to see where Wall St is going next.
"BHP and Rio are leading the charge with weakness in the finance sector, with the main focus on NAB on their announcement of capital raising."
National Australia Bank 's shares fell $1.23, or 5.22 per cent, to $22.35 after it came out of a trading halt having raised $2 billion capital at $21.50 a share.
Commonwealth Bank was down 17 cents at $38.93, while Westpac fell 21 cents to $19.61 and ANZ dropped 13 cents to $16.77.
In news this Thursday, the world's largest miner BHP Billiton says it is ambivalent about the prospect of the development of a nuclear power generation market in Australia.
BHP shares closed up 20 cents, or 0.54 per cent, at $37.10.
Its rival Rio Tinto says it remains committed to the development of a massive iron ore project in the African nation of Guinea, after an angry letter from that nation's mines minister to the company was made public.
Rio's stock was $1.68, or 3.01 per cent, higher at $57.49.
Austereo Group shares rose 4.5 cents, or 3.21 per cent at $1.445 after chief executive Michael Anderson said he would not renew his contract when it expired at the end of 2009/10.
Drug developer Biota Holdings says royalties from sales of its anti-flu drug, Relenza, have more than doubled over the past year, even before the effects of the swine flu pandemic are felt.
Biota rose 14 cents, or 8.64, to $1.76.
Bathroom fixtures and homewares company GWA International has forecast better-than-expected earnings after trading conditions improved in the second half.
GWA added eight cents or 3.24 per cent to $2.55.
A plunging oil price has hit revenues at oil and gas producer Santos, but the company has slightly outperformed expectations in its latest production report.
Santos lost 17 cents, or 1.15 per cent, to $14.65, Woodside was down 15 cents at $43.70 and Oil Search had gained 17 cents, or 3.09 per cent, to $5.67.
At 1650 AEST the spot price of gold in Sydney was $US953.10 per fine ounce, up $US4.50 on Wednesday's close of $US948.60.
Among the gold miners Newcrest was up 25 cents at $30.64, Newmont was one cent lower at $5.14, and Lihir Gold was down one cent at $2.85.
Woolworths closed down $1.03, or 3.73 per cent, at $26.55 while Coles owner Wesfarmers dropped 26 cents to $24.30.
At 1653 AEST, the top-traded stock by volume was Lakes Oil NL, with 66.3 million shares worth $721,543 changing hands.
Its shares were steady at 1.1 cents.
Preliminary turnover was 2.4 billion shares worth $6.24 billion, with 601 stocks up, 411 down and 297 unchanged.
