Suncorp Group Limited

Yesterday, the Australian share market closed at a fresh three-year low, plummeting 5% as the continuing fallout from the global credit crisis wiped A$56 billion from the value of stocks. The benchmark S&P/ASX-200 share index lost 5% yesterday, the biggest one-day fall for both major stock exchange indices since January 22 this year. RBA has said the Australian economy is slowing faster than originally anticipated. Analysts said the sell-off is totally unemotional. Markets across Asia also slumped with 5-10% drop in Tokyo, Hong Kong, Singapore, Mumbai and Jakarta.

Yesterday the Australian share market closed higher with most of the upside in the financial sector, after news that American billionaire Warren Buffet would buy a $US5 billion slice of investment bank Goldman Sachs. As Buffet is a long term investor with a good record of investing at the right time, people speculate that potentially it's the bottom of financial stocks.

The US Federal Reserve's bailout of insurance giant American International Group (AIG) did little to ease the concerns of investors worldwide, Asian markets were deeply in the red, with Hong Kong's bourse down about seven per cent. The Australia share market took another massive beating yesterday.

The Australian share market closed higher yesterday on gains from the financial sector, and following a strong lead from Wall Street over the weekend. The benchmark S&P/ASX200 rose 83.5 points, or 1.69%, to 5014.9, while the broader All Ordinaries gained 79.9 points to 5090.1.

Australian shares closed firmly in the black yesterday for the second consecutive day, driven by a positive US lead and higher prices overnight for copper, nickel and oil. DJ Carmichael research assistant Peter Kopetz said investors remained cautious and would continue to looking for more signs of positivity from company earning reports during the latter part of the profit reporting season in August. More big swings in the US are expected as their profit reporting season continues.

As the Howard Government prepares its response to the Task Group on Emissions Trading's Report provided to the Government yesterday, Environment Ministers from each Australian State and Territory are meeting in Cairns to put the final touches on a mandatory greenhouse and energy reporting system for companies.

Suncorp-metway Limited.