AusGroup

AusGroup off 1.0% to $0.51 in thin trade as investors remain wary of its prospects following mgmt's guidance for weak earnings in current quarter, margin pressure till at least early next year. Stock down 15.6% since beginning May when coy cautioned about reduced activities in its key Aust, S’pore markets. Despite new Aust PM Julia Gillard's softer stance on controversial mining tax, it is unlikely to be scrapped entirely. The qn is how drastic is the revised tax and how will it affect capex.