KEY POINTS:
The Australian share market finished down slightly today in generally quiet trading as investors sit tight ahead of a US Federal Reserve meeting later this week.
At 1615 AEDT the benchmark S&P/ASX200 index closed 29.6 points lower at 6625.1 and the All Ordinaries finished 27.9 points down at 6686.1.
On the Sydney Futures Exchange, the December share price index contract finished 11 points up at 6657, on a volume of 15,055 contracts.
ABN Amro Morgans private client adviser Peter Knight said the local market opened lower following Wall Street's soft finish to the week.
Many investors were keen to see whether, as expected, the US Federal Reserve decides to ease monetary policy this week.
Pundits are forecasting a 0.25 percentage point cut to official US rates.
"The markets seem to be biding their time a little bit until that happens," Mr Knight said.
"Twenty five basis points will be expected and that can be considered to be priced into the market.
"If there is a 50-basis point reduction then the market could be expected to rally, but until that decision is made then people are just sitting on their hands."
The big drivers on the market - the miners and the banks - went in different directions today.
The big miners lifted, with Rio Tinto gaining A$1.22 cents to A$146.70 and BHP Billiton was nine cents better at A$43.59.
Most major banks retreated, with Commonwealth Bank falling 22 cents to A$60.47, National Australia Bank dipping 34 cents to A$38.88, and ANZ gave up 18 cents to A$28.30.
However, Westpac edged up three cents to A$28.96.
By 1623 AEDT energy stocks had fallen, with Woodside slumping A$1.03 to A$47.30, Oil Search was 10 cents weaker to A$4.64 and Santos slipped 35 cents to A$14.00.
The spot price of gold in Sydney closed at US$797.70 per fine ounce, down USA$1.20 from Friday's US$798.90 close.
The gold miners were mixed, with Newcrest Mining shedding 10 cents to A$32.82, while Newmont advanced seven cents to A$5.75 and Lihir found one cent to A$3.76.
Making news, shares in agricultural chemicals firm Nufarm slumped A$2.02 to A$14.70 after talks with a Chinese-led consortium over a possible takeover fell through.
Energy utility SP Ausnet's stock rose 9.5 cents to A$1.285 after it scrapped a proposed A$8.3 billion acquisition of a suite of ex-Alinta Ltd assets from parent Singapore Power International
Funds manager BT Investment Management Ltd hit the boards of the Australian stock exchange at a discount and closed down one cent to A$4.79.
Media stocks were, with down News Corp dropping seven cents to A$24.90 and its non-voting scrip slipping 10 cents to A$28.04.
Fairfax Media gave up four cents to A$4.77, while the media assets of the demerged Publishing and Broadcasting, now called Consolidated Media Holdings, were steady at A$4.22 on a deferred settlement basis.
The other PBL spin-off, gaming company Crown Ltd, closed six cents up at A$13.71.
The telcos were down, with Telstra surrendering six cents to A$4.65, its instalment receipts down six cents also, to A$3.11, while rival Optus-owner Singapore Telecommunications reversed five cents to A$3.04.
The retailers were mixed, with Woolworths up two cents to A$34.45, David Jones two cents weaker at A$5.21 and Coles owner Wesfarmers slipping 98 cents to A$42.33
The top traded stock of the day was Flinders Diamonds, with 149.18 million shares worth A$11.76 million changing hands.
The company's share price gained 0.7 cents to eight cents after it gave brokers an update on its Pilbara iron ore exploration plans.
Preliminary market turnover was 1.54 billion shares worth A$4.78 billion, with 579 stocks higher, 690 lower and 336 unchanged.
- AAP