Our market is set to give up yesterday's gains as fears about Greece's expulsion from the European Union weigh on stocks and as most commodities dropped into the red.
The futures market is pointing to a 0.7% decline in the S&P ASX 200 (Index: ^AXJO) (ASX: XJO) this morning and it's probably the iron ore miners like Fortescue Metals Group Limited (ASX: FMG) and Rio Tinto Limited (ASX: RIO) that will lead the decline as the price of the steel making ingredient tumbled to a six-week low.
Forecasts of rising supplies of the ore from Australia sparked a 3.2% drop in the iron ore price to $US59.35 a tonne and analysts are expecting the commodity to fall further to between $US40 and $US50 a tonne in the current half.
This dire prediction is hanging heavy over Atlas Iron Limited (ASX: AGO). Standard & Poor's may have upgraded the rating on the miner's debt to "CCC+" from "CCC" after the miner undertook a company-saving recapitalisation and restructure, but the ratings agency put the stock on a "negative" outlook – meaning that Atlas' debt is likely to be downgraded again in the next month or so.
Gold stocks like Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) are also likely to be on the nose after the gold price lost 0.6% to $US1,172 an ounce, although energy stocks like Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could buck the trend as the West Texas Intermediate (WTI) crude price jumped 2% to $US59.47 a barrel.
Another stock that is likely to find support is salmon farmer Tassal Group Limited (ASX: TGR) after the stock found favour with investors in the wake of yesterday's new contract announcement with Aldi and Woolworths.
Liver cancer treatment developer Sirtex Medical Limited (ASX: SRX) should find support as well after releasing new data to support the use of its treatment to treat the disease.
Port and freight operator Asciano Ltd (ASX: AIO) is also in the spotlight as it works towards a deal to sell its stake in the Patrick business to Brookfield for more than $1 billion, according to the Australian Financial Review.
Finally, agri-business Graincorp Ltd (ASX: GNC) and labour hire group Programmed Maintenance Services Limited (ASX: PRG) are likely to fall as the stocks trade without their dividend entitlements today. Programmed Maintenance is in the midst of acquiring Skilled Group Ltd. (ASX: SKE) in a cash and scrip deal.
