ASX  200 opens higher; here’s why Crown Resorts would be in focus

Source: Pavel Ignatov,Shutterstock

Summary

  • The ASX 200 opened higher on Monday, following a mixed opening by major indices on the Wall Street in Friday’s trade.
  • Crown Resorts Ltd (ASX:CWN), Evolution Mining Ltd (ASX:EVN) and Dominos’ Pizza Ltd (ASX:DMP) were the major gainers, up as much as 18% on the ASX 200.
  • Consumer Discretionary and Energy led the gains in the opening trade.

The ASX 200 opened higher on Monday, following a mixed opening by major indices on the Wall Street in Friday’s trade. The fall in bond yields from 14-month peaks and retraction in losses of oil prices guided the Friday’s trade.

The ASX 200 began Monday’s trading session up just 1.20 points to 6,709.40. The index has lost 0.94% for the last five days,  but sits 3.29% below its 52-week high.  The broader All Ordinaries index was up 0.017%, while the ASX 200 VIX index was up 9.953%.  On Friday, the ASX 200 closed lower by 37.70 points, or 0.56%.

Top ASX gainers and losers

Crown Resorts Ltd (ASX:CWN), Evolution Mining Ltd (ASX:EVN) and Dominos’ Pizza Ltd (ASX:DMP) were the major gainers, up as much as 18% on the ASX 200. On the other hand, shares of Fortescue Metals Group (ASX:FMG), Silverlake Resources Ltd (ASX:SLR) were the top laggards in the opening trade.

Sectoral movement 

Consumer Discretionary and Energy led the gains in the opening trade. Utilities was also up. On the other hand, Materials, Financials and Resources were down in the early trade.

Wall Street trims losses

Wall Street trimmed losses on Friday as consumer, technology and consumer-cyclicals picked up following a decline in bond yields.

While the S&P 500 dropped 0.06% to 3913.10, the Dow Jones Industrial Average fell 0.71% to 32627.97. The NASDAQ Composite Index gained 0.76% to 13215.24, and the small-cap Russell 2000 rose 0.88% to 2287.55.

Global markets

On the other hand, the pan-continental Stoxx Europe 600 edged lower 0.76%. In Asia, most major benchmarks closed higher. China’s Shanghai Composite Index added 1.69%, while Hong Kong’s Hang Seng fell 1.41%.

Australian dollar dips

The Australian dollar was trading down 0.11% to 0.7726. US Dollar Futures Index was up 0.10% to 91.958. The dollar index closed up by 0.135% on Friday while the Australian dollar was down by 0.32% to 0.7711.

Crude oil prices rise

The benchmark Brent crude closed at US$64.53 a barrel, up by about 2% while the WTI crude closed the session up by 2.4%, at US$61.42 a barrel.

Gold prices soar

Gold price also notched up higher on Friday, and the gold spot was up by 0.5 per cent to US$1745.05 an ounce. 

Bond yields down

Australia’s 10-year bond yields stood down 0.28% to 1.803. The 30-year treasury bond yields were down 1.56% to 2.437, while the 10-year bond yields added 0.25% to 1.725.

Bitcoin drops

Bitcoin was trading down 0.97 per cent to US$57,646.87.

Newsmakers of the day

Crown Resorts (ASX:CWN) said that it has received an $8 billion takeover offer from US investment manager Blackstone. Blackstone already owns nearly 10 per cent of Crown.

Telstra Corporation Limited (ASX:TLS) has proposed a change in the legal corporate structure, including Infraco towers being intended to be monetized. Qantas Airways Limited (ASX:QAN) has reduced the number of students intake at its Toowoomba pilot academy.

Beach Energy (ASX:BPT) made a gas discovery at the Artisan 1 location in the offshore Victorian Otway Basin. Openpay (ASX:OPY) would launch into the US and UK healthcare markets through a partnership with veterinary software platform ezyVet.

Syrah Resources (ASX:SYR) completed the installation of a furnace at its active anode material project in Vidalia. Bapcor (ASX:BAP) has signed agreements to acquire 25 per cent of the issued equity in Tye Soon.

On the economic front, the week would see Markit PMI and Preliminary Merchandise Trade data on Tuesday.

READ MORE: Elon Musk Says Tesla May Be Shut Down If Its Cars Spied In China

What to expect through the day

ASX 200 is expected to be under pressure today after the US stocks closed mixed in Friday’s trade.  The investors would closely track movements in tech stocks such as Afterpay (ASX:PAT) and Altium (ASX:ALU), which may gain following strong performance by the US stocks in the last session.  The energy stocks such as Santos (ASX:STO) and Woodside Petroleum (ASX:WPL) may gain after crude prices stabilised a day after a selloff driven by concerns over demand. Crown Resorts would be in focus today after an acquisition offer by Blackstone.

READ MORE: Two ASX shares with high yields for 2021


Disclaimer
The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.
   
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK