- The benchmark ASX 200 index was trading 0.52% or 38.8 points down to 7,432 in the first 15-minute trade on Friday.
- Nervous global stock markets struggled to sustain on Thursday, while the US bond yields steadied.
- The market is in bear’s grip today with nine out of the 11 sectors trading in red.
The Australian market opened on a negative note on the last day of the week, taking a cue from Wall Street, which closed lower amid a sell-off in technology shares, coupled with the lower opening of local materials-related stocks on weaker commodity prices. The benchmark ASX 200 index was trading 0.52% or 38.8 points down to 7,432 in the first 15-minute trade on Friday.
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Nervous global stock markets struggled to sustain on Thursday, while the US bond yields steadied and the US dollar plunged after the US data revealed the highest inflation in nearly 40 years that kept concerns about price pressures and tighter monetary policy risks alive.
The NASDAQ Composite and S&P 500 plunged on Thursday as investors booked profits from tech stocks after a three-session rally just ahead of the fourth-quarter earnings season.
By the closing, the Dow Jones Industrial Average fell 0.49% to 36,113.63, while the S&P 500 lost 1.42% to 4,659.02. The NASDAQ Composite ended the session 2.51% lower at 14,806.82.
How has the market performed so far?
As of 11;00 AM AEDT, the ASX 200 was trading 0.59% or 43.9 points down to 7,430.5, while the ASX All Ordinaries index also fell 0.59% or 45.7 points to 7,751.8. The A-VIX has increased by 0.87% to 12.76.
Data Source: ASX (as of 14 January 2022, 11:00 AM AEDT)
Coming to the ASX 200 top gainers, ResMed Inc (ASX:RMD) and Alumina Limited (ASX:AWC) were leading the pack with a 3.63% and 3.25% gain, respectively. On the flip side, Afterpay Limited’s (ASX:APT) shares tumbled 7.31% to a 52-week low, followed by Pendal Group Limited (ASX:PDL), which fell 6.98% in the morning session.
The sectoral performance shows that the market is in bear’s grip today, with nine out of the 11 sectors trading in red. The IT sector was the top loser, shedding over 3%, followed by the energy and industrials space, falling 1.08% and 0.85%, respectively. Telcos and A-REITs have been slightly positive for the day so far.
- BPH Energy Limited (ASX:BPH)
- The company has requested the ASX to extend the suspension date for its listed securities till 21 January 2022.
- The company is expected to release information regarding the participation of its investee, Advent Energy, in a “farm-out agreement”.
- The company’s shares last traded on the ASX on 6 December 2021.
- Star Entertainment Group Limited (ASX:SGR)
- The management said that the Australian Transaction Reports and Analysis Centre (AUSTRAC) had expanded its investigation to other entities within the company.
- AUSTRAC notified in June 2021 that SGR was under investigation regarding a money laundering case.
- The SGR management said it would fully co-operate with AUSTRAC in the investigation.
- Virtus Health Limited (ASX:VRT)
- The management is unable to quantify the near-term impact on the business regarding state governments’ restrictions on elective surgery.
- The NSW State Government has suspended all non-urgent elective surgeries from 10 January 2022.
- The Victorian State Government has suspended all non-urgent elective surgeries from 12 January to 12 April.
- Pendal Group Limited (ASX:PDL)
- Pendal Group’s funds under management (FUM) have fallen during the quarter ended December 2021.
- The total FUM fell 2.5% to AU$135.7 billion, weighed heavily by a 6.8% fall in net flows.
- However, the fund manager’s US business’ FUM grew to AU$65.7 billion from AU$63.9 billion in September 2021.
- VGI Partners Limited (ASX:VGI)
- The management does not expect to report material-level performance fee for the six months ended December 2021.
- The hedge fund ended 2021 with a AU$0.3-billion fall in FUM to AU$2.5 billion, as compared to AU$2.8 billion in the September quarter.
- Although the company’s global strategy was down for the quarter, its Asia strategy raked in positive returns.