The Aussie market has had a tough start to Friday as it continues on from yesterday’s losses with the ASX 200 slipping another 18pts or 0.3% to 5993pts. Financials have been the main drag on the market with the big four banks all down between 0.5%-0.7%. Westpac (WBC) has fallen the most so far, followed by Commonwealth Bank (CBA). Property trusts and utilities are also significantly weaker as Westfield (WFD) and Scentre Group (SCG) are both 1.5% lower. Telcos are stemming some of the losses as Telstra (TLS) is 0.3% higher towards lunch.
Transurban (TCL) is 3.6% higher on the resumption of trade after being in a trading halt for the past three days. This follows the toll road operator announcement of a $1.9 billion equity raising to help fund its West Gate Tunnel project in Victoria. Macquarie Atlas Roads (MQA) has not been as fortunate sliding 4% after Macquarie Group (MQG) sold down its 11% stake in the company.
Crown Resorts (CWN) shares are benefitting from the gaming company’s plans to reduce its levels of debt with a slew of asset sales. CWN has agreed to sell its interests in several resorts in Las Vegas and is continuing discussions to sell its 62% ownership of its digital gaming business CrownBet. Crown has also received several broker upgrades this morning.
Genworth Mortgage Insurance (GMA) was down by nearly 6% in early trade after the mortgage insurance provider provided a profit warning with net earned premiums expected to be 17-19% lower than 2016, more than the 10-15% previously thought. GMA has recovered but is still 2.5% lower.
Department store chain Myer’s (MYR) woes have continued with its share price tumbling another 3% on poor sales and profit downgrade this week. MYR’s share price is down 17% this week.
The Aussie dollar has held on to yesterday’s gains following the combination of a softer USD, the strong Australian November employment report, and some reasonable Chinese activity data for November. So far, 1.4B units have been traded worth $2.4B with 509 stocks higher, 538 lower and 357 unchanged.
Originally published by CommSec