Aussie shares are under some pressure on Monday, with the ASX 200 down 32pts or 0.4 per cent to 6899.6. This follows a weak lead from Wall Street and sluggish US jobs growth in a monthly report issued on Friday. The price of oil continued to head backwards while safe havens like gold received some support.
Despite the sluggish start to the session, keep in mind that the Australian market hit a record high on Friday and has just had its best weekly performance in close to a year.
While all sectors are losing ground at lunch, gold companies like Newcrest (NCM) and Evolution (EVN) are edging higher on a near 0.5 per cent lift in the commodity price.
Energy companies are doing poorly on Monday, however shrugged off losses in the oil price last week to record a solid start to 2020. The US-Iran conflict has impacted the commodity in recent weeks, with a 3 per cent surge in one session followed by significant losses last week.
CSL Limited (CSL) is down close to 1.3 per cent. The largest company in the healthcare sector and second biggest stock on the ASX remains within striking distance of cracking $300 per share for the first time.
Zip (Z1P) is up by 1.7 per cent. The buy-now-pay-later company posted record quarterly revenue of $38.5m over the three months to December. The number of customers using Z1P jumped by 24 per cent to 1.8 million, while merchants using its platform expanded to 20,875.
Coles (COL) is down by 2 per cent after receiving a broker downgrade, while competitor Woolworths (WOW) is slipping by 0.8 per cent despite a broker upgrade.
Highlights this week are likely to include the US and China signing the Phase One trade deal, monthly data on China’s economy and US companies starting to release quarterly profit results. Any developments on the US-Iran front will continue to remain a risk for global markets.
957.3m shares have changed hands so far today worth a light $1.6bn. 491 stocks are up, 534 down and 343 are unchanged.
Published by CommSec