Aussie shares have recovered from a softer start and are lifting for the first time in three days, with the ASX 200 up by 0.1 per cent to 6,119. The market ran on the spot last week despite hitting a two-month high on Wednesday. Each time the ASX 200 has approached 6,200pts (four times in two months), the index has fallen back unsuccessfully.
The market is being boosted most by Fortescue Metals (FMG), which is up 3 per cent following a record profit result and a larger dividend. The iron ore miner posted a 49 per cent lift in profit to $4.74bn over the 12 months to 30 June 2020. FMG has raised its final dividend by 19 per cent to $1 per share. The sale of more iron ore and the resilience in the price of the metal have helped keep FMG well supported.
Tech stocks are also contributing to the gains, with buynow-pay-later (BNPL) leaders Afterpay (APT) and Zip Co (Z1P) both surging. Z1P is up 11 per cent following a record month from its recent US acquisition, QuadPay. The BNPL company generated US$70m in transactions in July, a 30 per cent lift on the recent average. QuadPay also announced partnerships with a number of online merchants last month, including Fanatics, the global leader in licensed sports merchandise.
Afterpay (APT) is up close to 4 per cent on news of its expansion into Europe. APT has purchased a BNPL
company called Pagantis, which operates in Spain, France and Italy. APT said this will accelerate its expansion into the European Union.
Shaver Shop (SSG) is up 3.3 per cent after the grooming products retailer recorded a 16 per cent lift in total sales to $194m over the year and a 44 per cent jump in profit to $10.6m. SSG will pay investors a 2.7c final dividend.
Plumbing and heating company, Reliance Worldwide (RWC) is up 18 per cent after flagging solid momentum over the first three weeks of August despite a 33 per cent decline in profit to $89.4m over the year.
Shares in nib Insurance (NHF), St Barbara Mines (SBM), Infomedia (IFM), Senex Energy (SXY) and Monash IVF (MVF) are all losing ground following the release of their earnings this morning.
3.1bn shares have changed hands so far today worth $3bn. 699 stocks are up, 506 down and 365 are unchanged.
Published by CommSec