Aussie shares are slipping for a third straight day, with the ASX 200 down just 0.17 per cent to 6667.8 at lunch despite a slight lift in US markets overnight. While local stocks have declined so far this week, the ASX 200 is still up by ~1.2 per cent over the first eight trading days of 2021.
The rotation out of some of last year’s star performers is continuing, with technology stocks, consumer staples and healthcare some of the hardest hit today. Afterpay (APT), Altium (ALU) and Xero (XRO) have been slipping by approximately 3 per cent this morning. Woolworths (WOW) and Coles (COL) – both of which rose last year partly on pandemic panic buying – are down today.
Goodman Group (GMG) is down a seventh consecutive day. GMG builds fulfilment centres for companies like Amazon and surged by 40 per cent last year. This marked the ninth straight year of significant gains for the property group.
With borders remaining closed and some uncertainty on the COVID-19 front, travel stocks are under pressure. Sydney Airport (SYD) and Qantas (QAN) are both declining.
The largest stock in the healthcare sector, CSL, is down by 1 per cent and briefly dropped to a 31 July 2020 low in early trade. An additional decline of ~1 per cent would drag the company to a 10-month.
Tyro (TYR) addressed the EFTPOS connectivity issues some of its terminals have been impacted by over the past week. TYR said ‘the root cause of the incident has been established’ and that it’s ‘collecting, repairing and returning impacted terminals to merchants as rapidly as possible’.
The winners today include energy stocks. Woodside (WPL), Santos (STO) and Beach Energy (BPT) are all trading at around 10-month highs as the oil price remains near an 11-month high.
Premier Investments (PMV) is surging by 13 per cent after flagging a 75-85 per cent lift in profits for the six months to 9 January 2021. Thanks partly to a 60 per cent jump in online sales and solid performances from Peter Alexander, Just Jeans and Jay Jays, sales have improved by ~5 per cent to $717m.
Saracen Minerals (SAR) announced plans to pay a fully franked 3.8c per share special dividend to eligible investors on 11 February as long as the takeover by Northern Star (NST) is approved by shareholders.
2.7bn shares have changed hands so far today, worth $1.9bn. 673 stocks are up, 529 down and 369 are flat.
Originally published by Steven Daghlian, Market Analyst (Author) CommSec