Aussie shares are edging higher for a third day, with the ASX 200 up by an unconvincing 0.08 per cent to 7,509 at midday. While this follows the most significant weekly decline in seven months, firmer commodity prices and some outsized gains from stocks posting earnings have helped keep the market positive.
This keeps the market on track to extend its winning streak to an 11th straight month for the first time in close to 80 years. The ASX 200 is now up by ~1.5 per cent in August with less than five full trading days left this month. Movements in commodity prices, the market’s response to the dozens of companies yet to post earnings and a key speech by Fed Chair Jerome Powell on Friday could be important influences.
Mining and energy stocks are standing out so far today, following a near 9 per cent lift in the iron ore price and ~3 per cent rise in oil.
Travel stocks remain among the strongest performers despite a record 919 new cases identified in NSW over the past day. NSW hitting a six million dose milestone yesterday seems to have provided some support. Qantas (QAN) and Flight Centre (FLT) have been up by ~5 per cent for most of the day.
Wisetech (WTC) is surging by over 40 per cent after the logistics software company handed down an 18 per cent lift in revenue over the year (right at the top end of guidance) and a 63 per cent gain in EBITDA to $206.7m (well above WTC’s most optimistic of estimates). WTC has flagged an 18-25 per cent improvement in revenue and a 26-38 per cent rise in earnings over FY22.
Shares in animal nutrition company Ridley Corp (RIC), Orocobre (ORE) and Northern Star (NST) are also higher following their latest results.
Buy-now-pay-later companies Afterpay (APT) and Zip Co (Z1P) have both delivered their full year results. Z1P’s 7.3m customers generated a 150 per cent lift in revenue to a record $403.2m, while the larger Afterpay (APT) posted a 78 per cent rise in revenue to $924.7m. Both companies posted losses however, due to increased expansion and marketing costs.
Mydeal (MYD) is down ~5 per net after the online furniture retailer posted a 111 per cent lift in sales and a $5.86m loss. This was driven by $23m in advertising expenses; a $14m lift on last year’s spend.
2.5bn shares have changed hands so far today, worth $4.4bn. 778 stocks are up, 514 down and 414 are unchanged.
Published by CommSec