Oil and gold climb throughout the week: ASX closed 0.6% lower

Market Reports

by Rachael Jones

The Australian share market dropped at the open and slipped throughout the day. The Energy sector led the way today as the price of oil climbed. Meanwhile the healthcare sector fell behind. The prospect of lower interest rates both globally and locally pushed Australian shares higher this week. Gold miners did well this week, as central bank warnings of a weaker economic growth outlook pushed investors towards safety.

At the closing bell the S&P/ASX 200 index closed 37 points lower to finish at 6651.

Over the week, the market has gained 97 points or 1.5 per cent.

Futures market

Dow futures are suggesting a fall of 59 points.
S&P 500 futures are eyeing a dip of 9 points.
The Nasdaq futures are eyeing a fall of 38 points.
And the ASX200 futures are eyeing a 37 point fall Monday morning

Company news

Syrah Resources (ASX:SYR) announced the successful completion of the institutional component of its 1-for-5 pro rata accelerated non-renounceable entitlement offer. The Institutional Entitlement Offer raised approximately $25 million and was well supported with a take up rate of approximately 82 per cent amongst eligible institutional shareholders. The shortfall from the Institutional Entitlement Offer was oversubscribed, reflecting strong demand received from new and existing institutional shareholders. Shares in Syrah Resources (ASX:SYR) down 8.98 per cent to $0.87

Navitas (ASX:NVT) is pleased to advise that the Supreme Court of Western Australia has today made orders approving the scheme of arrangement between Navitas and its shareholders, pursuant to which BGH Bidco A Pty Ltd, an entity owned by a consortium led by BGH Capital, will acquire all of the shares in Navitas. Shares in Navitas (ASX:NVT) up 0.17 per cent $5.82

Earlier today CSL (ASX:CSL) provided an update on the process of the transition to its own Good Supply Practice license in China in FY 2020. This license enables CSL to own and sell products in the domestic Chinese market.
Wattle Health Australia (ASX:WHA) has signed an extension til the end of July with Mason Group Holdings to complete the proposed acquisition for Blend and Pack. It's a nutritional dairy processing and packaging business and one of the first Australian manufacturers to obtain Certification and Accreditation Administration of People’s Republic of China (CNCA).


Taking a look at an IPO now - VGI Partners (ASX:VGI) is a fund manager with a concentrated portfolio specialising in global equities. It issued shares at $5.50 and started trading on the ASX at $10.51 and is currently trading at $10.24.

Best and worst performers of the day

The best performing sector was Energy adding 1.8 per cent while the worst performing sector was Healthcare, shedding 2.4 per cent.

The best performing stock in the S&P/ASX 200 was New Hope Corp (ASX:NHC), rising 9 per cent to close at $2.78. Shares in Costa Group Holdings (ASX:CGC) and Beach Energy (ASX:BPT) followed higher.

The worst performing stock in the S&P/ASX 200 was Syrah Resources (ASX:SYR),dropping 8.98 per cent to close at $0.87. Shares in Ardent Leisure Group (ASX:ALG) and Vocus Group (ASX:VOC) followed lower.

Asian markets

Japan’s Nikkei has lost 0.96 per cent, Hong Kong’s Hang Seng has lost 0.6 per cent and the Shanghai Composite has gained 0.3 per cent.

Wall Street

Wrapped up our four trading days this wee higher: The Dow Jones added 2.5 per cent, The S&P 500 added 2.3 per cent and the tech heavy Nasdaq gained 3.2 per cent.

Commodities and the dollar

Gold is trading at US$1,395 an ounce.
Iron ore price rose 2.8 per cent to US$117.25
Iron ore futures are pointing to a rise of 0.2 per cent.
Light crude is US$3.19 up at US$57.16 a barrel.
One Australian dollar is buying 69.25 US cents.

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