Energy sector stocks fall: Aus shares close lower

Market Reports

by Rachael Jones

The Australian share market struggled today finally closing lover. BHP Billiton (ASX:BHP) shares fell 2.9 per cent to $32.11, leading the market losses on Monday. Gaming solutions company Aristocrat (ASX:ALL) sees a fall. Energy sector stocks fell as Russia and Saudi Arabia look to loosen production restrictions - increasing oil output. Oil prices hit their highest levels since 2014 but now look set to retreat. Iron ore prices have dipped and its futures are pointing to a fall of 0.70 per cent. This is due to concerns that demand in China would ease soon as steel prices and inventories fall. Steel rebar futures in Shanghai fell on Friday. And there are fears an increase in iron ore imports could lead to an oversupply. Last week iron ore recorded its worst weekly performance since late March.

At the closing bell, the S&P/ASX 200 index closed 28.80 points lower, or 0.48 per cent lower, to finish at 6004.00 points.
The Dow Jones Futures are suggesting a rise of 92 points. The S&P/ASX 200 Futures are suggesting a fall of 29 points.

The value of trade was $4.9 billion on volume of 639 million shares at the close of trade. The top three stocks by value were BHP Billiton (ASX:BHP), Woolworths Group (ASX:WOW) and Commonwealth Bank of Australia (ASX:CBA).

Company news 

Mr Ho Tian Yee will retire as non-executive director of AusNet services (ASX:AST) effective from today. He joined the Board in September 2008 - Mr Alan Chan Heng Loon will take a place on the board. Earlier this month AusNet announced a 14.7 per cent rise in annual net profit. And it reaffirmed plans to build a $1 billion in contracted energy infrastructure-assets by 2021. Shares in Ausnet Services (ASX:AST) closed 0.31 per cent higher at $1.61.

Tox Free Solutions (ASX:TOX) has been removed from the official list of ASX from the close of trading today. Cleanaway Waste Management (ASX:CWY) acquired all of the Company’s issued capital. Shares in Tox Free Solutions (ASX:TOX) last traded at $2.84.

Property trust Investa Office Fund (ASX:IOF) have received a $3.1 billion dollar takeover offer from global funds giant Blackstone. Shares in Investa Office Fund (ASX:IOF) closed 11.23 per cent higher at $5.15.

More headlines

Reliance Worldwide (ASX:RWC) has resumed trade this morning after raising $946 million in its institutional entitlement offer. The global plumbing company says capital raised will be used to fund its acquisition of UK plumbing group, John Guest Holdings.

Fortescue Metals Group (ASX:FMG) has announced board approval for an iron ore mine and rail project in Western Australia. The Eliwana project is located in WA's Pilbara region.The estimate cost of the project is around US$1.28 billion.

Best and worst performers 

The best-performing sector was Industrials, which added 1.20 per cent.
The worst-performing sector was Energy, which shed 2.92 per cent.

The best-performing stock in the S&P/ASX 200 was Reliance Worldwide (ASX:RWC), which rose 26.63 per cent to $5.60. Shares in Investa Office Fund (ASX:IOF) and Apn Outdoor Grp (ASX:APO) followed higher.

The worst-performing stock in the S&P/ASX 200 was Metcash Limited (ASX:MTS), which fell 17.66 per cent to $3.03. Shares in Beach Energy Limited (ASX:BPT) and Vocus Group Ltd (ASX:VOC) followed lower.

Asian markets

Japan's Nikkei has gained 0.12 per cent, Hong Kong's Hang Seng has gained 0.64 per cent and China's Shanghai Composite has lost 0.19 per cent.

Commodities and the dollar

Gold is trading at USD $1296.41 an ounce.
Light crude is trading $2.83 lower at USD $67.88 a barrel.
One Australian dollar is buying 75.72 US cents.


Bitcoin is trading 1.56 per cent lower at USD $7205.34, Ethereum is trading 8.68 per cent lower at USD $534.00 and EOS is trading 2.16 per cent lower at USD $12.02.

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