Down on Chinese selling US stocks to 8-mth low: Aus shares 1.9% down at noon

Market Reports

by Jessica Amir

Australian stocks have been heavily sold off following an equity markets sell down in the US, with tech stocks seeing their worst drop in eight months. The heavy Nasdaq lost 4 per cent and the top 500 stocks [S&P 500 down] lost 3.3 per cent] and the Dow fell 3.2 per cent ( or 800 points).

Some economists say the American sell-off was on the back of Chinese investors and organisations selling down their holdings in the US and investing it in Yuan, with speculation it’s a retaliation to the trade war.

As for our sectors, tech stocks are down the most, 4.4 per cent with Wisetech Global (ASX:WTC) losing 8.8 per cent. As for the major sectors the Energy, Health Care and Material sector’s which have lost over 2 per cent.

However the gold stocks like St Barbara Limited (ASX:SBM) are rallying up over 4 per cent, Saracen Minerals (ASX:SAR), is up over 2 per cent.

Adding fuel to some the fire today some large company’s going ex-div like Harvey Norman Holdings (ASX:HVN)

The S&P/ASX 200 index 

112 points (-1.85 per cent) down at 5,938 at noon. On the futures market the SPI is 97 points lower.

Broker moves

Goldman Sachs upgraded News Corporation (ASX:NWS) to a buy with a price target to $24.40.
And Rio Tinto (ASX:RIO) to a buy, at a price target to $90.00.

Company news

Netwealth Group Limited (ASX:NWL) announced its funds and administration hit $19.3 billion, a jump of over over 7 per cent. Shares in Netwealth Group (ASX:NWL) are trading 0.75 per cent lower at $7.90

MMJ Phytotech Limited (ASX:MMJ) entered into a Cannabis Concentration Program agreement with Emerald Health Therapeutics, which will see Emerald provide its partly owned MediPharm Labs compan,  with dried cannabis to create cannabis oil for three years. MMJ Phytotech (ASX:MMJ) last traded at 33 cents. 

Best and worst performers

The best performing sector is S&P/ASX Real Estate Investment Trusts losing 0.6 per cent, while the worst performing sector is S&P/ASX Energy, shedding 2.5 per cent.

The best performing stock in the S&P/ASX 200 is St Barbara Limited (ASX: SBM), rising 4.42 per cent higher to $3.67 followed by shares in Evolution Mining Limited (ASX: EVN) and Resolute Mining Limited (ASX: RSG). 

The worst performing stock in the S&P/ASX 200 is Appen Limited (ASX: APX), dropping 9.65 per cent to $11.3, followed by shares in Wisetech Global Limited (ASX: WTC) and Afterpay Touch Group Limited (ASX: APT). 

Commodities and the dollar

Gold priced edged higher and it's trading at US$1,193 an ounce.
Iron ore price held steady at US$71.14. its futures are pointing to a fall of 1.2 per cent.
One Australian dollar is buying 70.68 US cents.

Cryptocurrencies

Bitcoin has lost 0.9 per cent to US$6,572, Ethereum has fallen 4.7 per cent to US$217 in the last 24 hours.