Red finish: Aus shares close 0.71% lower

Market Reports

by Clive Tompkins

The last day of the financial year was a negative one. After opening slightly higher, the market traded within a 50 point range, closing towards the bottom of its range. All sectors closed in the red. Westpac Corporation (ASX:WBC) and Vicinity Centres (ASX:VCX) both performed well in a weak market.

At the closing bell the S&P/ASX 200 index closed 48 points lower to finish at 6,619. Over the week, the market has lost 32 points or 0.5 per cent.

Futures

Dow futures are suggesting a rise of 32 points.
S&P 500 futures are eyeing a rise of 2 points.
The Nasdaq futures are eyeing a fall of 10 points.
And the ASX200 futures are eyeing a 41 point fall Monday morning.

Economic news

Private sector credit (outstanding loans) remain at the same 0.2 per cent growth rate in the month of May, compared to April (according to the RBA), as expected. Meantime, year-on-year loans rose 3.6 per cent, less than forecast and the prior reading, from the same time last year (of 4.8 per cent).

Company news

Tabcorp Holdings (ASX:TAH) has been served with a claim by Racing Queensland. Racing Queensland is seeking damages and relief under two agreements between Racing Queensland and UBET Qld. The claim lodged in the Supreme Court of Queensland relates to the calculation of fees following the introduction of point of consumption tax in QLD. Shares in Tabcorp Holdings (ASX:TAH) closed 0.7 per cent lower at $4.45.

OneVue Holdings has competed the sale of its Trustee Services business to Sargon Capital. The sale proceeds include $12m in cash and $31m in deferred payments. The OveVue Board has indicated a special dividend of 2.19c per share will be paid to shareholders following the payment of the deferred payment. Shares in OneVue Holidngs (ASX:OVH) closed flat at $0.42.

Centuria Industrial REIT (ASX:CIP) completed a $70 million capital raise, after completing a fully underwritten institutional placement. The funds will be used to buy three industrial assets valued at $59.3 million in total, with a further $10 million of the funds earmarked for capital expenditure to enhance the assets.

And NEXTDC (ASX:NXT) has appointed Mr Stephen Smith as a non-executive director, effective 1 July 2019. He was CEO and President of Equinix (NASDAQ:EQIX) for over a decade, and grew the business into the largest data centre platform in the world.

Best and worst performers

The sector with the fewest losses was Financials, losing 0.06 per cent, while the worst performing sector was Information Technology, shedding 1.8 per cent.

The best performing stock in the S&P/ASX 200 was Pact Group Holdings (ASX:PGH), rising 9.8 per cent to close at $2.79. Shares in Bellamy’s Australia (ASX:BAL) and Resolute Mining (ASX:RSG) followed higher.

The worst performing stock in the S&P/ASX 200 was Afterpay Touch Group (ASX:APT), dropping 9.9 per cent to close at $25.07. Shares in Bravura Solutions (ASX:BVS) and Growthpoint Properties Australia (ASX:GOZ) followed lower.

Asian markets

Asian markets are tracking lower. Japan’s Nikkei has lost 0.3 per cent, Hong Kong’s Hang Seng has lost 0.6 per cent and the Shanghai Composite has lost 1 per cent.

Wall Street

Wall Street wrapped up our four trading days this week lower. The Dow Jones lost 0.7 per cent, the S&P 500 lost 0.9 per cent and the Nasdaq lost 0.8 per cent.

Commodities and the dollar

Gold is trading at US$1,416 an ounce.
Iron ore price rose 0.3 per cent to US$118.02.
Iron ore futures are pointing to a rise of 1.4 per cent.
Light crude is US$0.10 down at US$59.28 a barrel.
One Australian dollar is buying 70.14 US cents.