Declines led by miners: ASX closed 0.5% lower

Market Reports

by Rachael Jones

The Australian share market took a dip in early morning trade after opening higher and failed to gain momentum to close 0.5 per cent lower. Miners took a hit today with Silver Lake Resources (ASX:SLR) down over 5 per cent, shares in Gold Road Resources (ASX:GOR), Northern Star Resources (ASX:NST), and Newcrest Mining (ASX:NCM) also slid - Newcrest reported theyd starting RC drilling in the Tanami region of WA. Bingo Industries (ASX:BIN) shares rose as did Jumbo (ASX:JIN). As for the sectors, Industrials led the way and Telcos fell behind.

The S&P/ASX200 index

At the closing bell the S&P/ASX 200 index closed 33 points lower to finish at 6,678.

Futures market

Dow futures are suggesting a fall of 24 points.
S&P 500 futures are eyeing a dip of 4 points.
The Nasdaq futures are eyeing a fall of 19 points.
And the ASX200 futures are eyeing a 27 point fall tomorrow morning.

Economic news

The number of job vacancies in Australia decreased by 1.3% over the August 2019 quarter. Tasmania had the largest percentage increase in vacancies over the year, while the largest percentage decrease occurred in Victoria.

Company news

IMF Bentham (ASX:IMF) announced this morning that the Supreme Court of New South Wales handed down judgment in favour of IMF’s funded client David Kerr, in his capacity as the additional trustee of the SEAS Sapfor forestry scheme. He had taken Australia Executor Trustees over a breach of trust over a forestry scheme. Whilst final orders are awaited, the Trustee is expected to be awarded compensation of approximately $80 million plus costs, payable by Australian Executor Trustees. Subject to the outcome of any appeal against the decision which may be lodged, IMF expects approximately $30.5 million in net income from this investment. Shares in IMF Bentham Limited (ASX:IMF) closed 1.2 per cent higher at $3.53.

The newly listed Investec Australia Property Fund (ASX:IAP) is seeking a fully underwritten institutional placement to raise approximately $84 million at an issue price of $1.52 per unit.The company has also acquired a portfolio of three industrial properties from Charter Hall Prime Industrial Fund for a total purchase price of $81 million.

Meal kit provider Marley Spoon (ASX:MMM) has approved structured debt transactions with two of its existing investors, amounting to $8 million in aggregate. Supermarket giant Woolworths (ASX:WOW) will loan Marley Spoon $4 million and US based venture capital firm Union Square Ventures will also loan $4 million.

Technology company MGM Wireless (ASX:MWR) has signed a retail sales agreement with Officeworks to sell the SPACETALK watch. The watch is an all-in-one smartphone, watch and GPS device.

IPO

One of the largest private markets investment managers in the world, Partners Group (ASX:PGG) started trading today. It issued shares at $2.00 and started trading on the ASX at $2.05 and is closed at $2:06.

Best and worst performers

The best performing sector was Industrials adding 0.02 per cent while the worst performing sector was Communication Services, shedding 1.7 per cent.

The best performing stock in the S&P/ASX 200 was Bingo Industries (ASX:BIN), rising 6.05 per cent to close at $2.28. Shares in Monadelphous Group (ASX:MND) and Netwealth (ASX:NWL) followed higher.

The worst performing stock in the S&P/ASX 200 was Silver Lake Resources (ASX:SLR), dropping 5.5 per cent to close at $0.94. Shares in Gold Road Resources (ASX:GOR) and Northern Star Resources (ASX:NST) followed lower.

Asian markets

Mixed: Japan’s Nikkei is flat, Hong Kong’s Hang Seng has added 0.2 per cent and the Shanghai Composite has lost 0.5 per cent.

Commodities and the dollar

Gold is trading at US$1,509 an ounce.
Iron ore price fell 0.5 per cent to US$90.34
Iron ore futures are pointing to a rise of 0.6 per cent.
Light crude is US$0.63 lower at US$56.66 a barrel.
One Australian dollar is buying 67.53 US cents.