It’s been a positive week of trade on the Australian share market despite today’s downturn. Private sector credit grew slower than expected in October and a number of acquisitions completed today. Mitchell Services (ASX:MSV) has acquired Deepcore Holdings and Saracen Mineral Holdings (ASX:SAR) has acquired a 50 per cent stake in the Kalgoorlie Consolidated Gold Mines Joint Venture.
The S&P/ASX200 index
At the closing bell the S&P/ASX 200 index closed 18 points lower to finish at 6,846.
Over the week, the market has gained 1.99 per cent or 136 points. As for the sectors, every sector made ground this week, Energy and Healthcare rising around 4 per cent. Communication led the way soaring over 6 per cent.
Dow futures are suggesting an 83 point slump.
S&P 500 futures are eyeing a drop of 10 points.
The Nasdaq futures are eyeing a dip of 35 points.
And the ASX200 futures are eyeing a 22 point fall tomorrow morning.
Local economic news
The Reserve Bank of Australia released data on private sector credit for the month of October. Private sector credit grew 2.5 per cent over the year to the close of October, missing expectations of a 2.8 per cent rise, after it grew 4.6 per cent over the same time last year.
Citi rates plus sized fashion retailer, City Chic Collective (ASX:CCX) as a sell, with a 12-month price target of $2.30, saying that the company overvalued. Shares in City Chic Collective (ASX:CCX) closed 1.4 per cent lower at $2.73.
Mitchell Services (ASX:MSV) has completed its acquisition of 100 per cent of the shares in Deepcore Holdings. Deepcore Holdings is a privately-owned drilling business that provides services to the mining and infrastructure industries. Deepcore founder Scott Tumbridge has been appointed as a director of Mitchell Services (ASX:MSV). Shares in Mitchell Services (ASX:MSV) last traded at 6 cents.
Saracen Mineral Holdings (ASX:SAR) has successfully completed the acquisition of a 50 per cent interest in the Kalgoorlie Consolidated Gold Mines Joint Venture. This was achieved by purchasing 100 per cent of the shares in Barrick Gold Corporation for $750 million US dollars. Saracen Managing Director Raleigh Finlayson says that “the acquisition of a half-share of the Super Pit transforms Saracen into one of Australia’s leading gold producers”. Shares in Saracen Mineral Holdings (ASX:SAR) closed flat at $3.08.
Westpac Banking Corporation (ASX:WBC) announced that Alastair Welsh has been appointed Acting Group Executive Enterprise Services.
Silver Lake Resources (ASX:SLR) has reached the compulsory acquisition threshold of 90 per cent in its takeover bid for EganStreet Resources (ASX:EGA).
Select Harvest (ASX:SHV) has achieved a net profit after tax of $53 million for the 12 months ending 30 September 2019.
Carbon Revolution (ASX:CBR) started trading today. The carbon fibre wheel producer, floated with an issue price of $2.60, started trading at $3.25 and closed at $3.45.
Best and worst performers of the day
The best performing sector was Real Estate adding 0.2 per cent while the worst performing sector was Utilities, shedding 0.9 per cent.
The best performing stock in the S&P/ASX 200 was Virgin Money UK (ASX:VUK), rising 24.5 per cent to close at $3.35. Shares in Mayne Pharma Group (ASX:MYX) and NRW Holdings (ASX:NWH) followed higher.
The worst performing stock in the S&P/ASX 200 was Western Areas (ASX:WSA), dropping 4.5 per cent to close at $2.78. Shares in Polynovo (ASX:PNV) and Netwealth Group (ASX:NWL) followed lower.
Lower: Japan’s Nikkei has lost 0.4 per cent, Hong Kong’s Hang Seng has lost 2 per cent and the Shanghai Composite has lost 0.7 per cent.
Wrapped up our four trading days this week higher: The Dow Jones added 1 per cent, The S&P 500 added 1.4 per cent and the tech heavy Nasdaq gained 1.9 per cent.
Commodities and the dollar
Gold is trading at US$1,458 an ounce.
Iron ore price is up at US$84.42.
Iron ore futures are flat.
Light crude is 13 cents higher at US$58.24 a barrel.
One Australian dollar is buying 67.76 US cents.