RBA keeps interest rates on hold at 0.25%: ASX closes 0.3% higher

Market Reports

by Rachael Jones

It has been an up and down day of trade for the Australian share market to close 0.3 per cent higher. Shopping centre company Unibail-Rodamco-Westfield (URW) saw their shares rise today after opening 65 of its 90 centres after Covid-19 restrictions were eased. Shares in Vicinity Centres (ASX:VCX) are down after they raised $1.2 billion in a fully underwritten placement. The information technology sector bolstered the market today.

The S&P/ASX200 index

At the closing bell the S&P/ASX 200 index closed 16 points higher to finish at 5,835.

Futures market

Dow futures are suggesting a fall of 59 points.
S&P 500 futures are eyeing a fall of 7 points.
The Nasdaq futures are eyeing a dip of 1 point.
And the ASX200 futures are eyeing a 10 point rise tomorrow morning.

Local economic news

RBA keeps interest rates on hold at record-low 0.25 per cent as economy reopens

Australia recorded an $8.4 billion current account surplus in the March quarter 2020, the fourth in succession, as COVID-19 effects impacted international trade.

Company news

Zip Co (ASX:Z1P) is set to accelerate its global expansion with the acquisition of a $400 million New York-based buy now, pay later company called QuadPay in an all-scrip deal that will boost its total customer numbers to 3.5 million. QuadPay stockholders will be entitled to receive up to a maximum of approximately 119 million fully paid ordinary shares of Zip, equivalent to 23.3 per cent of the issued share capital of Zip at completion. QuadPay is one of the leading BNPL platforms in the US, the world’s largest retail market during a time when interest-free instalments are transforming the way people pay. Shares in Zip Co (ASX:Z1P) closed 38.7 per cent higher at $5.20.

Vicinity Centres (ASX:VCX) has successfully completed a fully underwritten placement of fully paid new stapled securities to institutional and professional investors, at the offer price of $1.48, raising $1.2 billion. It will help the company respond to the uncertainty of Covid-19 and the evolving retail landscape.

AVITA Medical (ASX:AVH) has submitted an Investigational Device Exemption (IDE) supplement with the US Food and Drug Administration (FDA) for a clinical trial to investigate the RECELL® System for the treatment of vitiligo.

ANZ (ASX:ANZ) it has agreed to sell its asset finance business in New Zealand, UDC Finance, for NZ$762 million that’s $706 million Australian to Shinsei Bank.

Best and worst performers of the day

The best performing sector was Infotech adding 1.3 per cent while the worst performing sector was Healthcare, shedding 0.2 per cent.

The best performing stock in the S&P/ASX 200 was Perenti Global (ASX:PRN), rising 13.4 per cent to close at $1.40. Shares in Domain Holdings (ASX:DHG) and Unibail-Rodamco-Westfield (ASX:OML) followed higher.

The worst performing stock in the S&P/ASX 200 was Avita Medical ASX:AVH), dropping 4.1 per cent to close at $0.47. Shares in Austal (ASX:ASB) and Pro Medicus (ASX:PME) followed lower.

Asian markets

Higher: Japan’s Nikkei has added 1.2 per cent, Hong Kong’s Hang Seng has added 0.7 per cent and the Shanghai Composite has gained 0.3 per cent.

Commodities and the dollar

Gold is trading at US$1,737 an ounce.
Iron ore price is down 1.9 per cent at US$100.45.
Iron ore futures are pointing to a rise of 0.7 per cent.
Light crude is US$0.07 up at US$36.24 a barrel.
One Australian dollar is buying 67.92 US cents.