Eclipx Group (ASX:ECX) sells Right2Drive: Aus shares close 0.5% lower

Market Reports

by Ortenzia Borre

The Australian share market rose ever so slightly at the open before falling by noon and continuing to stay down closing 0.5 per cent lower at the end of trade. There are fears of a second lockdown in the wake of Premier Gladys Berejiklian announcing NSW has recorded 20 new COVID-19 cases overnight, the state's highest figure since the end of April, meanwhile Victoria has confirmed 275 new infections.

Resolute Mining (ASX:RSG), led the top 200 gains for the session and Viva Energy Group (ASX:VEA) led the losses for the day.

The S&P/ASX200 index

At the closing bell the S&P/ASX 200 index closed 32 points lower to finish at 6,002.

Futures market 

Dow futures are suggesting a fall of 103 points.
S&P 500 futures are eyeing a dip of 14 points.
The Nasdaq futures are eyeing a fall of 46 points.
And the ASX200 futures are eyeing a 31 point fall tomorrow morning.

Broker moves

Ord Minnett has rated Rio Tinto (ASX:RIO) as Accumulate. Rio Tinto’s reported June quarter production numbers saw iron ore volumes recovering by 19% quarter on quarter. The production in Chile was also strong despite the impact of the current pandemic and the group’s copper output surpassed the broker’s estimates by 21%. Additional capital expenditure guidance of US$0.5bn has been provided for 2022-22 period but without naming which projects would be affected. Shares in Rio Tinto (ASX:RIO) closed 0.9 per cent higher at $105.11.

Company news

Pushpay Holdings (ASX:PPH) has accepted the resignation of Justine Smyth as an Independent Director of the Company, effective today.

Eclipx Group (ASX:ECX) has sold accident loan car provider Right2Drive. The company entered into a binding agreement for the sale of 100% of the shares to Growth Factor Group for a purchase price of up to $26.5m in a fixed and contingent consideration – an amount less than half the price of their original purchase.

Sydney Airport (ASX:SYD) total passenger traffic in June 2020 was 172,000 passengers, down 94.9% on the prior corresponding period – a slight improvement from May’s results. While domestic passengers noticeably increased in June when compared with April and May, Sydney Airport expects to continue to see significant reductions in passenger traffic for as long as domestic and international travel restrictions persist.

Best and worst performers of the day

The best performing sector was Information Technology, adding 1.3 per cent, while the worst performing sector was Energy, shedding 2.6 per cent.

The best performing stock in the S&P/ASX 200 was Resolute Mining (ASX:RSG), rising 4.8 per cent to close at $1.21. Shares in Afterpay (ASX:APT) and NRW Holdings (ASX:NWH) followed.

The worst performing stock in the S&P/ASX 200 was Viva Energy Group (ASX:VEA), dropping 5.7 per cent to close at $1.66 cents. Shares in TPG Telecom (ASX:TPG) and Bendigo and Adelaide Bank (ASX:BEN) followed.

Asian markets

All higher: Japan’s Nikkei has gained 0.1 per cent, Hong Kong’s Hang Seng also gained 0.1 per cent and the Shanghai Composite is 2.3 per cent up.

Commodities and the dollar

Gold is trading at US$1,810 an ounce.
Iron ore price lost 1.2 per cent to US$110.31.
Iron ore futures are pointing to a fall of 0.4 per cent.
Light crude is US$0.29 down at US$40.46 a barrel.
One Australian dollar is buying 69.88 US cents.