Aus shares edge up in choppy trade: S&P/ASX 200 0.2% higher at noon

Market Reports

by Anna Napoli

The local bourse has edged higher in choppy trade defying expectations of a slip as some of the big banks and BHP trade higher. The S&P/ASX 200 index is 11 points up or 0.2 per cent higher at 6,085. On the futures market the SPI is 12 points higher.

NAB shares are up 0.6 per cent after terms of its $1.44 billion sale of MLC to IOOF were confirmed.

Temple & Webster’s shares have jumped 12 per cent after the Online furniture retailer posted a 270 per cent rise in full year profit to just under $14 million.

Bubs Australia is raising $38.3 million at 80 cents per share to fund global market expansion, including its China manufacturing with Beingmate, and strengthen the balance sheet.The raise includes a $28.3m placement and a $10m share purchase plan.

Ooh Media is among the top performers following the news Nova Entertainment CEO Cathy O’Connor will replace outgoing CEO Brendan Cook. O’Connor will join the outdoor media company from early 2021. Shares in Ooh Media are trading 5.3 per cent higher at $1.05.

Local economic news

According to the latest credit data from the Reserve Bank monthly personal lending dropped 1.8 per cent in July, taking annual growth to negative 12.1 per cent. Business lending also declined by 0.6 per cent in July. Lending for housing has stayed steady at 0.2 per cent for July.

Meantime , Business inventories dropped 3 per cent in the June quarter much worse than market forecasts of a 1 per cent fall.
However seasonally adjusted company profits were up 15 per cent - beating economists forecasts of a 7.5 per cent drop.

Broker moves

Wagering group Pointsbet (ASX:PBH) is down 8.6 per cent to $12.79 following a downgrade from Credit Suisse Credit Suisse has Downgraded Pointsbet to underperform from neutral following the company’s agreement with NBCUniversal. Credit Suisse says the market commitment , at US$393m over five years, is so large that the company is unlikely to deliver operating earnings in the US until at least FY25.The updated target price is $6.50.

Best and worst performers

The best-performing sector is energy gaining 1.9 per cent, while the worst performing sector is healthcare losing 0.5 per cent.
The best performing stock in the S&P/ASX 200 is COSTA GROUP HOLDINGS LIMITED(ASX:CGC) rising 7.3 per cent to $2.55, followed by shares Harvey Norman (ASX:HVN) and Ooh Media (ASX:OML). The worst performing stock in the S&P/ASX 200 is Orocobre (ASX:ORE) dropping 10.2 per cent to $2.60, followed by shares in Fortescue Metals (ASX:FMG) and Dominos Pizza (ASX:DMP).

Commodities and the dollar

Gold is trading at US$1,971 an ounce.
Iron ore price Is 1.8 per cent higher at US$124.37
Iron ore futures are suggesting a rise of 3.1 per cent.
One Australian dollar is buying 73.66 US cents.