Businesses hit by Covid see their shares rise: ASX tracking 1.6% higher at noon

Market Reports

by Rachael Jones

The Australian share market rose at the open and is now tracking 1.6 per cent higher at noon. Shares in Unibail-Rodamco-Westfield (ASX:URW) an Corporate Travel Management (ASX:CTD) did well today – companies hit particularly hard by the coronavirus pandemic. Meanwhile shares in Domino’s Pizza Enterprizes (ASX:DMP) were on the decline today.

The S&P/ASX 200 index 

The S&P/ASX 200 index is 102 points up at 6,401. On the futures market the SPI is suggesting a rise of 94 points.

Economic News

NAB said that business conditions edged 1pt higher in October to +1 index points, with the improvement was led by a large gain in Victoria.

Broker moves

Morgans rates Suncorp (ASX:SUN) as an Upgrade to an Add from a Hold. The group has disclosed that natural hazards for the four months ended October are tracking at -$348m-$408m, which compares to the group’s FY21 hazard allowance of -$950m (split evenly 1st half vs 2nd half). Morgans lowers FY21 and FY22 EPS forecasts by -2%-4%, which reflects an update of numbers for a mark-to-market.The target is decreased to $9.90. Shares in Suncorp (ASX:SUN) are tracking 6.8 per cent higher at $9.15.

Company news

Domain Holdings Australia (ASX:DHG) reports that trading in FY21 year-to-date has improved from FY20 Q4 despite the impact of the Covid-related lockdown in Victoria. Digital revenue up around 4 per cent. Total revenue down around 7 per cent reflecting the pause on print during the Victorian lockdown. Shares in Domain Holdings Australia (ASX:DHG) are currently almost 5 per cent lower at $4.39.

IPO

Data centre and cloud hosting solutions company DC Two (ASX:DC2) started trading today at $0.40. They issued at $0.20, and they are currently at $0.39.

Duke Exploration Limited (ASX:DEX) started trading today, they issued at $0.25, started trading at $0.29 and are currently trading at $0.27.

Best and worst performers

The best-performing sector is Energy rising 8.1 per cent, while the worst performing sector is Infotech shedding 3.9 per cent.

The best performing stock in the S&P/ASX 200 is Unibail-Rodamco-Westfield (ASX:URW) rising 23 per cent to $3.53, followed by shares in Corporate Travel Management (ASX:CTD) and IDP Education (ASX:IEL).

The worst performing stock in the S&P/ASX 200 Domino’s Pizza Enterprizes (ASX:DMP) dropping 12 per cent to $77.01, followed by shares in Northern Star Resources (ASX:NST) and Saracen Mineral Holdings (ASX:SAR).

Commodities and the dollar

Gold is trading at US$1,869 an ounce.
Iron Ore Price has gained 2 per cent at $120.20.
Iron ore futures are pointing to a rise of 1.72 per cent.
One Australian dollar is buying 72.79US cents.