RBA leaves cash rate at a record low: ASX closed 0.4% lower

Market Reports

by Rachael Jones

At the closing bell the S&P/ASX 200 index closed 27 points lower, or 0.4 per cent lower to finish at 6,762.

Futures market

Dow futures are suggesting a fall of 108points.
S&P 500 futures are eyeing a dip of 18 points.
The Nasdaq futures are eyeing fall of 58 points.
And the ASX200 futures are eyeing a 30 point fall tomorrow morning

Local economic news

The Reserve Bank of Australia held interest rates at 0.1 per cent

In the December quarter 2020, Australia's Current account had its seventh consecutive quarterly surplus increasing $3.8 billion to $14.5 billion (seasonally adjusted) according to latest figures from the Australian Bureau of Statistics (ABS). This increase was mainly driven by an increase in the goods and services surplus.

Capital Economics upgraded its view on fourth-quarter GDP, to 2.7 per cent quarter on quarter, from a previous forecast of 2.3 per cent.

Company news

Charter Hall WALE as responsible entity of the Charter Hall Long WALE REIT (ASX:CLW) has been advised that the Foreign Investment Review Board has granted approval to David Jones for the 20 year, triple net leaseback of the David Jones flagship “Elizabeth Street store” located at Street in Sydney, CBD. Shares in Charter Hall ASX:CLW) closed 0.2 per cent higher at $4.75.

Mesoblast (ASX:MSB) has entered into subscription agreements for a total of $138 million private placement, led by a strategic US investor group, SurgCenter Development.

The Flight Centre Travel Group (ASX:FLT) has been approved to extend the short-term GBP65million loan it received last year under the Bank of England’s Covid Corporate Financing Facility (CCFF).

Aristocrat Leisure (ASX:ALL) has settled the two lawsuits in Washington State for US$31 million.
The cases were brought against online social gaming platforms Big Fish Casino, Jackpot Magic Slots and Epic Diamond Slots, offered by Big Fish Games, Inc.

IPOs

Additive manufacturing company 3D Metal Forge (ASX:3MF) started trading today. They support companies by integrating additive manufacturing printers, software and materials and providing diagnostic, part design and engineering. The company issued at $0.20, started trading at $0.35 and closed at $0.28.

Best and worst performers of the day

The best performing sector was Consumer Staples adding 0.8 per cent while the worst performing sector was Energy, shedding 1.9 per cent.

The best performing stock in the S&P/ASX 200 was the A2 Milk company (ASX:A2M), rising 7.6 per cent to close at $9.54. Shares in SIMS (ASX:SGM) and AP Eagers (ASX:XXX) followed higher.

The worst performing stock in the S&P/ASX 200 was Gold Road Resources (ASX:GOR), dropping 8.1 per cent to close at $1.08. Shares in Omni Bridgeway (ASX:OBL) and Cimic Group (ASX:CIM) followed lower.

Asian markets

lower: Japan’s Nikkei has lost 0.7 per cent, Hong Kong’s Hang Seng has lost 0.9 per cent and the Shanghai Composite lost 1.3 per cent.

Commodities and the dollar

Gold is trading at US$1,716 an ounce.
Iron ore price fell 0.7 per cent to US$174.55.
Its futures are pointing to a fall of 0.7 per cent.
Light crude is US$0.74 down at US$55.78 barrel.
One Australian dollar is buying 77.57 US cents.