Tech, Health care and Materials down over 2%: Aus market sheds 1.3% at noon

Market Reports

by Katrina Bullock

Despite a slight bump at the open, the ASX has trended lower during the first 2 hours of trade and is down 1.3 per cent at noon. The Tech, Health care and Materials sectors are all down over 2 per cent this morning.

The S&P/ASX 200 index is 85 points down at 6,676. On the futures market the SPI is 79 points lower.

Broker moves

In broker moves, Citi rates Beacon Lighting Group (ASX:BLX) as a Buy, with a price target of $2.15. After reviewing ABS data, the broker believes Beacon Lighting is well placed to benefit from the areas of retail that are likely to have the strongest sustained growth on a two-year basis. Shares in Beacon Lighting Group (ASX:BLX) are trading 1.4 per cent lower at $1.72.

Company news

Lithium-boron producer Ioneer (ASX:INR) has completed its fully underwritten institutional placement raising $80 million. Originally, the company only planned to raise $60 million. The placement was increased due to overwhelming demand. The company’s Managing Director Bernard Rowe says he “is extremely pleased with the exceptionally strong reaction for [the company’s] capital raising, which demonstrates the high quality of the Rhyolite Ridge Project”, noting that the project remains the most advanced and highest quality lithium project in the United States. Shares in Ioneer (ASX:INR) are trading 13.6 per cent lower at $0.38.

IPOs

Online food delivery business, My Food Bag Group (ASX:MFB) started trading today. It issued shares at $1.85 and started trading on the ASX at $1.65. However the IPO has been caught up in the broad market sell off and is currently trading at $1.59.

Best and worst performers

The best-performing sector is Energy, adding 1.5 per cent, while the worst performing sector is Information Technology, shedding 3.2 per cent.

The best performing stock in the S&P/ASX 200 is Unibail-Rodamco-Westfield (ASX:URW), rising 5.5 per cent to $5.00, followed by shares in Viva Energy Group (ASX:VEA) and Santos (ASX:STO).

The worst performing stock in the S&P/ASX 200 is Zip Co (ASX:Z1P),dropping 7.8 per cent to $9.30, followed by shares in Credit Corp Group (ASX:CCP) and Lynas Rare Earths (ASX:LYC).

Commodities and the dollar

Gold is trading at US$1,690 an ounce.

The Iron ore price rose 0.9 per cent to US$177.98.

Iron ore futures are pointing to a fall of 3.3 per cent.

One Australian dollar is buying 77 US cents.

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