CBA served with $7m penalty: Aus shares close 0.6% higher

Market Reports

by Michael Luu

The Australian sharemarket’s rally decelerated just before midday, but picked up pace again to finish the trading session at a 13-month high. Gains in Afterpay and EML payments shares have cemented the tech sector’s footing in positive territory for a 4th consecutive day.

At the closing bell, the S&P/ASX 200 index closed 42 points or 0.6 per cent higher to finish at 6,928.

Futures market

Dow futures are suggesting a rise of 27 points.
S&P 500 futures are eyeing a lift of 2 points.
The Nasdaq futures are eyeing a gain of 7 points.
And the ASX200 futures are eyeing a 39 point rise for tomorrow morning.

Company news

The Commonwealth Bank has been served a $7 million dollar penalty for overcharging customers in 12,119 occasions. An inquiry by the Australian Securities and Investments Commission (ASIC) found that the big-4 bank overcharged 1510 customers interest rates by up to 2.1 times. ASIC Commissioner Sean Hughes says an aggravating factor in the decision was CBA’s failure to compensate customers and make amendment in a timely manner. Shares in the Commonwealth Bank of Australia (ASX:CBA) closed at 0.6 per cent higher at $86.53.

Best and worst performers

The best-performing sector was Energy, adding 1.4 per cent, while the worst-performing sector was Industrials, dropping 0.3 per cent.

The best performing stock in the S&P/ASX 200 was Pilbara Minerals (ASX:PLS), rising 6.4 per cent to close at $1.17. Shares in Incitec Pivot (ASX:IPL) and Resolute Mining (ASX:RSG) followed.

The worst-performing stock in the S&P/ASX 200 was Adbri (ASX:ABC), shedding just over 5 per cent to close at $3.41. Shares in Cleanaway Waste Management (ASX:CWY) and Zip Co (ASX:Z1P) followed.

Asian markets

Mixed. Japan’s Nikkei has gained 0.1 per cent, Hong Kong’s Hang Seng has lost 0.7 per cent and the Shanghai Composite has lost 0.3 per cent.

Commodities and the dollar

Gold is trading at US$1,740 an ounce.
The iron ore price is 1.4 per cent higher to US$170.90 a ton.
Its futures are pointing to a rise of 1.9 per cent.
Light crude is US$0.07 higher at US$57.91 a barrel.
One Australian dollar is buying 76.49 US cents.