Qantas tumbles as energy rises: ASX is down 0.8% at noon

Market Reports

by Lauren Evans

The Aussie sharemarket see-sawed at the open and has fallen into negative territory at lunchtime. Most sectors are lower, although energy is soaring above 4 per cent and materials is edging higher. Technology has tumbled, followed by healthcare and industrials. 

Afterpay owner Block (ASX:SQ2) has led the market lower, trading 10.3 per cent lower at $137.22 following a heavy fall on the Nasdaq on Friday. 

Appen (ASX:APX) has acquired a minority stake in the synthetic data company Mindtech Global as part of a round of equity raising which includes other financial investors. Appen said the investment aims to deploy capital into product-led businesses that generate new sources of training data to support AI lifecycles. Shares are trading 3.5 per cent lower at $6.84. 

Qantas (ASX:QAN) has tumbled 7.2 per cent to $4.56, amid challenges the war in Ukraine has posed relating to rising oil prices and profit margins. 

Major banks are lower, led by Macquarie Group (ASX:MQG) trading 2.2 per cent lower at $176.33. National Australia Bank (ASX:NAB) has declined 2.1 per cent to $28.29, ANZ Banking Group (ASX:ANZ) is down 1.4 per cent to $24.94, Westpac Banking Corporation (ASX:WBC) is down 1.9 per cent to $21.80 and Commonwealth Bank of Australia (ASX:CBA) is trading 0.1 per cent lower at $94.50.

Woodside Petroleum (ASX:WPL) is leading energy stocks higher, up 7.7 per cent to $33.83 and is the best performer. Santos (ASX:STO) has added 5.2 per cent to $8.17 and Beach Energy (ASX:BPT) is trading 3.5 per cent higher at $1.72.

AGL Energy (ASX:AGL) has rejected a revised offer from a consortium led by Brookfield Asset Management and Grok Ventures to acquire the company for $8.25 per share. The AGL board considered the offer was below both the fair value of the company, and therefore was not in the best interests of its shareholders. Shares are down 1.4 per cent to $7.33.

Heavyweight miners are mixed, with Fortescue Metals (ASX:FMG) up 1.8 per cent to $19.55 and BHP Group (ASX:BHP) up 0.9 per cent to $50.39, while Rio Tinto (ASX:RIO) is trading 0.2 per cent lower at $126.27.

Gold stocks are higher, led by Northern Star (ASX:NST) adding 6.1 per cent to $10.74. Evolution Mining (ASX:EVN) is up trading 4.8 per cent to $4.40 and Newcrest Mining (ASX:NCM) is trading 4.2 per cent higher at $27.12.

At noon, the S&P/ASX 200 is 0.8 per cent or 59.9 points lower at 7050.9.

The SPI futures are pointing to a fall of 67 points.

Company news 

MAAS Group (ASX:MGH) is set to acquire Ellida Estate in Rockhampton Queensland. The company said the acquisition increases the geographic diversity and sustainability of the residential real estate segment. Shares are trading 1.8 per cent lower at $4.35. 

Vodafone New Zealand, 49.9 per cent owned by Infratil (ASX:IFT), has said the potential sale of Vodafone’s passive mobile tower assets has commenced. Shares are trading 0.4 per cent higher at $7.64. 

Best and worst performers

The best-performing sector is energy, up 4.6 per cent. The worst-performing sector is information technology, down 4.2 per cent.

The best-performing stock in the S&P/ASX 200 is Woodside Petroleum (ASX:WPL), trading 7.6 per cent higher at $33.81. It is followed by shares in Northern Star Resources (ASX:NST) and Gold Road Resources (ASX:GOR).

The worst-performing stock in the S&P/ASX 200 is Block (ASX:SQ2), trading 10.3 per cent lower at $137.22. It is followed by shares in Life360 (ASX:360) and Telix Pharmaceutical (ASX:TLX).

Commodities and the dollar

Gold is trading at US$1987.66 an ounce.
Iron ore is 0.4 per cent lower at US$152.40 a ton.
Iron ore futures are pointing to a rise of 6.4 per cent.
One Australian dollar is buying 73.95 US cents.

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