Australian stock market is slightly lower on Friday, giving up some of the gains in the previous session, with the benchmark S&P/ASX 200 staying above the 7,400 level, ignoring the broadly positive cues overnight from Wall Street, as energy and technology stocks are weak. Traders also remain concerned amid the rapid spread of highly contagious coronavirus variants in New South Wales, with the extension of lockdown in Greater Sydney hindering economic activity.
NSW reported 170 new local coronavirus cases, with the lockdown extended by another four weeks after seeing the biggest one-day rise in new infections Thursday. Meanwhile, Victoria recorded only two new COVID cases overnight, with the lockdown withdrawn.
The benchmark S&P/ASX 200 Index is losing 9.90 points or 0.13 percent to 7,407.50, after hitting a low of 7,403.10 and a high of 7,437.70 earlier. The broader All Ordinaries Index is down 10.30 points or 0.13 percent to 7,684.90. Australian markets ended modestly higher on Thursday.
Among major miners, BHP Group and Rio Tinto are gaining almost 2 percent each, while Mineral Resources is adding almost 1 percent and OZ Minerals is up more than 2 percent. Fortescue Metals is edging down 0.4 percent.
Oil stocks are weak. Oil Search and Santos are losing almost 1 percent each, while Woodside Petroleum is edging down 0.5 percent and Beach energy is down more than 1 percent. Origin Energy is plunging almost 9 percent after it said it expects a $2.25 billion charge in its full-year 2021 on and expects lower earnings in its energy markets business for the next two years.
Among tech stocks, Xero is edging down 0.4 percent, WiseTech Global is losing more than 1 percent and Appen is down almost 3 percent. Afterpay is declining more than 2 percent.
Among the big four banks, National Australia Bank is gaining almost 1 percent and Commonwealth Bank is edging up 0.3 percent, while Westpac and ANZ Banking are flat.
NAB has announced a $2.5 billion share buyback, which will take place in August. It comes close on the heels of ANZ announcing a $1.5 billion buyback last week.
Gold miners are higher. Newcrest Mining and Northern Star Resources are gaining almost 1 percent each, while Resolute Mining and Evolution Mining are edging up 0.4 percent each. Gold Road Resources is adding almost 2 percent.
In the currency market, the Aussie dollar is trading at $0.738 on Friday.
On Wall Street, stocks moved mostly higher during trading on Thursday, following the mixed performance seen in the previous session. With the upward move on the day, the Dow and the S&P 500 set new record intraday highs.
The major averages pulled back off their best levels in afternoon trading but managed to remain positive. The Dow climbed 153.60 points or 0.4 percent to 35,084.53, the Nasdaq inched up 15.68 points or 0.1 percent to 14,778.26 and the S&P 500 rose 18.51 points or 0.4 percent to 4,419.15.
The major European markets also moved to the upside on the day. While the U.K.’s FTSE 100 Index advanced by 0.9 percent, the German DAX Index and the French CAC 40 Index rose by 0.5 percent and 0.4 percent, respectively.
Crude oil futures settled higher Thursday as data showing a drop in U.S. crude inventories continued to support oil prices, while a weak dollar also contributed. West Texas Intermediate Crude oil futures for September ended up $1.23 or 1.7 percent at $73.62 a barrel.
Market Analysis
Australian Market Slightly Lower
2021-07-30 01:42:55
