ASX higher by 1% as banks rise

Shares were trading one per cent higher to start the week on the ASX as investors remain optimistic the US can approve an economic aid package.

The S&P/ASX200 benchmark index was higher by 64.1 points, or 1.02 per cent, at 6066.2 points at 1200 AEST on Monday.

The All Ordinaries index was higher by 58.2 points, or 0.95 per cent, at 6203.1.

Trade has followed the SPI 200 futures index after US House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin said on Sunday they were open to restarting talks on funding to boost the coronavirus-stricken economy.

On the home front, Victoria has recorded its deadliest day of the coronavirus pandemic with 19 deaths and 322 new cases.

However Premier Daniel Andrews noted the number of cases was the lowest in 13 days. This follows stage four virus restrictions being introduced in Melbourne last week, which include a curfew and stay-at-home orders for six weeks.

The financial sector led the gains, up 1.62 per cent, ahead of the nation’s biggest bank, the Commonwealth, reporting its full-year results on Wednesday.

ANZ was higher by 1.75 per cent to $17.99, the Commonwealth rose 1.86 per cent to $72.85, NAB was up 1.95 per cent to $17.29 and Westpac gained 2.45 per cent to $17.17.

Utilities was another well-performing sector, higher by 1.51 per cent, consumer staples gained 1.46 per cent.

Supermarket groups Coles and Woolworths had gains of about 2.0 per cent and rose to $18.73 and $39.75 respectively.

The big miners were a mixed bag. BHP rose 0.36 per cent to $39.44, Rio lost 0.91 per cent to $101.52 and Fortescue gained 0.44 per cent to $18.20.

Meanwhile, Qantas has fallen well short of its $500 million target in its share purchase plan and raised $71.7 million.

The airline said five per cent of 173,343 eligible shareholders participated.

Still, Qantas shares were higher by 2.56 per cent to $3.40.

Elsewhere, furniture trader Adairs’ share price has surged 14.23 per cent to $3.13 after its full-year results showed net profit after tax rose 19.0 per cent to $35.2 million.

Group online sales surged by 110.5 per cent to $124.2 million.

Shareholders received a final dividend of 11 cents per share, fully franked, higher than the 2019 final dividend of 8 cents per share, fully franked.

Scentre Group, which owns Westfield shopping centres across Australia, said it has appointed former Kmart and McDonalds boss Guy Russo to its board.

Mr Russo will be an independent non-executive director.

Shares in the company were trading higher by 2.47 per cent to $1.96.

Tabcorp said it has not made a decision on a capital raising, despite media reports.

Shares in the betting group were trading lower by 0.56 per cent to $3.53.

Online shopping group Kogan hit a record high price of $20.23 after it said it gained 35 per cent more customers in July than June. 

The megastore has been one of the best performing companies during the pandemic as shoppers favour buying online.

Shares in Kogan were 7.07 per cent higher to $20.14.

Be the first to comment

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.