The ASX has again gained ground, with the benchmark index returning above 7500 points and oil stocks surging. At the same time, an online retailer copped a battering for its full-year results.the winners. The Australian share market ended in positive territory for the second day, with travel and
The S&P/ASX200 firmed 0.17 percent to 7503 while the All Ordinaries Index added 0.16 percent to 7773.7. CommSec analyst James Tao said itovernight, with the tech-heavy Nasdaq the standout.
Ord Minnett said the index climbed to an all-time high as investor sentiment was boosted by full FDA approval of the Pfizerand the prospect of reluctant Americans being willing to get their shot now.
Mr. Tao said resourceson the back of higher commodity prices overnight, particularly oil, up more than 5 percent. “One of its best sessions in about six months, and that’s certainly helping our local producers,” Mr. Tao said.
Woodside gained 3.2 percent to $20.31, Origin lifted 3.04 percent to $4.40, Oil Search rose 2.97 percent to $3.81, and its suitor Santos appreciated 3.19 percent to $6.14. Oil Search booked a significant turnaround in first-half results, with a net profit of $US139m ($A192m) compared to a net loss of $US266.2m ($A368m) for the same period.
Acting chief executive Peter Fredricson said the company was on track to meet its production and cost guidance. RBC Capital Markets analyst Gordon Ramsay described the results as promising, noting Oil Search had made progress in reducing overheads.
While the iron ore coming months.to slide, Rio Tinto put 1.32 percent to $108.10, BHP added 1.04 percent to $44.92, and Fortescue firmed 1.39 percent to $19.76. S&P Global Ratings put BHP on credit watch negative, warning it could lower its ratings for the mining giant by up to two notches in
“BHP’s recently announced agreement to pursue a merger of its oil and gas assets with Woodside Petroleum, and distribute itsto its shareholders, may result in a less diversified portfolio, with increased reliance on iron ore,” the rating agency said.
Qantas jumped 5.48 percent to $4.62, Webjet advanced 6.48 percent to $5.26, and Flight Centre leaped 6.66 percent to $15.22. “Travel stocks picked up on the back of remarks from the Prime Minister, who intends to end lockdowns based on, irrespective of active cases,” OMG chief executive Ivan Tchourilov said.
“If states follow through with the Prime Minister’s orders, interstate travel couldbefore the end of the year. With Pfizer receiving the OK in the US, investors hope to see international travel as well.”
In the tech sector, buy-now-pay-later provider Afterpay gained 1.58 percent to $135.10, while smaller rival Zip advanced 2.52 percent to $7.32. Online retailer Kogan took a hammering, plummeting 15.77 percent to $11.06 after .
“Despite a 50 percentrevenue for the year, they were unable to capitalize,” Mr. Tchourilov said. “Kogan, like many other e-commerce companies, has fallen victim to Covid-related inventory storage and logistics complications. “In the current climate, too much stock can quickly become expensive, and their second-half over-estimate in was no exception.
“This, combined with Scotty’s, meaning consumers will be out of their houses and into brick-and-mortar stores, has investors bearish on the e-commerce specialist.”
The broader retail sector was weaker, with Coles shedding 3.08 percent to $18.26, rival Woolworths slipping 1.1 percent to $41.38, Bunnings owner Wesfarmers losing 1.58 percent to $64.65, Harvey Norman backtracking 2.25 percent to $5.66, and JB Hi-Fi retreating 1.54 percent to $47.35.
Domino’s Pizza gave up 2.5 percent to $143.23. Gloves and condoms maker Ansell sank 9.19, despite its healthcare division growing almost 35 percent on strong demand due to the pandemic.
Citi said the company’s earnings before interest and tax of $US338m ($A467m) was 4 percent below consensus. Still, revenue of $US2.027bn ($A2.8bn) was 1 percent above consensus and benefited from exchange rates.
Bathroom products maker Reece posted a 25 percent rise in full-year. Chief executive Peter Wilson said construction activity is at an all-time high, which had led to record results. In February, Reece reported that Texas was hit hard by winter storm Uri, causing burst pipes and other .
Service vice president Saranga Ranasinghe said. Shares in the company gave up 2.88 percent to $25.of $640m compared to a loss of $1.145bn in fiscal 2020. “Boral’s earnings for fiscal 2021 were in line with our expectations, although its revenue from continuing operations decreased 6 percent,” Moody’s Investors
“The drop was driven by lower product demand due toinfrastructure projects and weak demand from multi-residential and non-residential construction. “Growth in detached housing and the alterations and additions segments partially offset the weakness from other segments.”
Boral shares backtracked 5.55 percent to $6.27. ANZ added 0.25 percent to $28.39, second day running, travel and resources the winners.gave up 0.26 percent to $99.91, National Australia Bank increased one cent to $27.40, and Westpac put on 0.5 percent to $25.91. The Aussie dollar fetched 72.35 US cents, 52.63 British pence, and 61.58 Euro cents in afternoon trade. Originally published as Australian sharemarket gains ground for the