Australia shares dip on weak corporate earnings, COVID-19 jitters
- The S&P/ASX 200 fell 0.6% to 7,539.60 points by 1247 GMT to mark its worst day since July 28. The benchmark snapped a four-day winning streak to close 0.6% lower on Monday
Australian shares fell on Tuesday, hurt by a drop in electrical appliance maker Breville and property listings firm Domain Holdings following downbeat financial updates, while an increase in COVID-19 infections kept a lid on risk sentiment.
The S&P/ASX 200 fell 0.6% to 7,539.60 points by 1247 GMT to mark its worst day since July 28. The benchmark snapped a four-day winning streak to close 0.6% lower on Monday.
Sydney, which is the epicentre of Australia's third COVID-19 wave, has witnessed a steady rise in infections and threatens to push the country's A$2 trillion ($1.47 trillion) economy into its second recession in as many years.
Breville Group was the biggest loser on the benchmark, falling as much as 8% to its lowest level in about a month, after its annual profit missed analysts' estimates.
Australian shares snap 4-day winning streak as lockdowns, dour earnings weigh
Shares of Domain Holdings Australia gave up as much as 4.1% despite solid annual results, as it forecast costs to rise in fiscal 2022.
Miners lost over 1% and were on track for a third consecutive session of declines after iron ore and copper prices fell following glum economic data from China.
Financials were down as much as 1.4% and hit their lowest level in a week, with the "big four" banks losing between 0.3% and 1.8%.
Westpac, the No.2 lender, said it would consider returning capital to shareholders with its full-year results but did not disclose a profit for the third quarter.
Bucking the trend, gold stocks rose 0.5%, helped by firmer bullion prices.
Alkane Resources and Regis Resources led gains on the subindex as they added 4.8% and 0.8%, respectively.
New Zealand's benchmark S&P/NZX 50 rose 0.5% to 12,789.58 points.
Electricity retailer Mercury NZ was the biggest gainer, adding 2.5% after it forecast higher core earnings for fiscal 2022.
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