Cryptocurrencies have experienced intense volatility. Photo / Getty Images
Keeping you up to date with the latest market moves, in association with Investment firm Jarden
New Zealand:
The NZX50 fell a slim 0.1 per cent yesterday. This fall was led by the consumer non-cyclicals and energy sectors, both down 0.8 per cent. The top-performing sectors yesterday were technology, up 1.2 per cent, and financials, up 1.0 per cent.
Sanford led the day, rising 3.4 per cent. This gain was a partial recovery after last week's results announcement pushed Sanford's stock down. For the six months to 31 March 2020, revenue fell 4.9 per cent compared to the same period in the previous year, with profit falling 14.8 per cent.
Another outperformer was Vista Group International, up 3.3 per cent.
The worst performer was Ryman Healthcare, down 5.3 per cent. This is a continuation of last week's decline, following a result release with profit falling 7.3 per cent due to Covid-19 disruptions.
Auckland International Airport fell 3.1 per cent yesterday. Friday saw the CEO, Adrian Littlewood, announce his intention to step down after nine years in the role.
Both Kiwi Property Group and AFT Pharmaceuticals had results releases yesterday.
AFT Pharmaceuticals fell 0.6 per cent yesterday with the full-year results outlining revenue reaching a record $113.1 million for the year ended March 2021, (+7 per cent). Profit reduced from $12.7 million to $7.8 million, while gross profit grew by 1 per cent to $48.8 million. A resilient set of results, given pandemic disruptions, higher freight costs and a strong New Zealand Dollar. Future growth could come with the negotiation of Maxigesic pain relief medicine licenses for over 20 new countries.
Financial Year 2021 results for Kiwi Property Group included net profit after tax of $196.5 million, up $383.2 million from the previous year, driven by rising property prices. Rent income decreased 7.1 per cent to $173.6 million, led downwards by rent relief and lockdowns through the Covid-19 pandemic. Kiwi Property Group rose 1.7 per cent yesterday.
The Statistics New Zealand Retail Trade Survey results were released yesterday. Retail sales volumes in New Zealand rose 2.5 per cent for the March 2021 quarter, recovering from a 2.6 per cent decline in the December 2020 quarter. The value of retail sales also rose 2.5 per cent with New Zealanders spending $648 million in the three months and 10 of 16 regions having higher sales values. These figures are allaying fears of a double dip recession.
INTERNATIONAL
US:
US markets were in the green this morning as the S&P 500, Nasdaq, and Dow Jones Industrial Average were currently trading up 1.2, 0.8 and 1.6 per cent at the time of writing.
Sector gains include Technology and Real Estate, each leading the way with 2.1 and 1.3 per cent increases.
These sector gains were well supported by the single stock winners Caesars Entertainment Inc (up 5.9 per cent) and MGM Resorts International (up 5.4 per cent) as both casino and gambling providers traded favourably, aligning with the continued re-opening of their facilities.
None of the main sectors made a loss today, coinciding with the overall market trend.
Cabot Oil & Gas Corp, down 7.5 per cent, was the poorest performer at time of writing. It was announced over the weekend that the companies proposed merger with Cimarex
Energy Co was under investigation from investor rights firm Halper Sadeh LLP on grounds that the deal is not fair for shareholders.
Joining Cabot Oil was merchandise retailer Dollar General Corp which is down 2.9 per cent amid a series of broker downgrades ahead of its earnings release later in the week.
Rest of the World Markets:
Asian indices were mixed overnight. Highlights include the Hang Seng slipping 0.2 per cent, the Shanghai Composite up 0.3 per cent, and the Nikkei making a small gain of 0.2 per cent at the day's close.
Commodities:
Gold was trading stronger by 0.4 per cent at US$1,884.0 per ounce. WTI crude oil jumped 3.8 per cent, now priced at US$66.00 per barrel. News from the US suggests a delay in the removal of sanctions from Iran, potentially prolonging oil supply shortages.
Yields are down slightly, with the US 10 year at 1.61 per cent.
Cryptocurrencies continue to see significant volatility after the well-publicised crash over the last 2 weeks. At the time of writing, all of the main cryptos recovered some of last week's losses, with Bitcoin and Ethereum making leaps of 14.1 and 29.2 per cent respectively.
Australian Markets:
The ASX200 started the week off in the green, increasing by 0.2 per cent in Monday's session.
Healthcare made the biggest gains, rising 1.5 per cent. Energy also performed well, up 1.1 per cent. Basic Materials was the worst-performing sector of the session, decreasing 1.1 per cent.
The best performer of the day was online retailer Kogan.com Ltd, rallying 14.7 per cent, after releasing a positive business update on Friday. Precious metal mining companies Gold Road Resources, Westgold Resources and Silver Lake Resources followed suit, up 5.8, 5.1, and 5.0 per cent respectively.
The biggest losses of the day were made by copper miner Oz Minerals (-4.6 per cent), iron ore miner Fortescue Metals Group (-4.2 per cent), and insurance and financial services provider AMP (-3.6 per cent).
Chemicals manufacturing and storage company DGL Group had its debut on the ASX yesterday. After a volatile session, it closed with a 7.5 per cent increase on the AU$1.00 issue price.
Zip Co (+0.9 per cent) announced yesterday that it will take full ownership of two international competitors, in which the Sydney-based buy now, pay later company has already had minority stakes. The deals would cost Zip Co about AU$140 million for Twisto Payments, which operates in Europe, and about AU$21 million for Spotii, which operates in the Middle East.
• For more information on the latest market moves, get in touch with Jarden.
Disclaimer: This Morning Brief has been prepared in good faith and reflects opinions and views at the time of publication, using external sources, systems and other data and information we believe to be accurate, complete and reliable at the time of preparation. We make no representation or warranty as to the accuracy, correctness and completeness of that information, and will not be liable or responsible for any error or omission. This Morning Brief is not to be relied upon as a basis for making any investment decision. Please seek specific investment advice before making any investment decision. Jarden Securities Limited is an NZX Firm, a broker disclosure statement is available free of charge at www.jarden.co.nz. Jarden is not a registered bank in New Zealand. Full disclaimer available at: https://www.jarden.co.nz/limitations-and-disclaimera>