Auckland Airport led the way with a strong performance, up 5.4 per cent at yesterday's close. Shares in the airport traded favourably after Sydney Airport announced it had received a takeover bid at the beginning of yesterday's trading, inflating share prices amongst equities in the airline industry. Air New Zealand also finished the day stronger by 1.6 per cent.
Coming in second on the single stock winners podium was logistics company Mainfreight Ltd, which traded strongly late in the day to outperform by 4.1 per cent.
Milk processor and distributor, the a2 Milk Company, rounded off the day 2.7 per cent higher after the overseas investment office approved the company's proposed acquisition of a 75 per cent stake in Mataura Valley Milk. Mataura are a small-scale competitor to a2, and their acquisition will enable a2 to smooth its supply chain and manufacture additional nutrition products. Investors reacted positively to the investment, which is set to take effect at the end of this month.
On the flip side, Healthcare (down 0.5 per cent) and Financials (also down 0.5 per cent) were the laggard sectors at yesterday's close.
Weighing down index performance was single stock loser Ryman Healthcare, which traded unfavourably (down 3.1 per cent) after the Victorian Civil and Administrative Tribunal rejected Ryman's $200 million-plus application to build at Victoria's Mount Eliza. The decision creates further questions about Ryman's growth trajectory.
Joining Ryman was payment service platform Pushpay Holdings Ltd, which fell 2.9 per cent after it was announced that the current CFO, Shane Sampson, would leave the company to join travel software company Serko Ltd for the same role.
INTERNATIONAL
Unite States:
The US markets were closed on Monday due to Independence Day.
Rest of the World Markets:
The Asian Markets were a mixed bag. The Hang Seng declined 0.6 per cent, the Shanghai index increased 0.4 per cent, the Nikkei was down 0.6 per cent, and the Shenzhen was up 0.3 per cent.
On Monday, the Chinese-owned Dutch chip firm, Nexperia, confirmed its plans to acquire the UK's largest chip producer, Newport Wafer Fab in a deal that is said to be worth about US$87 million. Some have raised concerns about the UK selling a prized asset among a global chip shortage.
Commodities
Gold rose 0.5 per cent to US$1,792 per ounce.
Oil increased 1.6 per cent to US$76.36 after OPEC+ called off its rescheduled talks about production outputs on Monday. Last week the energy alliance could not reach a deal due to rising tensions between Saudi Arabia and the UAE.
At the time of writing, Cryptocurrencies were all trading in the red. Bitcoin fell 4.3 per cent and Ethereum was down 5.6 per cent.
US 10-year treasury yield slightly declined to 1.431 per cent.
Australian Markets:
The ASX200 rose 0.1 per cent yesterday.
The top performing sectors were Industrials, up 4.9 per cent, and Energy rising 2.0 per cent.
The worst performing sectors of the day were Information Technology, down 1.0 per cent, and Consumer Discretionary which declined by 0.9 per cent.
Sydney Airport was the standout company of the day, up 33.9 per cent. This followed a takeover bid by IFM Investors, QSuper pension fund and Global Infrastructure Management, which was announced yesterday. The share price offered was AUS$8.25 per share, which was 42 per cent above the Friday closing share price for Sydney Airport. Sydney Airport is reviewing the offer, which while at a premium, is still below the company's share price before the pandemic.
Australia-based mining company Chalice Mining rose 12.0 per cent yesterday, continuing a strong performance on Friday. This followed the announcement that drilling continues to define high-grade zones at the Julmar Nickle-Copper-Platinum Group Element project in Western Australia.
The worst performing stock of the session was Clinuvel Pharmaceuticals, which fell by 5.2 per cent. It was announced that one of Clinuvel Pharmaceutical's directors sold some company shares yesterday. Insider selling is often taken to signal unreleased bad news.
Machine learning company Appen fell by 5.1 per cent. Nuix, an analytics and intelligence software company, rounded out the worst performing three, with a decline of 4.9 per cent yesterday.
The Covid-19 outbreak continues in New South Wales with 35 new community cases reported yesterday. The Australian Government is currently considering lifting the Sydney lockdown.
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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>
