Chinook was the biggest mover on the day, as shares soared 58 per cent after Novartis announced it was acquiring the biotech firm for US$3.5 billion. Shareholders will get US$40 per share which is 67 per cent higher than the stock price close on Friday last week.
Cruise line company Carnival rose nearly 13 per cent on Monday after JP Morgan upgraded from neutral to overweight and Bank of America upgraded from neutral to buy as analysts continue to see demand momentum in the cruise industry as it heads into summer.
This also led to rise in other cruise stocks such as the Norwegian Cruise Line and Royal Caribbean up 7.5 and 2.0 per cent respectively.
KeyCorp shares retreated nearly 6.0 per cent after the company announced net interest returns will be “softer than expected” due to deposit cost pressure and funding mix in an investor conference.
Rest of the World
China reported a 4.6 per cent drop in factory prices for May which was the steepest decline in seven years, fuelling concerns of fragile economic recovery.
New Zealand
The NZ50 fell 0.64 per cent throughout Monday’s trading with the index finishing down at 11,615.55 points.
That is the lowest it has been since March 27.
Auckland International Airport retreated 2.9 per cent after Auckland Council voted to reduce its 18.1 per cent stake in the airport to 11.1 per cent.
Fonterra Co-operative Group rose 1.0 per cent on the day after the High Court approved a proposal to return $800 million of capital to shareholders.
Retail spending data for May was also released on Monday with a decline in spending of $113 million, or 1.7 per cent, compared to the month before, leading to declines in big New Zealand retailers.
Warehouse Group Limited and Hallenstein Glasson Holdings Limited traded down 2.4 per cent and 2.2 per cent respectively.
Australia
There was no trading on the ASX yesterday due to the King’s Birthday bank holiday.
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