The Chinese government announced a plan to control Covid infections, with the market mostly interpreting these rules as easing strict zero-covid restrictions. Photo / Ju Peng, Xinhua via AP
The Chinese government announced a plan to control Covid infections, with the market mostly interpreting these rules as easing strict zero-covid restrictions. Photo / Ju Peng, Xinhua via AP
Keeping you up to date with the latest market moves, in association with Investment firm Jarden
International
Markets were mixed overnight, with defensive sectors such as healthcare and consumer staples outperforming risk-on assets including real estate and cyclicals.
Weakness in tech stocks was driven by news of sectorlayoffs continuing to surface, including those involving thousands of employees at Amazon.
International headlines were dominated by developments in China over the weekend, which on balance, generated market optimism.
Officials announced a rescue package for its property sector, issuing a 16-point plan to boost the market.
Measures in the plan from China included assisting property developers with their liquidity issues, as well as loosening down-payment requirements for potential homebuyers.
At the same time, the Chinese government also announced a 20-point plan to control its Covid-19 infections, with the market mostly interpreting these rules as being an easement of China's strict zero-covid restrictions.
The government's announcements coincided with the culmination of China's 'Singles Day' shopping festival, one of the largest commercial events of the year.
E-commerce giants Alibaba and JD.com strayed from usual practice in not releasing sales numbers, which may have driven concerns of a potential consumer slowdown.
Commodities
Oil traded higher over the weekend, on the back of optimism around a faster-than-expected China recovery, and remains above historical averages.
However, futures slid overnight following OPEC announcements cutting its demand outlook, planning to lower output by 520,000 barrels a day over the next quarter.
Bitcoin continued to sink, trading at US$16,555 per coin in the aftermath of the FTX cryptocurrency exchange collapse, which has continued to make waves throughout the weekend.
Australia
Warrego Energy announced it had entered into a scheme implementation deed with Beach Energy, with an all-cash offer at A$0.20/share valuing the company at $246m.
On the macro front, the Westpac Card Tracker Index lifted slightly over the two weeks to 5 November, rising 2 points to 136 points.
The rise was driven by a lift in discretionary spending, whilst spend on essential services declined slightly.
Westpac did note that the increase in spending was largely seasonal, driven by the week of spending around the Melbourne Cup, which led to hospitality-related card spending increasing by 25 per cent compared to last year.
New Zealand
New Zealand King Salmon finished yesterday down -5.7 per cent yesterday, despite opening the session strong.
The company came out of a trading halt, put into place on Friday after it received a green light to begin farming salmon in the open ocean.
MOVE Logistics Group fell after withdrawing its financial year 2023 guidance, announcing that it had unexpectedly lost a contract worth NZ$14 million in revenue.
Despite this, the company commented that trading within its Contract Logistics and International divisions remained robust.
Coming up today
Kicking off a busy week in New Zealand will be seafood company Sanford reporting its full year earnings, as well as Wellington-based infrastructure investment company Infratil reporting its half year results.
Consensus forecasts currently sit at ebitda of NZ$67 million for Sanford, and NZ$597 million for Infratil.
In Australia, the key event is likely to be the release of the Reserve Bank of Australia's monetary policy meeting minutes, scheduled to be released at 1:30PM New Zealand time.
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All market pricing and announcements are sourced from Refinitiv, NZX and ASX.
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