Frydenberg reports $85.8 billion deficit: Aus shares 0.2% up at noon

 

The Australian share market opened lower this morning but is now trading 0.2 per cent up at noon.

Treasurer Josh Frydenberg has just delivered his economic update saying the country is experiencing the most severe economic crisis since the Great Depression.

Mr Frydenberg confirmed an $85.8 billion deficit for the last financial year with that figure reflecting the $289 billion the Morrison Government has allocated to stimulus measures including JobKeeper. The Treasurer says he expects unemployment to peak to 9.25 per cent in the December quarter as 870,000 Australians lost their jobs between March and May.

Meanwhile in Victoria, Premier Daniel Andrews confirmed 403 new Coronavirus cases and 5 deaths in the past 24 hours.

The S&P/ASX 200 index is 14 points up at 6089. On the futures market the SPI is 18 points up.

Company news

Life360's (ASX:360) investor, the ADT Security Corporation, has sold its 10.15 per cent holding in the San Francisco based technology company. The divestment occurred via an off-market trade on 22 July 2020, to a range of institutional investors. Co-Founder and CEO Chris Hulls said he thanks ADT for their support as a long-standing shareholder and the mutual benefit received during the partnership, and are pleased with the institutional support shown for the transaction. Shares in Life360 (ASX:360) are trading 2.4 per cent higher at $3.41.

Best and worst performers

The best-performing sector is Real Estate Investment Trust, adding 1.4 per cent, while the worst performing sector, is Materials shedding 0.2 per cent.

The best performing stock in the S&P/ASX 200 is AP Eagers (ASX:APE), rising 6 per cent to $7.42, followed by shares in Coca-Cola Amatil (ASX:CCL) and NRW Holdings (ASX:NWH).

The worst performing stock in the S&P/ASX 200 is Nearmap (ASX:NEA), dropping 2.8 per cent to $2.42, followed by shares in Magellan (ASX:MFG) and TPG Telecom (ASX:TPG).

Commodities and the dollar

Gold is trading at US$1,866 an ounce.

Iron ore price fell 0.4 per cent to US$110.95

Iron ore futures are pointing to a fall of 0.4 per cent.

One Australian dollar is buying 71.38 US cents.
 
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Source: Finance News Network