Industrials lead the sectors: ASX tracking 1% higher at noon
The Australian share market rose at the open and managed to maintain momentum and is now tracking 1 per cent higher at noon. Shares in Orocobre (ASX:ORE) are rising as are Pilbara Minerals (ASX:PLS) and Coca Cola Amatil (ASX:CCL). Meanwhile, Northern Star Resources (ASX:NST), and Elders (ASX:ELD) have seen their shares drop. The best performing sector is industrials. The worst performing sector is materials.
The S&P/ASX 200 index is 70 points up at 6,806. On the futures market the SPI is 70 points higher.
Broker moves
Morgans has downgraded AGL Energy (ASX:AGL) to a Reduce from a Hold with the analysts observing their share price has steadily increased while the outlook for earnings is softening. Share price target does increase by 2 per cent to $17.88 but remains well below the share price. Comments include electricity futures prices for FY21 have fallen -9 per cent since October 2019 and their competitive advantage over the last several years has been its large coal fleet, but this now comes with rising costs to replace its aging fleet. Shares in AGL Energy (ASX:AGL) are currently 0.4 per cent higher at $20.66.
Company news
Medical device company PolyNovo (ASX:PNV) had its first two-million-dollar month. Revenue from NovoSorb BTM sales, unaudited, for the month of December 2019 were just over $2 million compared with $890,000 December 2018 – that’s a 134 per cent increase. H1 NovoSorb BTM revenues, unaudited, were $8.57 million compared to $3.75 million in the first half of 2019, a 129 per cent increase. NovoSorb BTM is a dermal scaffold for the regeneration of the dermis when lost through extensive surgery or burn. Shares in PolyNovo (ASX:PNV) last traded at $1.82.
Best and worst performers
The best-performing sector is Industrials, adding 1.6 per cent, while the worst performing sector is Materials with the fewest gains at 0.1 per cent.
The best performing stock in the S&P/ASX 200 is Orocobre (ASX:ORE) rising 6.9 per cent to $3.04, followed by shares in Pilbara Minerals (ASX:PLS) and Coca Cola Amatil (ASX:CCL).
The worst performing stock in the S&P/ASX 200 is Northern Star Resources (ASX:NST), dropping 3.3 per cent to $11.71, followed by shares in Elders (ASX:ELD) and Regis Resources (ASX:RRL).
Commodities and the dollar
Gold is trading at US$1,564 an ounce.
Iron ore price is 1.1 per cent higher at US$95.61
Iron ore futures are pointing to a rise of 0.4 per cent.
One Australian dollar is buying 69.30US cents.
Copyright 2020 – Finance News Network
Source: Finance News Network
