Home / Daily Market Update / Election, what Election? Codan, Elders bust out. Green arrows on Wall Street.

Election, what Election? Codan, Elders bust out. Green arrows on Wall Street.

Daily Market Update

Election, what Election?
 
A change of government was yawned-off by the Australian share market on Monday; after being up by 50 points in morning trading, the benchmark S&P/ASX 200 index closed just 3.3 points higher, at 7,148.9.

The broader S&P/ASX All Ordinaries rose 7.9 points, or 0.1 per cent, to 7,398.9.
 
All four big banks declined, with NAB the worst performer, falling 29 cents, or 0.9 per cent, to $30.78. ANZ was down 19 cents, or 0.8 per cent, to $25.31, Westpac lost 16 cents, or 0.7 per cent, to $23.41 and CBA shed 10 cents to $104.50.

In contrast, Big Iron was higher, on the back of a rising iron ore price, with Fortescue Metals up 56 cents, or 2.8 per cent, to $20.71, Rio Tinto adding $1.15, or 1.1 per cent, to $109.50 and BHP advancing 65 cents, or 1.4 per cent, to $47.83.
 
Codan, Elders bust out
 
Metal-detector maker Codan and agribusiness heavyweight Elders were the stars of the show, as each rolled out an earnings upgrade.

Codan gained 98 cents, or 14.5 per cent, to $7.73, after announcing that it was expecting to record a $100 million profit in the financial-year 2022. up from $64 million in 2021.

However, the company took pains to point out that unforeseen challenges in supply chains could still affect revenue and profitability over the remainder of the financial year.
 
Elders was up $1.22, or 8.9 per cent to an all-time high of $14.92, after lifting its interim dividend on the back of a strong half-year performance.

Excellent seasonal conditions in the major cropping areas are boosting demand for Elders’ fertiliser and crop protection products; cattle and sheep prices are expected to remain high, and Elders’ real estate division is seeing strong demand for both farmland and residential property, the company said.
 
Incitec Pivot fell 14 cents, or 3.7 per cent, to $3.60 after announcing plans to spin off its fertiliser business into a new company, to be named, Incitec Pivot Fertilisers, and rename itself after its mining explosives subsidiary, Dyno Nobel.
 
Green arrows on Wall Street
 
Markets were on the rise overnight in the US, with the benchmark S&P 500 index gaining 72.4 points, or 1.9 per cent, to 3973.8; the 30-stock Dow Jones Industrial Average (DJIA) adding 618.3 points, or 1 per cent, to 31,880.2; and the tech-laden Nasdaq Composite Index closing 180.7 points higher, up 1.6 per cent, to 11,535.3.
 
27 of the Dow 30 ended the day in the green, as the big US banks powered the index.

JPMorgan Chase surged 6 per cent after raising its outlook for interest income, a crucial measure of profitability, while fellow financials Goldman Sachs, American Express and Visa also enjoyed a strong session.

That spilled over into the S&P 500, where Citigroup, Bank of America and Wells Fargo were also leaders.
 
European stocks were also on the up, despite fears over the growth prospects for the global economy, with the European Stoxx 600 index gaining 1.3 per cent.
 
Brent oil rose by 82 cents to US$113.47 a barrel, up 0.9 per cent, while gold rose $4.50, or 0.4 per cent, to US$1,852.40 an ounce. The Australian dollar is buying 71 US cents.




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