Search ASX code:
Generic filters

Search ASX code:
Generic filters

Search ASX code:
Generic filters

Search ASX code:
Generic filters

S&P/ASX 200 morning report – SEK, ANZ & JBH shares in focus

The S&P/ASX 200 (ASX: XJO) is tipped to open higher on Friday after US markets rebounded overnight. Here’s your daily ASX morning report.

ASX 200 recap

It’s looking like a tough end to October after what has been a very strong month. The ASX 200 fell 1.6% on Thursday due to a weak global lead. As highlighted, new economic restrictions are combining with a market that has rallied heavily, seeing a spike in volatility.

The energy sector, -2.9%, has been the hardest hit with the oil price falling below US$40 once again.

Seek Limited (ASX: SEK) was the news of the day as it has come under a highly publicised short attack from ‘Blue Orca’, an activist firm. SEEK shares were down as much as 11% yesterday before being halted down 5.7% for the day after it was claimed its Chinese job site was full of ‘junk listings’ that maintain the illusion of growth; strong words. That said, the business recorded revenue of $749.6 million in 2020 which cannot be easily fabricated, so expect a strong reply from management.

JB Hi-Fi disappoints, ANZ’s dividend intact but profit falling

Management of retailer JB Hi-Fi Limited (ASX: JBH) announced a strong report for the first quarter of the new financial year, with sales up 26.7% across all its stores. The highlight was Australia where sales increased 27.3% despite its entire Melbourne store network being closed for an extended period. Following the trend of recent months, whitegoods retailer The Good Guys is seeing a large share of diverted travel spending, sales were up 30.9%. Key brokers have suggested that the growth rate implies a real slowing in sales in August and September, prompting a 6.2% sell-off in the JB Hi-Fi share price.

ANZ Banking Group Ltd (ASX: ANZ) was the latest to deliver its full-year result, announcing a 42% fall in cash profit to $3.7 billion with statutory profit down a similar level to $3.57 billion. The biggest driver was the $2.74 billion in impairments as it sought to write off potential bad debts and some $815 million in value of its failed Asian expansion. Importantly, a dividend of 35 cents per share was announced, down from 80 cents, and some 80% of loan deferrals are set to return to normal repayments.

US GDP surprises, market rallies ahead of tech earnings

The US economy grew at a record pace in the third quarter, adding 7.4% for a 33.1% annual rate. It has now recovered almost two-thirds of the ground lost due to economic shutdowns and has done so without additional stimulus.

Similarly to Australia, the driver has been consumer spending, spurred on by travel restrictions, with durable good spending up 82.2% in the quarter alone.

The result was a strong rally in sharemarkets, the NASDAQ 100 finishing 1.9% higher and the S&P 500 1.2% as confidence returns.

China released the first details of its next five-year plan, targeting quality rather than speed of economic growth with the country to become a powerhouse of technology.

Facebook (NASDAQ: FB), Alphabet (NASDAQ: GOOGL), Apple (NASDAQ: AAPL) and Amazon (NASDAQ: AMZN) are all due to report quarterly earnings after market close.

Are you stuck wondering where to invest right now? Have you got cash 'sitting on the sidelines'? Are you looking for dividend income AND growth but don't know where to start? Rask's expert ASX analyst team has just released a full report, detailing where we'd invest $10,000 right now.

Not only are we offering these 11 investment ideas completely FREE, we've also released an in-depth podcast to go with the report!

So, whether you have $2,000 or $50,000, our brand new analyst report could help transform your watchlist. Right now, you can get the full analyst report emailed to you for FREE by CLICKING HERE NOW or simply entering your email below.

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

Are you stuck wondering where to invest right now? Have you got cash 'sitting on the sidelines'? Are you looking for dividend income AND growth but don't know where to start? Rask's expert ASX analyst team has just released a full report, detailing where we'd invest $10,000 right now.

Not only are we offering these 11 investment ideas completely FREE, we've also released an in-depth podcast to go with the report!

So, whether you have $2,000 or $50,000, our brand new analyst report could help transform your watchlist. Right now, you can get the full analyst report emailed to you for FREE by CLICKING HERE NOW.

Disclosure: At the time of publishing, Drew does not have a financial or commercial interest in any of the companies mentioned.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

LIVE ASX Chat - Join in!

Play Video

Keep reading:

Rask Analyst’s $10,000 Hypothetical Portfolio 

Rask Australia’s expert analysts have just released 11 stock & ETF positions they’d buy right now as part of a $10,000 hypothetical portfolio. 

Completely free, this report comes with the exact ticker codes, how much the analysts would invest and a detailed over the company and why we like it. Plus a 60-min podcast! 

Simply enter your email address and we’ll send you the report.

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.