The S&P/ASX 200 (ASX: XJO) spent most of the day clawing back from early losses, ultimately finishing down just 0.2% despite a weak lead from the US market.
The story was similar to yesterday with 8 of the 11 sectors down but technology continuing to drive performance, up 4.4%.
As flagged in yesterday’s update, the energy sector took a significant hit due to growing concerns with Iran, falling 1.4% with Origin Energy Ltd (ASX: ORG) avoiding the sell-off to gain 2.8%.
After surge continues
Afterpay Ltd (ASX: APT) gained another 11.4% with the stock now trading in line with its suitor, Square Payments (NYSE: SQ) which jumped 10% on Monday after a strong earnings report.
The deal has seemingly made traders believe everything is on sale with Zip Co Ltd (ASX: Z1P) jumping 7.5% and even struggling e-commerce play Redbubble Ltd (ASX: RBL) adding 5.2% without any news.
RBA to reduce bond purchases
All eyes were on the Reserve Bank of Australia with experts predicting the planned tapering of bond purchases would be paused given the expanding outbreak.
As usual, the pundits were wrong and they went ahead, reducing bond purchases to $4 billion per week from November.
The importance of government stimulus was reflected in Tuesday’s building approval numbers with residential requests down 6.7%, driven by an 11.6% drop in detached dwellings as the Home Builder scheme came to an end.
Credit Corp profits quintuple
Shares in debt collection agency Credit Corp Group Limited (ASX: CCP) added just 0.2% after reporting a 500% increase in profit to $88 million for the financial year.
Revenue rose 19.6% with management citing the company’s unique analytical ability as being behind its success in buying loan books from distressed sellers during the pandemic.
The dividend was returned at 36 cents per share, in line with pre-pandemic 2019 payment levels.
Crown & Qantas make big calls
Crown Resorts Ltd (ASX: CWN) announced the departure of Melbourne CEO Xavier Walsh after less than 12 months in charge as the board seek to quell the impending threat of two Royal Commissions.
Similarly, Qantas Airways Limited (ASX: QAN) shares fell 2.1% after standing down a further 2,500 workers due to the extended lockdowns and delta outbreaks.
Murdoch not done yet
Rupert Murdoch’s doesn’t appear to be done yet, after selling the majority of his media assets to Walt Disney (NYSE: DIS) with News Corp (ASX: NWS) announcing the acquisition of data provider Oil Price Information Service for $1.56 billion.
The group adds to the booming Dow Jones online media business with operations spanning renewable energy, oil and other commodity pricing and data collection; shares were flat.
ASX 200 today
According to SPI futures, the ASX 200 is expected to edge higher when the market opens on Wednesday. This comes following a positive lead from US markets overnight despite gaming stocks tumbling on Chinese regulatory concerns.
