The S&P/ASX 200 (ASX: XJO) weakened throughout the day, ultimately finishing 0.2% lower on Thursday as both the energy and materials sector continued to fall. Iron ore prices remain under pressure due to well-publicised steel mill shutdowns, which sent BHP Group Ltd (ASX: BHP) down 2.5% and Fortescue Metals Group Limited (ASX: FMG) another 2%. On the other hand, the lithium sector weakened as the Prime Minister’s underwhelming EV policy was received quite poorly. Pilbara Minerals Ltd (ASX: PLS) shares fell 3.8%.
NAB hits three-year high
The ASX financial sector was the major standout, with shares in National Australia Bank Ltd (ASX: NAB) nearly topping the market after jumping 4.1% as the market digests its full-year FY21 results. The rally sent the NAB share price to a three-year high with analysts clearly impressed with the bank’s cost control, ability to service and issue loans efficiently and ultimately, its above industry-average lending growth.
Shopping centres recovering
Shopping centre owner Vicinity Centres (ASX: VCX) has flagged positive signs at its centres following the reopening of the NSW and Victorian assets. Vicinity shares fell 2.5% after management confirmed that centre visitation across the country was 55% of 2019 levels before the end of VIC and NSW lockdowns. Visitation increased quickly after restrictions were eased with NSW at 82% and Victoria 93% in the prior week. The timing couldn’t be better with total Australian retail sales down 25% year on year, but positive excluding the lockdown states where they grew by 7.1%. Vicinity’s occupancy remains strong at 98.1% with cash rent collections improving to 74%. The company refused to provide guidance but is confident of a quick turnaround.
Shaver Shop’s online pivot
Shaver Shop Group Ltd (ASX: SSG) shares gained 3.9% after the company released a trading update, reporting a 58% jump in online sales and a 7% increase in like-for-like sales compared to 2020 levels.
The group reported that online sales are now over 50% of its total, with the company a clear beneficiary of the forced move to e-commerce.
ASX 200 today
Looking ahead, the ASX 200 is expected to open lower on Thursday, following a negative lead from US markets overnight.
