The S&P/ASX 200 (ASX: XJO) managed to deliver another positive day, finishing 0.2% higher on Wednesday despite giving back gains of over 1.5% at the open.
Weaker US futures hit confidence in the afternoon, with defensive earnings streams among the worst hit as the utilities and consumer sectors dropped 1.2% and 0.8%, respectively.
The top performers were the communications and property sectors, up 1.8% and 1%, respectively, with most recouping Friday’s losses.
AMP jumps on demerger
AMP Ltd (ASX: AMP) was among the leaders as more detail was delivered around the demerger of its AMP Capital Private Markets business.
AMP shares finished 3% higher after management confirmed the demerger would go ahead in the first half of 2022.
The CEO is seeking to cut another $100 plus million in costs from the slimmed-down but loss-making wealth management and challenger bank businesses.
Westpac sued
Westpac Banking Corp (ASX: WBC) underperformed the market, falling 1.9% after the corporate regulator launched ‘unprecedented’ legal cases alleging that the company had engaged in “widespread compliance failures” including charging dead people in excess of $10 million.
KFC pays off
Domestic KFC distributor Collins Foods Ltd (ASX: CKF) led the market, gaining over 12% after delivering record revenues in its Australian business.
Revenue jumped 4.4% domestically, but it was the overseas expansion that is clearly paying off with KFC Europe reporting 31% growth.
Total revenue was 8.5% higher than the prior period, with the store rollout supporting expanded margins and earnings growth of 13.1%; this despite strong 2020 comparables.
Record surplus
Australia achieved another record trade surplus, hitting $23.9 billion as surging coal and other fuel prices delivered price gains.
The news came as it appears recent steel mill shutdowns in China are coming to an end, which is boosting the iron ore price, sending BHP Group Ltd (ASX: BHP) 2.1% higher.
Credit Corp buys Radio Rentals
Credit Corp Group Limited (ASX: CCP) gained 8.6% after announcing the purchase of Thorn Group’s (ASX: TGA) Radio Rentals business and lease book for $60 million.
GUD goes global
Meanwhile, GUD Holdings Limited (ASX: GUD) entered a trading halt to announce the significant purchase of AutoPacific Group, one of the largest suppliers of towing and trailer accessories in the Australian market, for $745 million.
ASX 200 today
Looking ahead, the ASX 200 is expected to open lower on Wednesday after all three US benchmarks dropped more than 1.5% overnight. To find out more, check out my US stock market report.
