ASX flat as consumer staples drag
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The news: The Australian sharemarket finished flat after a mixed session and news that inflation was falling faster than expected.
The numbers: The benchmark ASX 200 ended Wednesday down 0.03% to 7,660.4 despite six out of 11 sectors finishing in green.
Consumer staples was the worst performing sector, down 0.81%, after enjoying gains on Tuesday as supermarket stocks rose. Today, both Woolworths and Coles were down 1.48% and 0.78%, respectively, as inflation figures for January were at the lowest level since November 2021 at 3.8%.
One of the worst performing stocks was Neuren Pharmaceuticals, down 10.57%, after it published net sales results of its Rett syndrome drug Daybue. Earlier in the month Neuren shares fell more than 13% after a US activist short-seller published a report that said the safety profile of the drug had been misrepresented.
IT was the highest performing sector, up 2.88%, followed by energy (0.84%) and AREITs (0.39%). NextDC pulled the IT sector up as the stock rose 13.39% after its earnings beat analyst expectations. Xero and Altium also rose 4.06% and 0.23%, respectively.
The context: The US personal consumption expenditure price index will be released on Thursday and will set the tone for the next interest rate cut decision. The US quarterly GDP figures will also be released.
Earnings season continues with Atlas Arteria, Ramsay Health Care, Southern Cross Media Group, and Cromwell Property Group posting results on Thursday.
