ASX hits new record high as big banks rise, Tyro tumbles
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The news: The Australian sharemarket hit a new record high led by financials as it tracked Wall Street gains overnight.
The numbers: The benchmark ASX 200 gained 0.8% to end at 8,318.4, with nine out of 11 sectors finishing in green. The index also hit an intraday high of 8,331.7.
Financials, up 1.32%, was the top performing sector and the biggest news out of the sector today included:
- ANZ (0.88%) — The bank announced it has engaged consulting firm Oliver Wyman to review its markets team’s culture and risk governance after allegations of misconduct;
- Tyro Payments (-12.71%) — Shares plunged after the government said it was prepared to ban debit card surcharges from January 2025 and the Reserve Bank opened submissions into a review of surcharging;
- NAB (1.33%), Westpac (1.42%) — Morgan Stanley analysts flagged there was a high chance the banks would undertake more buybacks of about $1 billion when they report results next month;
- Hub24 (2.49%) — It reported a boost to funds under administration during Q1 of FY25, driven by platform net inflows of $4 billion; and
- Jefferies has poached high profile Goldman Sachs banking analyst and managing director Andrew Lyons, leaving Goldmans without banking coverage.
The energy sector, down 1.25%, was the worst performing after OPEC cut its global oil demand growth forecasts overnight, sending benchmark prices tumbling.
Ampol (-2.16%) suffered the most as it also reported a drop in sales volumes for the September quarter and flagged a maintenance stop at its Lytton refinery next month.
Elsewhere, IDP Education fell 6.96% after it told shareholders at its AGM that it is expecting a 20% to 25% fall in student volumes over the next year.
Other news today included:
- Regis (4.37%) — Morgans hiked its target price on the gold miner;
- Telstra (0.52%) — Reaffirmed its full-year earnings guidance, and appointed former BHP CFO David Lamont as a non-executive director;
- TPG (-1.03%) — Analysts saw risks with its $5.25 billion deal to sell assets to Vocus Group;
- A2 Milk (-1.25%) — Bell Potter downgraded the company to ‘sell’ after a rally led to an overvaluation of the stock; and
- Pilbara (-2.44%) — The lithium producer set up a new $1 billion revolving credit facility to provide financial flexibility.
The Australian dollar is buying 67.07 US cents.
What’s ahead: Wednesday will see the RBA’s assistant governor (economic) Sarah Hunter speak at the Citi Australia and New Zealand Investment Conference in Sydney.
AGMs on Wednesday include Commonwealth Bank, Origin and Bapcor while Woodside and Bank of Queensland will post earnings.
