AU Morning Wrap: ASX Rises; CSL Plunges Over 8%

Moomoo News AU wrote a column · Jun 14, 2023 08:27

G'day, mooers! Check out the latest news on today's stock market!
• The Fed is set to pause as US inflation cools to 2-year lows
• ASX rises; CSL shares plunge over 8%
• Stocks to watch: BHP, CSL, Rio Tinto
- Moomoo News AU

AU Morning Wrap: ASX Rises; CSL Plunges Over 8%

Wall Street Summary

Stock markets on Tuesday passed their first major test this week, edging higher after federal data showed the U.S. inflation rate has slowed by half since last year's highs.

The $S&P 500 Index (.SPX.US)$ ticked up 0.7%, notching a new 2023 high, while the tech-heavy $Nasdaq Composite Index (.IXIC.US)$ climbed by 0.8%. The $Dow Jones Industrial Average (.DJI.US)$ rose 0.4%, or about 146 points.

AU Market Watch

The $S&P/ASX 200 (.XJO.AU)$ edged up 0.3 per cent, or 22.2 points to 7161.1 at market open, buoyed by positive sentiment from the overnight release of US May CPI data that green lights the Federal Reserve to hit pause this month.

Eight out of the 11 sectors were in the green, led by gains in mining and energy stocks. $BHP Group Ltd (BHP.AU)$ shares rallied 2.5 per cent. $Fortescue Ltd (FMG.AU)$ rose 2.9 per cent. $Rio Tinto Ltd (RIO.AU)$ increased 2.3 per cent. $South32 Ltd (S32.AU)$ added 1.8 per cent. $Pilbara Minerals Ltd (PLS.AU)$ rose 2.1 per cent.

$Woodside Energy Group Ltd (WDS.AU)$ rose 1 per cent. $Santos Ltd (STO.AU)$ edged up 0.8 per cent. $Beach Energy Ltd (BPT.AU)$ added 1.2 per cent. $Karoon Energy Ltd (KAR.AU)$ rose 2.1 per cent.

The healthcare sector plunged 5 per cent, dragged lower by losses in $CSL Ltd (CSL.AU)$. CSL shares tumbled 8.1 per cent after it downgraded its financial year 23 statutory profit forecast due to FX damage.

$Cochlear Ltd (COH.AU)$ shares dropped 0.9 per cent. $ResMed Inc (RMD.AU)$ fell 1.4 per cent. $Fisher & Paykel Healthcare Corp Ltd (FPH.AU)$ lost 1.2 per cent.

Stocks to Watch

$Auckland International Airport Ltd (AIA.AU)$: Auckland Airport has revised its dividend policy to pay 70 per cent to 90 per cent of net profit.

It noted that in certain circumstances, that the company's directors could consider the payment of ordinary dividends above or below the range.

$CSL Ltd (CSL.AU)$: Healthcare giant CSL Limited has downgraded its financial year 23 statutory profit forecast due to FX damage.

The company says it's expecting a foreign currency headwind of around $US230 million ($339.8 million) to $US250 million, up from $175 million projected at the time of the half-year result.

CSL forecasts FY24 profit growth of 13 per cent to 18 per cent to $US2.9 billion to $US3 billion excluding the impact of FX movements.

$IPD Group Ltd (IPG.AU)$: IPD Group says it's expecting earnings (EBITDA) in financial year 23 to exceed the prior year's, taking it to the range of $27.1 million to $27.6 million.

The company forecasted its earnings before interest and tax to $22.9 million to $23.4 million.

Trading Ex-div: $KMD Brands Ltd (KMD.AU)$

Dividends Paid: None

Listing: None

Source: Dow Jones Newswires, AFR

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