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The Aussie share market started the trading week to yet another choppy and directionless trading session, in which gold miners and supermarkets gained ground, while tech stocks slumped.
Embattled property giant, Evergrande fell as much as 15% to an eleven-year low, after it said that there was no guarantee that it would have enough cash to meet its next debt repayments.
The utilities sector advanced the most, up 2%. Meanwhile, the information technology sector was hit the hardest, down 2.2%, following some major losses on the tech-heavy Nasdaq last Friday. Metcash (ASX:MTS) was the top stock of the day, up 7.3%, after the company released strong first half results, as more Aussies shopped local during lockdown. The company also announced its plans to inject $4 million into digital technology to accelerate online shopping across its food, grocery, hardware, and liquor brands. There were also six gold miners that made the stock leaderboard, including Silver Lake Resources (ASX: SLR) and Gold Road Resources (ASX:GOR). On the flipside, BNPL stocks came under pressure, including Zip (ASX:Z1P), Afterpay (ASX:APT) and Sezzle (ASX:SZL), which were down 10.1%, 4.3% and 16% respectively. Kogan.com (ASX:KGN), Nearmap (ASX:NEA) and Redbubble (ASX:RBL) were also amongst the worst performers, with this trio of technology stocks to be removed from the XJO later this month.
In the US, all three benchmarks advanced, as investors shook off fears around the threat of the Omicron variant. The Dow closed nearly 650 points higher, the S&P500 up over 1% and the Nasdaq up 0.9%. Shares linked to the economy recovery gained, while investors continued to sell tech stocks with relatively high valuations.
What to watch today: