Cyclicals including technology, financials and discretionaries fell in the US overnight despite a big Tesla presentation. Photo / Eduardo Munoz Alvarez, Getty Images
Keeping you up to date with the latest market moves, in association with Investment firm Jarden.
International
US markets were mixed overnight, with the S&P down 0.2 per cent, the Dow Jones Industrial Average up 0.3 per cent and the Nasdaq falling 0.5 per cent.
Defensive sectors such as utilities, staples and healthcare rose, while cyclicals including technology, financials and discretionaries fell.
In Europe, stocks closed higher as euro zone inflation came in at 8.5 per cent in February – 10 basis points lower than the January figure.
Tesla hosted an Investor Day presentation in Texas, during which CEO Elon Musk outlined the company’s vision for the future and how it plans to scale up.
Musk emphasised the importance of a sustainable-energy Earth and discussed how Tesla plans to ramp up battery production to power both its electric vehicles and utility-scale energy storage systems.
Tesla’s goal is to produce 20 million electric vehicles per year by 2030, and executives reiterated the company’s full-year delivery numbers of around 1.31 million vehicles in 2022.
Despite the presentation, Tesla traded down -7 per cent, with the stock rallying over the last month over anticipation for the announcement of new products or services.
Australia
The ASX 200 slid 0.1 per cent yesterday, with positive manufacturing data out of China encouraging a rally in commodities prices as well as ASX-listed mining stocks.
Australian corporate regulator ASIC is supporting mandatory disclosure of climate change information by large companies, following the government’s release of a paper on the subject last year.
The move is in line with other global regulators, such as the US SEC, and suggests that mandatory reporting requirements will likely be put in place under the current government.
Additionally, ASIC is taking a tougher stance on misleading information provided by company directors and officers, including launching its first court action against alleged greenwashing conduct, a saga which made Australian headlines last week.
Investment & commercial bank Macquarie is reportedly considering a takeover bid for UK-listed fund manager and insurer M&G, with the potential deal valued at over £5 billion (NZ$9.6b).
Macquarie has previously set out a broader strategy to diversify into global asset and funds management to generate more consistent revenue, given the lower deal flow and higher borrowing costs which have challenged its investment bank division.
Macquarie’s CEO, Shemara Wikramanayake, recently noted that the company’s surplus capital of A$12.5 billion (NZ$13.52b) could be used to fund acquisitions, with funds management being one of the three areas being considered.
New Zealand
Religious payments systems company Pushpay has advised that with only 56 per cent of the 700 million proxy votes cast early by investors in favour of the deal, the 75 per cent majority required to approve the takeover does not look likely to be met.
The meeting will still go ahead later today, at 11am, to ensure all shareholders have the opportunity to have their say on the scheme.
AFT Pharmaceuticals has announced that the US Food and Drug Administration has approved Maxigesic Rapid, a patented combination of paracetamol and ibuprofen in a rapid-release tablet form.
The medication is designed to treat mild to moderate acute pain, and opens a US pain relief market worth over US$7 billion (NZ$11.25b).
The approval for Maxigesic Rapid is expected to be the first step in the product’s expansion into the US market, and the company is also awaiting approval for an intravenous form of the medication.
AFT’s Maxigesic Oral Liquid, designed for children, has also recently been approved in an additional 12 European countries.
Tower Insurance confirmed it has reinstated its reinsurance cover for the remainder of the financial year ending September 2023, following recent weather events.
The reinstatement will ensure the company has sufficient protection for two additional catastrophe events, with cover for a third event already in place.
The company is also monitoring the costs of recent weather events and may consider additional reinstatement cover if necessary.
For more information on the latest market moves, get in touch with Jarden.
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