SHARES: Trading Updates Hit The ASX Boards

AMP Limited (AMP.AX) shares have edged ahead +1% in trading despite record outflows in AMP's Wealth Management division to the tune of A$1.9bn and the loss of some key pension mandates. The up-move is likely to have ensued because its Q3 report was broadly in line with expectations; markets weren't surprised given all the earnings risk that had been priced into the stock since AMP started cratering. What markets were happy with was AMP's infrastructure flows and committments of US$6.2bn demonstrating decent demand for AMP's real asset investment capabilities. Assets under management (AUM) also grew to A$133.2bn. Price action was limited at A$1.85 resistance with selling pressure taking place at the top of a four-month downward trend channel. Near-term catalysts remain uncertain, and so, it's likely AMP's share price falls back into the range.



Source: ThinkMarkets
 

JB Hi-Fi (JBH.AX) has stepped higher by showing that it can still grow sales amid amid what has been a markedly weak retail environment in Australia that has seen household consumption slow and remain subdued. Sales for JB Hi-Fi Australia, its most significant contributor,  grew 4.7% slightly under 5.3% in the previous corresponding period. The segment looks to contribute around 67% to FY20 sales guidance of A$7.25bn. However, this was partially offset by a smaller segment in The Good Guys which saw total sales growth fall -0.5%. JBH currently trades at all-time highs and has experienced year-to-date gains of 65%, while still offering a 5.9% dividend yield. Support to the downside is at A$33. 
 

Qantas Airways (QAN.AX) finds itself down 3.7% in trading following its Q1 FY2020 business update. The global air carrier saw group revenues grow by 1.8% to A$4.56bn, however, this was offset by investors who were concerned by the impact US/China trade wars and ongoing HK unrest was having on freight loads and general tourism travel. The ongoing trade war between US and China has had a corrosive impact on trade flows, negatively effecting air carriers like Qantas that make ancilliary revenues from flying freight between countries. QAN noted that disruptions in Hong Kong "will negatively impact first half profit performance by A$25m". At a current price of A$6.25, QAN trades under VWAP (A$6.43), and sees multi-month support and resistance at A$5.5 and A$6.7 respectively.


Source: ThinkMarkets