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ASX closes 0.68% lower as worries continue of China's economy

PUBLISHED

2023-08-17

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At the closing bell, the S&P/ASX 200 was 0.68 per cent lower at 7,146.00.

This decline was in line with a subdued sentiment in Asian markets due to apprehensions about China's deteriorating economy and a less-than-adequate reaction from Beijing. The primary index was mainly dragged down by the industrials and healthcare sectors. On a positive note, the real estate and energy sectors experienced gains, being the only two sectors that showed an upward trend.

Futures

The Dow Jones futures are pointing to a rise of 38 points.

The S&P 500 futures are pointing to a fall of 1 point.

The Nasdaq futures are pointing to a fall of 14.25 points.

The SPI futures are down 53 points.

Best and worst performers

The best-performing sector was REITs, up 1.15 per cent. The worst-performing sector was Industrials, down 1.3 per cent.

The best-performing large cap was carsales.com (ASX:CAR), closing 4.15 per cent higher at $27.85. It was followed by shares in Seven Group Holdings (ASX:SVW) and Computershare (ASX:CPU).

The worst-performing large cap was Sonic Healthcare (ASX:SHL), closing 5.71 per cent lower at $32.03. It was followed by shares in ResMed (ASX:RMD) and Liontown Resources (ASX:LTR).

Asian markets

Japan's Nikkei has lost 0.59 per cent.

Hong Kong's Hang Seng has lost 0.89 per cent.

China's Shanghai Composite has lost 1.15 per cent.

Company news

Summit Minerals (ASX:SUM) announced that lithium-bearing minerals have been detected over 100 targets at the Castor Lithium Project in the prolific James Bay area, Quebec, Canada. Once access to the property is approved, Summit will conduct helicopter-supported property traverses to map and collect rock chips from the pegmatite occurrences and the interpreted Sentinel and SAR targets. Shares closed 7.41 per cent higher at 14.5 cents.

American West Metals (ASX: AW1 | OTCQB: AWMLF) announced that the fourth diamond drill hole hits thick interval of visual copper sulphides at the Storm Copper Project in Canada. In response, Dave O’Neill, Managing Director of American West Metals commented, “This exceptional strike rate across a very broad area is further evidence of a truly regional scale copper system.” Shares closed 14.3 per cent lower at 30 cents.

Lithium Universe (ASX:LU7) has started working with KorrAI Technologies in Canada, using AI in developing their exploration strategy at their Apollo Lithium Project. In response, Chairman, Iggy Tan, said, “This AI-driven approach enhances exploration accuracy and efficiency, allowing us to focus our field activities and resources more effectively, reducing exploration timelines and costs.” Shares closed flat at 5.4 cents.

Aldoro Resources (ASX:ARN) announced that thick high grade nickel mineralisation at the Narndee Igneous Complex in WA. Shares closed 10.8 per cent higher at 20.5 cents.

Commodities and the dollar

Gold is trading at US$1921.40 an ounce.

Iron ore is 0.3 per cent higher at US$104.45 a tonne.

Iron ore futures are pointing to a 0.27 per cent rise.

One Australian dollar is buying 63.99 US cents.

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