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ASX 200 To Open Higher, 3 ASX Shares To Watch

The ASX 200 (INDEXASX:XJO)(^AXJO) is expected to open higher today, the USA’s S&P 500 Index (.INX) went up by 0.002% on Tuesday.

The ASX 200 (INDEXASX: XJO)(^AXJO) is expected to open higher today, the USA’s S&P 500 Index (.INX) went up by 0.002% on Tuesday.

Australian Dollar ($A) (AUDUSD): 70.73US cents

Dow Jones (DJI): down 0.30%

Oil (WTI): $US62.59 per barrel

Gold: $US1,292 per ounce

ASX Sharemarket News

In ASX sharemarket news, Afterpay Touch Group Ltd (ASX: APT) will be watched by many investors after two strong days where the buy now, pay later business has risen by over 10%.

ASX shares don’t keep going up just for the sake of it, if investors are buying for that reason they could end up with a Bitcoin-like surprise. But some analysts believe Afterpay may well be worth $30 a share in a couple of years because the expansion in the US and UK.

Afterpay is targeting gross merchandise volume (GMV), the amount of stuff sold through Afterpay, of $20 billion in three years time. If the US and UK do better than expected it could do even better than that.

Whatever the Afterpay share price does today, it will be one to watch over the coming years.

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New Zealand telecommunications company Spark New Zealand Ltd (ASX: SPK) has announced that Managing Director Simon Moutter has resigned from his leadership positions.

He had always been expected to be at the helm for five to seven years and now his time has passed. The Spark Board have been giving internal candidates the time needed to demonstrate they have the right leadership capabilities in this time.

The new chief executive is going to be Jolie Hodson, who is currently Customer Director at Spark.

A2 Milk Company Ltd (ASX: A2M) has given the ASX an investor presentation this morning, although it was mostly just re-affirming what we already knew.

The dairy company expects the revenue growth rate to be broadly in line with the first half. The marketing investing that it’s doing to support growth in FY20 and beyond. That’s why management expect the EBITDA margin to be around 31% to 32% (click here to learn what EBITDA means).

However, the company warned that dairy price increases as reflected in Global Dairy Trade Indices are expected have an impact on gross margins in FY20.

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