The S&P/ASX200 (ASX: XJO) remains stubbornly anchored to the 7,000 point level, falling 0.2% on Tuesday as most sectors were once again hit by the threat of increasing inflation.
The materials sectors was the biggest positive contributor, with the likes of BHP Group Ltd (ASX: BHP), Rio Tinto Limited (ASX: RIO) and Fortescue Metals Group Limited (ASX: FMG) all adding 1% on the back of Vale’s quarterly earnings update.
Tabcorp receives improved offer
Tabcorp Holdings Limited (ASX: TAH) jumped 4.2% after informing the market that Entain (LON: ENT) had increased their offer for Tabcorp’s Wagering and Media business to around $3.5 billion despite still not being granted due diligence.
Bingo agrees to Macquarie takeover deal
Activity in the waste disposal sector continued, with Bingo Industries Ltd (ASX: BIN) entering into a sale deed with Macquarie Group Ltd’s (ASX: MQG) Infrastructure and Real Asset (MIRA) division at a price of $3.45 per share. The Bingo share price jumped 6.3% on the news.
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Dexus wins bid for AMP Capital property fund
It appears Dexus Property Group (ASX: DXS) has been successful in its pursuit of the AMP Capital Diversified Property Fund, with the two groups set to merge and Dexus offering to provide $400 million in liquidity for those still wishing to redeem their investments.
AMP Ltd (ASX: AMP) fell another 1.8%, while Dexus dropped 1.1% on the news.
Strong steel prices deliver for BlueScope
BlueScope Steel Limited (ASX: BSL) continued its solid run, with huge infrastructure projects boosting steel demand, forcing management to upgrade its earnings expectations from $750-$830 million to $1.0-$1.08 billion for the second half of 2021.
Steel prices continue to rise strongly as supply remains under pressure.
Plumbing supplies remain strong
Plumbing supplies producer Reliance Worldwide Corporation Ltd (ASX: RWC) confirmed that sales had reached $359.4 million in the March quarter, more than 14% higher than the corresponding period.
The group has been a more cyclical beneficiary of the ‘Stay at Home’ trend of 2020, with more people in the US and Australia renovating their homes.
In constant currency terms, US revenue was up 39% and Asia 11%, however, the stronger AUD has impacted the translated profit.
Management highlighted recent increases in copper and zinc costs, in the first signs of cost inflation, however, they expect to be able to pass these onto customers.
ASX 200 today
Looking ahead, the ASX 200 is set to open higher on Wednesday despite a mostly negative lead from US markets overnight. For all the latest, check out Rask Media’s daily US stock market report.