The S&P/ASX 200 (ASX: XJO) managed to eke out a tiny gain of just 4 points on Monday, overcoming a mixed overseas lead.
ASX BNPL rout sinks market
This was despite significant selling pressure facing the technology sector, but more specifically ASX buy now pay later groups including Afterpay Ltd (ASX: APT) and Zip Co Ltd (ASX: Z1P).
The ASX tech sector fell 2.2% behind a 10% fall in Zip shares, 4% in Afterpay and 16% in bit player Sezzle Inc (ASX: SZL).
There was no clear trigger for the sell-off, suggesting regulatory change may lie ahead.
On the positive side, the utilities and consumer staple sectors both gained close to 2%.
Boral sells fly ash
Boral Limited (ASX: BLD) was a highlight, adding 1.6% after announcing it had entered into an agreement to sell its US building products and fly ash business to Eco Material Technologies for $1.1 billion.
The deal brings proceeds from selling its US businesses to $4 billion, growing the likelihood of a significant share buyback in the new year.
Bapcor CEO out
Shares in car parts dealer Bapcor Ltd (ASX: BAP) continued to tank, falling another 5.6%, after the board effectively forced CEO Darryl Abotomey to leave the business three months ahead of time due to a ‘marked deterioration’ in their relationship.
Metcash dividend jumps
Shares in independent grocer retailer Metcash Limited (ASX: MTS) topped the market, adding another 7.3% after announcing a stronger than expected dividend, up 31% on the prior year.
Half-year revenue for the group grew just 1.3% to $7.2 billion. However, scale and supply chain advantages resulted in a 14% boost to the earnings line, hitting $231 million.
CSL loses border case
Shares in CSL Limited (ASX:CSL) remain under selling pressure, falling 0.5% after announcing it had lost a case against the US Government about recent border closures with Mexico.
In a joint request with a key competitor, the group had challenged the ban on people coming over the border from Mexico to the US which had a significant impact on blood plasma collections that represent 85% of CSL’s business.
The flow-on impact was a lack of blood donations for life-saving therapies, according to management.
Sigma profit slumps
Shares in Sigma Healthcare Ltd (ASX: SIG) fell heavily, down 7.6% after downgrading earnings guidance for the financial year.
Management has lowered the expectation of 5% growth from 2020 levels to a 10% contraction, blaming the rollout of new IT systems.
Magellan’s FUM update and CEO departure
Shares in Magellan Financial Group Ltd (ASX: MFG) fell despite reporting a $1.6 billion increase in funds under management to $116.4 billion.
After the market closed, the group also announced the resignation of its CEO Brett Cairns, who has been with the business since 2007. He cited personal reasons for his exit.
ASX 200 today
Looking ahead, the ASX 200 is set to open higher this morning, following a positive lead from US markets overnight. To find out more, check out my US stock market report.