It appears as though a system upgrade has failed spectacularly at the Australian stock exchange on Monday. At lunch the index is up 1.2% to 6,484.3 points but has been suspended since 10:24am.
Here's what else has been happening on the market today:
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Afterpay responds to ASIC report.
The Afterpay Ltd (ASX: APT) share price has edged lower after responding to ASIC's report on the buy now pay later industry. That report shows that 20% of buy now pay later users are missing payments and half of users aged 18 to 29 have cut back on essential items to make repayments. Afterpay responded by pointing out that its differentiated business model is unlike traditional credit or other BNPL providers, with built-in consumer protections that ensure average transaction values remain the lowest. It also notes that its gross loss metric is industry-leading and its own research found no causal link between spending on Afterpay and changes in spending on essentials.
Elders FY 2020 result.
The Elders Ltd (ASX: ELD) share price was trading slightly lower in morning trade following the release of its full year results. The agribusiness company reported a 29% increase in sales revenue to $2,092.6 million and a 71% jump in underlying profit after tax to $109 million. This was driven partly by the acquisition of AIRR and strong demand for products from the recent winter cropping season. Underlying earnings before interest and tax (EBIT) came in at $119.4 million, compared to Goldman Sachs' estimate of $116 million.
CSL vaccine facility.
The CSL Limited (ASX: CSL) share price was charging higher on Monday before the market pause. This appears to have been in response to news that it plans to invest more than A$800 million in the construction of a new biotech manufacturing facility in Melbourne to supply influenza vaccines to Australia and the rest of the world. This follows an agreement with the Australian Government for the supply over 10 years of influenza pandemic protection for the Australian population, anti-venoms for Australian snakes, spiders and marine creatures, and Q-Fever vaccine.
Best and worst ASX 200 performers.
The best performer on the ASX 200 today prior to the pause was the Unibail-Rodamco-Westfield CDI (ASX: URW) share price with a 9% gain. Investors have been fighting to get hold of the shopping centre operator's shares since the potential COVID-19 vaccine news broke last week. Investors may be hoping for a swifter recovery in its fortunes. The worst performer has been the SKYCITY Entertainment Group Limited (ASX: SKC) share price with a 4% decline. This follows the release of an update by the casino and resorts company.
