President’s positive sinks ASX

THE Australian share market slumped yesterday after US President Donald Trump confirmed he had tested positive for coronavirus. The S&P/ ASX200 finished 1.39 per cent lower at 57915.5 while the All Ordinaries Index slid 1.42 per cent to 5983.2.

Commsec analyst Steve Daghlian said the local share market started the trading day in the red, weighed down by most sectors excluding tech.

In the final hour, all sectors sank lower on the news Mr Trump and first lady Melania Trump had been diagnosed

THE ASX

with COVID-19 and were in quarantine, creating uncertainty about the forthcoming presidential election.

And if there’s one thing the market hates, it’s uncertainty.

Mesoblast tanked 37.2 per cent to $3.19 after the US Food and Drug Administration called for more studies

Copper and gold miner Oz Minerals was also a poor performer, shedding 6.3 per cent to $13.38 while Australia’s biggest gold producer, Newcrest, was one of the few stocks in the black, rising by 0.8 per cent to close the day at $31.29.

Among the major iron ore producers, Rio Tinto weakened 1.89 per cent to $93.60, BHP dropped 3.2 per cent to $35.12 and Fortescue retreated 3.6 per cent to $16.08.

Axi chief global market strategist Stephen Innes said the crude oil price “viciously dipped” overnight, amid scepticism from US House Speaker Nancy Pelosi on the possibility of any US stimulus.

Local oil stocks fell accordingly, with Oil Search down almost 6 per cent to $2.52 and Cooper Energy losing 5.8 per cent to 32.5 cents.