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ASX at open: tech stocks extend winning streak, miners fall

Tue 01 Feb 22, 11:24am (AEST)
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Key Points

  • China pledges to crack down on soaring iron ore prices, sending prices lower
  • Centuria, Credit Corp and Elmo Software deliver half-year FY22 earnings
  • Investors are returning to beaten up tech stocks after the recent rate driven rout

The ASX is up 0.6%, taking off after a bullish session on Wall Street.

After a slow start at the open, most sectors have pushed into positive territory, with the exception of materials.  

11 ASX Sectors 2022-02-01

11 ASX Sectors at 11:00 am AEDT

Tech rally continues

The Nasdaq Composite rallied 3.4% overnight as investors returned to battered tech stocks.

Notably, Block shares rallied 10.8% overnight, setting the stage for another encouraging session for local BNPL stocks.

Notable tech winners today include:

Iron ore prices weigh on miners

Iron ore miners headline today’s large cap losers, including: 

This follows a sharp pullback for iron ore prices, down -4.25% to US$141.75 a tonne. 

China’s top economic planner, the National Development and Reform Commission (NDRC) pledged to crack down on speculation in iron ore markets after “abnormal” price rises in recent weeks. 

Earnings roundup 

  • Centuria Industrial REIT (ASX: CIP) reported a strong first half FY22 result with double digit earnings growth and an earnings upgrade. The company expects earnings per share for FY22 to be no less than 18.2 cents, up 3.4% from last year

  • Credit Corp (ASX: CCP) shares rallied 5.6% to all-time highs after an upbeat first half FY22 earnings result. Revenue and net profit both rose 8%, underpinned by record investment into debt buying

  • Elmo Software (ASX: ELO) experienced 41% revenue growth for the first half of FY22. The company said the first half has exceeded expectations and upgraded its FY22 guidance

 

Written By

Kerry Sun

Finance Writer & Social Media

Kerry holds a Bachelor of Commerce from Monash University. He is an avid swing trader, focused on technical set ups and breakouts. Outside of writing and trading, Kerry is a big UFC fan, loves poker and training Muay Thai. Connect via LinkedIn or email.

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