CIMIC (ASX:CIM) shares drop on Covid slowdown: ASX is 0.4% higher at noon

The local market rose at the open, the S&P/ASX 200 Index is 0.4 per cent higher or 29 points up at 6,850 points. SPI futures are pointing to a rise of 19 points. Megaport (ASX:MP1) shares are up today after they reported their first half earnings were up 39 per cent from the same period. Shares in CIMIC (ASX:CIM) dropped today after they reported a slowdown of projects due to Covid-19.

Local economic news

The Australian Bureau of Statistics released figures for building approvals for December showing seasonally adjusted estimate for total dwellings approved rose 10.9 per cent.

Broker moves

Macquarie rates Crown Resorts (ASX:CWN) as a Downgrade to a Neutral from an Outperform. It comes as Crown Resorts has been deemed unsuitable for the Crown Sydney licence and Macquarie assesses the pathway to obtaining approval may take two years. The broker believes the NSW casino inquiry report brings into question the company's suitability to operate both the Melbourne and Perth casinos. Nevertheless, Macquarie expects Melbourne and Perth gambling will continue without hindrance.Target is reduced to $8.30 from $11.00. Shares in Crown Resorts (ASX:CWN) are currently 3.4 per cent lower at $9.81.

Company news

The Group Chief Executive Officer and Managing Director of Lendlease (ASX:LLC) Steve McCann is to retire after 12-years. Tony Lombardo has been appointed as its new chief executive. He currently heads up Lendlease Asia. Mr McCann will leave in May. Shares in Lendlease (ASX:LLC) are currently 0.3 per cent lower at $12.07.

Best and worst performers

The best-performing sector is Information Technology gaining 2.1 per cent while the sector trailing behind is Consumer Discretionary dropping 0.5 per cent.
The best performing stock in the S&P/ASX 200 is ZIP Co (ASX:ZIP) rising 7.6 per cent to $10.26, followed by shares in Megaport (ASX:MP1) and Insurance Australian Group (ASX:IAG)
The worst performing stock in the S&P/ASX 200 is CIMIC Group (ASX:CIM) dropping 15.5 per cent to $21.96, followed by shares in Bravura Solutions (ASX:BVS) and Crown Resorts (ASX:CWN).

Commodities

Gold is trading at US$1,836 an ounce.
Iron ore is 2.2 per cent higher at $164.10.
Futures are suggesting a rise of 0.5 per cent.
One Australian dollar is buying 77.30 US.

Source: Finance News Network