The Australian sharemarket finished barely changed, with travel stocks surging after new border rules were announced, allowing double-vaccinated international tourists back in from February 21.
The benchmark S&P/ASX200 index closed 9.4 points or 0.13 per cent lower at 7110.8, while the All Ordinaries Index dipped just 4.7 points to 7414.2.
On the back of the border news, Regional Express soared 14.34 per cent to $1.39, Hxjmtzywelloworld Travel spiked 11.3 per cent to $2.56, Flight Centre jumped 7.8 per cent to $18.94 and Corporate Travel Management leapt 7 per cent to $22.02.
Webjet advanced 6.17 per cent to $5.51 and Qantas rose 4.62 per cent to $5.43.
CommSec analyst Steven Daghlian said the Aussie market had an encouraging start to February, gaining about 2 per cent last week, ending a three-week losing streak.
“It was actually enough to recoup about a third of January’s losses,” he said.
The energy index was the strongest performer, as crude oil prices remain elevated at seven-year highs.
“It’s almost time to start looking toward spring in the northern hemisphere, but there’s still too much supply risk present in the market for oil prices to cool off,” OMG chief executive Ivan Tchourilov said.
IG market analyst Kyle Rodda said fresh news of an imminent invasion by the Russians into Ukraine was keeping supply concerns heightened.
Woodside put on 1.87 per cent to $26.76, Beach Energy gained 2 per cent to $1.52, Origin appreciated 2.37 per cent to $6.04 and Santos added 1.6 per cent to $7.57.
Uranium outfit Bannerman Energy lifted 4.88 per cent to 21.5 cents, while coal miner Coronado Global Resources was up 7.55 per cent at $1.49.
Rio Tinto firmed eight cents to $114.69 and BHP climbed 1.24 per cent to $47.39.
While the tech sector was in the green, Appen declined 5.8 per cent to $8.91, making it the second worst performer in the ASX200.
Mr Tchourilov said an update from ANZ was a weight, with the bank’s net interest margin slimmed by 8 basis points, as headwinds affected the sector broadly.
“Rising interest rates will be a godsend for the banks, which have underperformed since Q3 last year,” he said.
“Expect them to pass along any rate rise and then some to combat slimming margins.”
UBS said the update was weaker than expected, while Goldman Sachs said various areas of softness appeared largely contained to the first quarter.
ANZ slid 1.92 per cent to $26.57, National Australia Bank backtracked 1.2 per cent to $27.57 and Commonwealth Bank dipped 0.11 per cent to $94, but Westpac inched four cents higher to $21.56.
Magellan Financial Group slumped 11.24 per cent to $16.43 – making it the worst performing stock in the top 200 – after announcing chairman Hamish Douglass would be standing aside on medical leave.
It comes after a hugely stressful period, including the public breakdown of his marriage and a terrible run that has wiped billions from the company.
“The fund manager’s shares have fallen 60 per cent in the past year and about 20 per cent since the start of January,” Mr Daghlian said.
Star Entertainment Group admitted underpaying up to 2200 employees about $13 million over a six-year period.
The casino operator expects to take a $13m hit in its forthcoming financial results as it begins the process of repaying them, plus interest.
Star shares firmed 0.85 per cent to $3.58.
GrainCorp released upbeat full-year earnings guidance amid high global demand for Australian grain and oilseeds, sending its shares 12.34 per cent higher to $8.10.
“GrainCorp’s strong infrastructure has allowed it to navigate global supply chain disruptions while keeping costs in check,” Mr Tchourilov said.
“Global supply has continued to tighten as key exporters Russia, Canada and the US are impacted by droughts, and nations use new trade export quotas to combat rising inflation.
“With bumper crops expected again this year, as in the two preceding it, GrainCorp is in a good position to fill any supply shortfall.”
Building products company James Hardie delivered its third quarter results, again raised its full-year net income guidance range and provided its guidance for fiscal 2023.
RBC Capital Markets analyst Paul Quinn said the quarterly results were largely in line with his company's expectations, with pricing slightly higher than expected, while the new guidance was positive.
James Hardie shares lifted 2.02 per cent to $48.60.
Nearmap jumped 6.11 per cent to $1.39 after Citi analyst Siraj Ahmed said the aerial imaging company would be able to continue to grow in the US, even if it were to lose current legal proceedings by US competitor Eagleview.
The Aussie dollar was fetching 70.91 US cents, 52.39 British pence and 61.96 Euro cents in afternoon trade.
