The S&P/ASX 200 index has started the week on a subdued note. At lunch the benchmark index is down 0.1% to 6,663.7 points.
Here's what is happening on the market today:
Bellamy's receives takeover approach.
The Bellamy's Australia Ltd (ASX: BAL) share price has rocketed 55% higher after the infant formula company received a takeover approach from China Mengniu Dairy Company. The leading Chinese dairy product manufacturer has tabled a $13.25 per share offer, valuing Bellamy's at $1.5 billion. The offer has the support of the Bellamy's board.
Energy shares surge higher.
Australian energy shares including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) have surged higher today after drone attacks on key oil refineries in Saudi Arabia sent oil prices storming higher. Both WTI and Brent crude oil prices are up over 10% at the time of writing.
Sims Metal Management crashes lower.
The Sims Metal Management Ltd (ASX: SGM) share price has crashed lower today after the scrap metal company warned that its half year profits would be down materially in comparison to the prior corresponding period. This has largely been driven by the negative impact of the trade war on demand and subsequently the prices of ferrous and no-ferrous metals.
Gold price rebounds.
Comments by President Trump in response to the drone attacks in Saudi Arabia have led to increasing demand for safe haven assets on Monday. On Twitter the President said "there is reason to believe that we know the culprit" and that the U.S. was "locked and loaded." This has sent the shares of gold miners such as Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) charging higher. The S&P/ASX All Ords Gold index is up 2.2% at the time of writing.
Best and worst performers.
The best performer on the benchmark index today has been the Bellamy's share price with its massive 55% gain. And going the other way is the Sims Metal share price with its 16% decline, followed by the Qantas Airways Limited (ASX: QAN) share price with a decline of over 4% following the spike in oil prices.
