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ASX 200 lunch update: NAB, QBE, & Westpac lower

At lunch on Wednesday the S&P/ASX 200 index is struggling once again. At the time of writing the benchmark index is slightly lower at 6,843.4 points.

Here’s what has been happening on the market today:

NAB tumbles.

The National Australia Bank Ltd (ASX: NAB) share price is dropping lower on the day of its annual general meeting. This follows news that ASIC is taking legal action against the bank for fees for no service and fee disclosure statement failures. ASIC alleges that NAB has broken the law more than 10,000 times.

QBE guidance warning.

The QBE Insurance Group Ltd (ASX: QBE) share price is trading lower on Wednesday after an update on its North American Crop insurance business. QBE revealed that an unusually cool growing season and heightened crop hail have impacted its performance in the North American market. As a result, its North American Crop insurance business is now expected to report a 2019 current accident year combined operating ratio of around 107% – 109%. Management warned this could impact its group combined operating ratio guidance.

Westpac class action.          

The Westpac Banking Corp (ASX: WBC) share price has edged lower after being hit with a class action. Phi Finney McDonald has served Westpac with a class action on behalf of shareholders. This relates to disclosure issues connected to Westpac’s monitoring of financial crime which are the subject of a recent AUSTRAC proceeding. Westpac will be defending the claims.

Best and worst performers.

The best performer on the ASX 200 on Wednesday is the Avita Medical Ltd (ASX: AVH) share price with a 5% gain on the back of no news. Going the other way is the OZ Minerals Limited (ASX: OZL) share price with a decline of 4.5%. This morning analysts at Goldman Sachs downgraded OZ Minerals to a sell rating with an $8.70 price target.

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Motley Fool contributor James Mickleboro owns shares of Westpac Banking. The Motley Fool Australia owns shares of National Australia Bank Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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