The coronavirus has caused another sell-off today as investors headed for the exits.
The ASX 200 (ASX: XJO) dropped over 3% today and it’s down around 10% this week. The ASX has followed overseas share markets such as Japan, the US and Europe where broad declines are occurring.
A sea of red
At one point today there was only one ASX share that was in the green, though by the end of the day there were a few pleasing increases.
At the red end of the ASX, the Harvey Norman Holdings Limited (ASX: HVN) share price fell 14% after reporting. The Gold Road Resources Ltd (ASX: GOR) share price dropped almost 14%. Shares like Idp Education Ltd (ASX: IEL) and WiseTech Global Ltd (ASX: WTC) both dropped almost 11%.
Divestment softens market fall
Car dealership business AP Eagers Ltd (ASX: APE) announced yesterday that it would be selling its AHG Refrigerated Logistics business to Anchorage Capital Partners for $100 million on a debt and cash free basis.
It will reduce AP Eagers’ net debt by $95 million, though AP Eagers may receive additional future cash proceeds depending on financial outcomes at the time of an exit by Anchorage.
AP Eagers’ share price still declined by over 1% today as investors digested the news.
Reporting season is nearly over with some other shares reporting today such as Japara Healthcare Ltd (ASX: JHC) which dropped 1.6% on further profit falls and the Resolute Mining Limited (ASX: RSG) share price dropped over 10% after reporting a net loss. There was one share within the ASX 200 that achieved an impressive 6.3% rise, which was Nextdc Ltd (ASX: NXT) after releasing its result.
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Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of WiseTech Global. 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.