At lunch on Friday, the S&P/ASX 200 Index (ASX: XJO) is on course to end the week on a subdued note. The benchmark index is down 0.2% to 7,043.3 points.
Here's what has been happening on the market today:
Origin guidance downgrade
The Origin Energy Ltd (ASX: ORG) share price is sinking today after downgrading its earnings guidance for FY 2021. The energy company made the move due to an adverse and unexpected outcome on a domestic gas contract price review and continued headwinds in energy markets' operating conditions. Origin now expects its energy markets division to post a 30% to 35% decline in operating earnings in FY 2021.
Gold miners upgraded
Gold miners Newcrest Mining Ltd (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) are charging higher today. This has been driven by a rise in the gold price and a positive broker note out of Goldman Sachs. In respect to the latter, this morning the broker upgraded Newcrest and Northern Star's shares to buy ratings from neutral. It notes that their shares are trading at a deep discount to their net asset value in comparison to peers. The S&P/ASX All Ordinaries Gold index is up 3% at lunch.
Mineral Resources update disappoints
The Mineral Resources Limited (ASX: MIN) share price is under pressure today following the release of a disappointing quarterly update. During the March quarter the company only managed to ship 4.1 million wet metric tonnes of iron ore. This was due to a shortage of truck drivers caused by coronavirus-related border closures. This compares to the average of approximately 4.8 million to 5.1 million wet metric tonnes per quarter required to achieve its guidance.
Best and worst ASX 200 performers
The best performer on the ASX 200 on Friday has been the Beach Energy Ltd (ASX: BPT) share price with a 4.5% gain. This follows a rise in oil prices and a favourable decision relating to the Origin domestic gas contract price review. Conversely, the Origin share price is the worst performer today with a 6% decline following its guidance downgrade.
