Why Appen, Orocobre, Sandfire, & Whitehaven Coal shares are sinking

It hasn’t been a good day for these ASX shares…

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The S&P/ASX 200 Index (ASX: XJO) is on form again and pushing higher. At the time of writing, the benchmark index is up 0.2% to 7,393.8 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are sinking:

Appen Ltd (ASX: APX)

The Appen share price is down 4% to $13.43. This decline appears to be largely due to a pullback on the tech heavy Nasdaq index overnight. It isn’t just Appen that is under pressure. At the time of writing, the S&P/ASX All Technology Index (ASX: XTX) is trading 0.55% lower. In other news, Appen will be kicked out of the ASX 100 index next week. This could have added to the selling pressure today.

Orocobre Limited (ASX: ORE)

The Orocobre share price has tumbled 5% to $5.95. This is despite there being no news out of the lithium producer. However, a number of lithium shares are sinking this week. This may be due to profit taking from investors after some stellar gains so far in 2021. Even after falling 11% in the space of a week, the Orocobre share price is still up 31% year to date.

Sandfire Resources Ltd (ASX: SFR)

The Sandfire Resources share price is down 5% to $6.98. Although the copper producer released an announcement today, this decline doesn’t appear to be due to that. Instead, a 5% decline in copper prices for delivery in July overnight seems to be behind this weakness. The base metal came under pressure amid concerns that Chinese authorities were going to try to curb a recent rally in commodity prices.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price has fallen 3% to $2.04. This appears to have been driven by a broker note out of Citi this morning. According to the note, the broker has downgraded the coal miner’s shares to a neutral rating with a $2.20 price target. It made the move largely on valuation grounds.

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James Mickleboro does not own any shares mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Appen Ltd. The Motley Fool Australia owns shares of and has recommended Appen Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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