In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a small gain. At the time of writing, the benchmark index is up 0.2% to 7,517.1 points.
Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are dropping:
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QBE Insurance Group Ltd (ASX: QBE)
The QBE share price is down 5% to $13.16. This may have been driven by optimism that the US rate hike cycle is nearing an end. As QBE is a big winner from higher rates, investors may now be reducing their earnings expectations for the insurance giant. In other news, rival Chubb released its quarterly update overnight and disappointed the market.
Pinnacle Investment Management Group Ltd (ASX: PNI)
The Pinnacle share price is down 8% to $8.90. Investors have been selling this investment management company's shares following the release of its half year results. While Pinnacle reported a small increase in revenue, its profits fell materially due to higher costs.
Rio Tinto Ltd (ASX: RIO)
The Rio Tinto share price is down 2% to $125.71. This may have been driven by a pullback in the copper price overnight. According to CommSec, copper futures dropped 2.8% amid concerns over demand in China. In addition, the aluminium price fell 1.2% due to the prospect of European supply increasing.
Virgin Money UK (ASX: VUK)
The Virgin Money share price is down 3.5% to $3.23. This follows the release of the UK based bank's first quarter update after the market close on Wednesday. In response to the update, analysts at Macquarie downgraded the company's shares to a neutral rating with a $3.60 price target. It has concerns over the challenging backdrop the bank is facing.
