AU Shares Fall $45bn Due to Greek Debt Crisis
The Australian financial market is in chaos as investors react to the possibility of Greece defaulting on its debt. Today the S&P/ASX200 index closed at a low 156.2 points, or 3.7 per cent, to 4038.5. The All Ordinaries index was 152.3 points, or 3.56 per cent, lower at 4125.1. This is its second-worst one-day fall since the end of the global financial crisis two years ago.
In early trade overnight, European exchanges dropped further, driven by fears that major French banks would be downgraded by Moody's this week because of their exposure to Greek sovereign bonds.
Yesterday, the dollar fell to US3c to a one-month low of $US 1.03, leading local stocks down as well.
This downward slide started off on Friday, when US and European stocks began fallingdue to fears over both the Greek debt crisis and the resignation of the European Central Bank economist, Juergen Stark. The DOW Jones dropped 3 per cent to under 11,000 points and the London FTSE 100 fell 2.35 per cent.
There was more bad news yesterday for global economic growth as the Organisation for Economic Co-operation and Development (OECD) released data that predicts a slowing in economic activity in most developed countries.
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The worst performing stock in the ASX 100 was Cochlear Ltd, which plunged 20.3 per cent, or by $14.68 to $57.50, after it announced it is recalling its latest hearing implant the Nucleus CI 512.
Financials fell 3.9 per cent as all major retail banks suffered. Westpac shed the most value of the big four, closing 93 cents or 4.6 per cent down to $19.20.
Major miners dropped on the back of lower offshore commodity prices, with BHP Billiton ending the day $1.46, or 3.9 per cent down to $36.45. Fellow miner Rio Tinto closed $3.05 or 4.3 per cent down at $68.20.
Gold stocks were among the few that gained on the day, with AngloGold Ashanti rising 6.38 per cent to $9.17 and Newcrest Mining rising above the top 20 to maintain $39.80 and losing only .2 per cent.
Timeline: India takes unicorn leap with six in five days
We chart an historic week in India’s tech industry, where in just five days, between 5-9 April 2021, the country achieved six new unicorns, bringing India’s total to 10 in 2021 to date, an immense unicorn leap from just seven in 2020 and six in 2019.
April 5: Meesho
India’s first social commerce unicorn, Meesho raised US$300m from SoftBank, Facebook and Shunwei Capital, giving the Bangalore-based startup a US$2.1bn valuation, a threefold jump from its previous funding round in 2019. Founded in 2015 by two IIT-Delhi graduates, Meesho connects producers and resellers, helping small businesses sell through social media. It has 45m customers and has enabled 13m entrepreneurs to start their online businesses with no investment.
April 6: CRED
Founded just over two years ago, Bangalore-based credit card repayment app CRED raised US$215m from Falcon Edge Capital and Coatue, nearly trebling its valuation to US$2.2bn from its January US$80m round. Allowing customers to pay off their credit card debt while earning CRED coins which they cash in for rewards, CRED has grown rapidly during COVID-19, doubling its customer base to nearly 6 million in a year.
April 7: API Holdings / Groww
The first epharmacy startup to gain unicorn status, PharmEasy (API Holdings), which has digitised 60,000 brick and mortar pharmacies and 400 doctors across India, raised US$350m in a round led by Prosus Ventures. Founded by four former Flipkart employees as a way of making investing simple, investment platform Groww became India’s second-youngest fintech unicorn, raising US$83m in Series D funding led by Tiger Global, quadrupling its previous round in September.
April 8: ShareChat
New Delhi-grown social media startup ShareChat, founded in 2016 by Mohalla Tech raised US$502m from Lightspeed Ventures, Tiger Global, Twitter and Snap taking its raised total over six rounds to US$766m and pushing its valuation to US$2.1bn. The funding will be used to grow its user base and short video platform Moj, which launched in 2020 following TikTok’s ban in India. The regional language startup claims 280m users.
April 9: Gupshup
AI-led conversational message startup joined the unicorn club after raising US$100m from Tiger Global giving it a ten-fold valuation of US$1.4bn. The smart messaging platform, which has seen accelerated growth during the pandemic, was founded in Bangalore in 2005 by serial entrepreneur Beerud Sheth, whose online freelancing platform Elance is now listed. Gupshup’s API enables 100,000+ businesses to build messaging and conversation experiences across 30+ communication channels.