It certainly has been a day to forget for the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO). Currently the benchmark index is down by around 1% to 5,179 points with declines being seen across the board.
Four shares in particular have been dragging down the index with some substantial losses. Here's why they've fallen:
BHP Billiton Limited (ASX: BHP) shares have followed the lead of their London-listed equivalents and dropped lower today. They are down 4% to $18.65 after The Metal Bulletin reported a dip in iron ore prices and an almost 5% drop in oil prices on Tuesday. The drop appears to have been brought on by renewed fears that Britain's exit from the European Union will slow global economic growth. BHP Billiton wasn't the only share in the industry facing declines either. Both Santos Ltd (ASX: STO) and Origin Energy Ltd (ASX: ORG) shares have endured a difficult day with substantial declines.
BHP Billiton shares are up a solid 15% in the last three months.
Domino's Pizza Enterprises Ltd. (ASX: DMP) share price has dropped once again, this time by over 3% to $65.20. This comes on the back of news in the Fairfax press yesterday that Deutsche Bank believes the company is about to face a big hit to its profitability from forced increases in wages for its Australian franchisees' staff. Domino's rebuffed these claims today saying that "the article from Deutsche Bank is incomplete and therefore incorrect." It advised that it has been planning for these changes for a number of years and it is business as usual. Judging by the share price performance today, the market doesn't appear to be convinced.
Domino's Pizza's share price is up a whopping 75% in the last 12 months.
Fantastic Holdings Limited (ASX: FAN) shares have dropped 7% to $2.08 following an announcement that it is closing its loss-making Le Cornu store in South Australia. The closure will mean a one-time charge of approximately $9.1 million. Its Le Cornu brand has been holding the company back so far this year and it is expected to make a $4 million loss. I believe the furniture retailer's plan to focus on its highly profitable core brands is a sensible one. Today's sell off could therefore be an opportunity to pick up shares at a good price.
Fantastic Holdings share price is down 5% so far in 2016.
Godfreys Group Ltd (ASX: GFY) share price took another hit today and dropped around 4% to $1.01. Shareholders were no doubt shocked to learn that yet another CEO had left the vacuum retailer following the sudden resignation of CEO Kathy Cocovski. Whilst the company advised that the resignation was for personal reasons, the fact that she had only been in the role since January has many wondering if there are problems behind the scenes.
Godfreys' share price has now sunk by 66% in the last 12 months.
