Rising tensions in the Middle East have put pressure on the S&P/ASX 200 index on Wednesday. At the time of writing the benchmark index is down a sizeable 0.65% to 6,782.8 points.
Four shares that have fallen more than most today are listed below. Here's why these shares are sinking lower:
The Magellan Financial Group Ltd (ASX: MFG) share price is down 3.5% to $57.53 a day after the release of its half year funds and performance fee update. One broker that remains bearish on Magellan following the update is Citi. It has a sell rating and $52.00 price target on the company's shares.
The Pendal Group Ltd (ASX: PDL) share price has dropped over 5% to $8.54. The catalyst for this decline appears to have been a broker note out of Credit Suisse this morning. According to the note, it has downgraded the fund manager's shares to an underperform rating from neutral and cut the price target on them to $8.15. The broker fears FY 2020 could be another challenging year for Pendal.
The Qantas Airways Limited (ASX: QAN) share price has tumbled 4.5% to $6.79. Investors have been selling the airline operator's shares after Middle East tensions sent oil prices hurtling higher. According to CNBC, both Brent and WTI crude oil surged over 4% higher after Iran attacked U.S. bases in Iraq. Investors may be concerned that this could lead to higher fuel costs in the future.
The WiseTech Global Ltd (ASX: WTC) share price is down 4% to $22.96. Middle East tensions are weighing heavily on the tech sector on Wednesday. In addition to this, this morning WiseTech Global announced its second acquisition in the space of a month. The logistics solutions company will pay $15.5 million upfront to acquire Switzerland-based SISA Studio Informatica SA. The deal includes a further multi-year earn-out potential of up to ~$8.9 million. SISA Studio Informatica is a leading customs and freight forwarding solutions provider in the Swiss market.
