Hit by a fresh wave of selling pressure, tech stocks have been on the back foot this week, while gold and uranium names have paused for a breather. However, the ASX did at one stage inch within a whisker of a fresh all-time high, buoyed by deal-making and trading updates.

Which shares excelled?

A takeover bid has been enough to set up Ramsay Health Care (ASX: RHC) for one of the best performances across the ASX this week. The nation’s largest private hospital operator received a $20 billion offer from US private equity giant KKR, in a consortium joined by super fund HESTA. The bid, valued at $88 per share, will be assessed by the Board, but in the meantime, the company’s share price leapt on the back of the development.

Shareholders in DGL Group (ASX: DGL) were treated to a record high after the chemical formulation and manufacturing, warehousing and distribution firm upgraded its earnings guidance for FY22. It now expects full-year EBITDA of around $65 million, derived from sales of $354 million. Previously, the company expected EBITDA of circa $54 million. DGL’s manufacturing division has sparked the upgrade, with market and seasonal forces also playing a role.

One of the stories of the week, and enough for graphite miner Syrah Resources (ASX: SYR) to put in a bumper showing, its subsidiary finalised a non-binding term sheet and received a conditional commitments offer from the US Department of Energy. It will receive more than US$100 million in loan funding to expand its Vidalia active anode material facility in Louisiana. With critical minerals an emerging theme in the pivot to electric vehicles, shareholders have taken delight in the news.

Thursday was a big day for the likes of Challenger (ASX: CGF) and Brambles (ASX: BXB). The former indicated its annual net profit is likely to come in at the top-end of its forecast range of $430 million to $480 million, lifting its shares towards a two-year high. In the case of Brambles, the logistics and transport player lifted its earnings guidance given the global pallet shortage and supply chain constraints prompting stockpiling among warehouses across the world.

Which shares dragged on the market?

In a difficult week for tech stocks, a weak lead from the Nasdaq proved a concern for a number of high-profile names. That follows a spike in US Treasury yields, with the 10-year benchmark rate at one stage pushing towards 2.95% as investors bet on a 50 basis point rate hike from the Fed in early May.

Shares in Megaport (ASX: MP1) plummeted more than 21% on Thursday, which followed a disappointing trading update from the cloud software services company. Sitting at its lowest level in two years, the company’s revenue increased by just 5% during the March quarter, and it reported a negative cash outflow of more than $6 million, underwhelming shareholders. 

Sticking with the tech theme, shares in Block (ASX: SQ2) have had a torrid time this week as the digital payments business, which owns the likes of Square and Afterpay, struggled in the wake of negative sentiment towards growth stocks. The head stock, traded on the NYSE, has seen losses in 10 out of its last 12 trading sessions, struggling through April thus far as anxieties around the outlook of the buy-now pay-later sector continue to manifest.

Coal stocks have retreated this week, and it was the likes of Yancoal (ASX: YAL) and New Hope Corporation (ASX: NHC) that led the fall across this industry. The decline was sparked by a study conducted by Australian National University researchers who have forecast Australian coal exports to China could dive by over 26% between 2019 and 2025. Yancoal’s quarterly report didn’t help its cause, with coal production down 13% and sales volumes down 21% due to COVID-related labour shortages.

The price of gold started the week on a positive note, inching towards US$2,000 per ounce before quickly retreating to around US$1,940-1,950 per ounce. That meant some of the ASX’s favourite gold names have taken a backwards step after recent rallies, with the likes of Evolution Mining (ASX: EVN) and Regis Resources (ASX: RRL) among those feeling the squeeze the most.

Last but not least, uranium trio Paladin Energy (ASX: PDN), Boss Energy (ASX: BOE) and Energy Resources of Australia (ASX: ERA) also struggled to gain traction throughout the week. Uranium prices spiked to an 11-year high last week, and with no major movements in recent days, investors may have taken some profits off the table after witnessing a modest pull-back in two of the most well-known global uranium ETFs.

We’ll be back next week with another Weekly ASX Trading Wrap Up – until then, have a great week!