In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record another disappointing decline. At the time of writing, the benchmark index is down 0.75% to 7,236.2 points.
Four ASX shares that are falling more than most today are listed below. Hereâs why they are dropping:
Beach Energy Ltd (ASX: BPT)
The Beach Energy share price is down 8% to $1.67. This follows a series of negative developments for this energy producer all hitting at once. These include oil prices sinking overnight, Morgans downgrading its shares to a hold rating, and Beach being exposed to the Clough collapse. Clough was working on the Waitsia Stage 2 gas plant.
Bellevue Gold Ltd (ASX: BGL)
The Bellevue Gold share price is down 12% to $1.06. This has been driven by the gold miner completing its institutional placement this morning. According to the release, Bellevue Gold raised $60 million at $1.05 per new share. This represents a discount of 13.2% to its last close price. Proceeds will be used to accelerate underground development and exploration at the Bellevue Gold Project in Western Australia.
Block Inc (ASX: SQ2)
The Block share price is down almost 3% to $92.26. This follows a poor night of trade for the payments companyâs NYSE listed shares overnight. The Block share price came under pressure on Wall Street following a tech selloff amid concerns over rising interest rates.
Brainchip Holdings Ltd (ASX: BRN)
The Brainchip share price has sunk almost 9% to 62 cents. Once again, weakness in the tech sector is partly to blame for this. In addition, the loss-making semiconductor company has been targeted by short sellers recently. So much so, at the last count, it had a rather devilish 6.66% of its shares held short. Short sellers appear to believe Brainchip doesnât justify a $1.1 billion market capitalisation given its pitiful revenue generation.
The post Why Beach, Bellevue Gold, Block, and Brainchip shares are dropping appeared first on The Motley Fool Australia.
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More reading
- Why is Clough’s collapse wreaking havoc on the Beach Energy share price?
- ASX 200 tech shares deep in the red today. Here’s why
- Strike Energy share price soars following Warrego buy up
- 5 things to watch on the ASX 200 on Wednesday
- Why is the Bellevue Gold share price on ice today?
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Block. The Motley Fool Australia has positions in and has recommended Block. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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