Wednesday 20th June – Australian Market Review | Beeks Downunder-Because not all financial news is boring!

Milkshakes on Sky Today – Rare treat …thanks Will

Today’s Headlines

ASX 200 blasts higher as AUD sinks up 70.5 to decade high of 6173.
High 6173 Low 6106. Big volume. FOMO kicks in.
June futures expiry Thursday.
No tweets today. Crisis passed?
TLS strategy day comes up short.
Banks the superstars with energy and healthcare.
USD earners dominate.
Resources find base and turnaround.
AUD steadies at 74.04c
Bitcoin hangs tough at US$6605 despite crypto-heist in Korea.
AUD Gold slightly lower to $1275.
US futures up 79.
Asian markets mixed as Tariff wars bite, China -0.27% and Japan +0.60%

STOCK STUFF

Movers and Shakers

WTC +5.65% the beat goes on.
JMS +4.17% strong manganese prices.
TLS -4.81% cunning plan falls flat. Huge volume today.
PPH +2.37% shows how a sell down is done.
ERA -1.06% board changes.
SFH +9.90% response to ASX ‘please explain’.
PHK +2.70% Gold Coast conference presentation.
CSL +1.13% true global leader.
CBA +% settles AUSTRAC 2.90%
MQG +2.71% testing all-time highs.
GXL -3.42% change in substantial shareholding.
BWX -3.68% strategic review weighs.
MEA +26.47% cornerstone investor takes 15% at 42.5c.
SM1+% commissioning date of new Pokeno site.
Speculative stock of the day: Pioneer Resources (PIO) +30.00% after a RIU Gold Coast presentation. Big volume too.
Biggest risers –WTC, FAR, BAL, JMS, BGA and HSN
Biggest fallers – TLKS, AJM, PPC, NCZ and CIA

TODAY

Telstra (TLS) –4.81% Strategy update focused on increasing customer experience, simplifying structure and cost-cutting. Announced 8,000 job cuts and a loss of 2-4 layers of management resulting in a$1-2.5bn cost out by Fy22. The said there will be a ‘radical’ change of customer plans and pricing and the company updated EBITA guidance for FY19 to between $8.7-9.4bn excluding a $600m restructuring cost. No change for dividend guidance. FY18 is safe but beyond that not so sure. The guidance was a significant cut.
Westpac Bank (WBC) +2.89% any customers of BT Financial advice operating through WBC will benefit from the removal of grandfathered payments on BT products. Grandfathered payments will be removed as of 1 October 2018, which affects over 140,000 accounts. WBC said the impacts of the change represent $14m of 1H cash earnings.
Boral (BLD) +2.54% Brian Clark is to retire as chairman for health reasons on June 30 and be replaced immediately by Kathryn Fagg. Mr. Clark has been chairman since 2015 and Ms. Fagg has been a board member since 2014.
Northern Star Resources (NST) +0.47% has hit its production rate target of 600,000ozpa which means it will exceed the top end of its FY18 production guidance of 560,00oz given that its June quarter production to date is already 150,000oz.
Minerals Resources (MIN) +2.60% The company has thrown in the towel in the fight for AGO. No higher bid. Over to you Twiggy.
Atlas Iron (AGO) +2.27%- MIN abandons takeover plans.
Woolworths (WOW) +0.31% has bid farewell to single-use plastic bags under a new ban across the retail giant’s stores.
Fuel refiner and retailer Viva Energy (Shell servos) is seeking to hit the ASX-boards with a $5.2bn market capitalisation at the top end of the range.

ECONOMIC NEWS

The total number of exporters of goods in 2016-17 remained steady at 51,992, an increase of 1% from 2015-16.
The total value of goods exports increased to $291bn (19%) from 2015-16.
The increase in the value of exports was mainly attributed to large goods exporters (with value of trade equal to or greater than $100m).
The increase in the value of goods exports was driven by the Mining industry increasing in value by $40bn, following increases in iron ore and coal prices and in the production of liquefied natural gas.

BOND MARKETS

ASIAN MARKETS NEWS

India has pulled plans to sell its National Airline.
Noble Group shares jumped after it said it had reached a deal with major shareholder Goldilocks Investment.
In Lithium news, Tianqi Lithium shares have suffered after reports that the anti-trust regulator in Chile will probe the deal for the Chinese to buy a US$4.1bn project there.

EUROPE AND US MORNING HEADLINES

Canada legalises recreational cannabis. ‘Everybody gonna get stoned’. From September.
GE gets booted from the Dow after more than 100 years of inclusion.
In the UK, the Telegraph newspaper tracks retail store closures. 1334 shops so far this year and 23,400 jobs at risk. Debenhams struggling now too.

And finally……………