- ASX 200 down 38 to 5468. Afternoon sell-off on cue. Late rally.
- ASX 200 has lost over 2.3% for the week. Santa MIA.
- High 5543 Low 5427. 116 point range.
- Simmering Cybercrime issues with China.
- Banks turn negative as broad market sell-off continues.
- Miners only solace. Thank BHPs buyback and special div.
- CSL turns around late.
- Energy could have been worse.
- Telcos in the red but HSO gets a Brookfield kick.
- AUD firms to 71.14c
- Bitcoin rallying to $4023
- Aussie Gold strong at $1771
- US futures down 60. Worst December since 1931
- Asian markets sold off again with Japan off 1.29% and China down 1.38%.
STOCKS IN FOCUS
- DMP -1.73% announces a buyback.
- AKP +7.40% breakthrough announcement. No volume though.
- HSO +5.83% Brookfield likes what it sees,
- RSG +6.39% GOR +3.36% gold shines.
- BHP +2.27% iron ore price rise.
- VOC -8.11% telcos in sell-off.
- VEA -6.78% refiner margins miss forecasts.
- GXY -5.91% ORE -10.98% lithium stocks under pressure.
- IAG -4.32% SUN -3.87% QBE +0.10% hail Ceasar. Not good news.
- TLS -3.86% suffers from 5G question marks.
- EXL +4.17% best IPO of the year. US signs farm bill.
- ADH +4.14% change in substantial holding.
- Speculative stock of the day: Droneshield (DRO) +28.57% Gatwick Airport shut down offers sales opportunity. Company stops these attacks.
- Biggest Risers – RSG, HSO, MOE, SM1, PME and NST.
- Biggest Fallers – PNI, SPO, ORE, CVW, PLs and VOC.
- Healthscope (HSO) – 5.83% Considers Brookfield’s due diligence complete. Brookfield confirms it has no reason not to proceed with scheme of arrangement and simultaneous off-market takeover offer. BGH-Australian Super is looking to commence due diligence.
- IAG Group (IAG) –4.32% Market update following severe Sydney storms yesterday. The pre-tax cost of the Sydney storms will be in line with IAG’s maximum first event retention, of $169 million post-quota share. IAG estimates year-to-date net natural peril claim costs for FY19 currently amount to approximately $410-430m pre-tax, post-quota share.
- Bubs Australia (BUB) +3.41% Secures additional goat milk supply with Central Dairy Goats. The agreement guarantees a minimum supply volume of 2.2m litres to May 2019 and 6.2m litres for the following year.
- Freedom Insurance Group (FIG) +5.00% Guidance update. First half EBITDA now expected to be between ($9m) and ($10m) vs prior ($7m) to ($8m). The revised earnings expectations reflect lower than anticipated net revenue, on the back of higher commission clawbacks, and higher one-off external consultant costs.
- Nothing significant today
- 2-Year bonds down 3bps to yield 1.97%
- 5-Year yields down 1bps to yield 1.96%
- 10-Year yields up 4bps to yield 2.37%
- Carlos Ghosn rearrested in Japan.
- China denies espionage against US and others. Denies legal help for Canadians arrested.
- Japanese consumer growth continues to fall.
EUROPEAN AND US HEADLINES
- Drones close Gatwick. Three days in a row.
- Mad Dog Mattis resigns as US Defence chief. Even Melanie is confused.
- US Government shut down looms. Wall isn’t a wall but steel slats. Doesn’t count. Heads to Senate for rejection.
- Currently, 38% of equities on the Nasdaq and NYSE are trading below the 52 week low. Since 1984, there were only eight days when a bigger proportion of shares did so, according to Sundial Capital Research. Two were in 1987. But this can be a sign of bottoming.
- UK shoppers splurging online but avoid the high street. Cannot blame them.
- Half day Xmas Eve. Half the selling then.
Thank you for your support this year and reading my rubbish, sending me jokes and liking my tweets.
Clarence is taking a break for a few weeks.
If you want to contact him…his email is firstname.lastname@example.org
Have a wonderful Xmas and a safe and healthy new year. Double demerit points so take care on the roads.
Peace love and understanding all around!