ASX 200 rallies 32 points to 7302 (0.44%). Dow futures up 25. Better day from the off, banks solid despite the 10-year bond yield falling to 1.47%. The Big Bank Basket rallied back to $183.75. Other financials also doing well with insurers up led by QBE rallying 2.1%. IRE rose 16.8% on bid speculation and MQG recovered from pessimism to rise 0.7%. Industrials was mostly in the green, GMG up 2.3%, WOW up 0.8% and SEK rising 3.7%. Tech stocks formed, BET up 8.8% one of the best, EML rose 3.7% and WTC rallied 2.7%. The All–Tech Index rose 1.9% led by XRO up 3%. Mining stocks were a little mixed, BHP fell 0.8% but FMG strengthened 0.8% with gold miners also finding some buyers as NST rose 1.0%. Energy stocks remain well out of favour, STO down 0.9% and WPL off 1.5%.  In corporate news, BLD released its target statement, valuation between 825c to 913c, fell 0.7% on news. WOW got ACCC permission to buy PFD, WOR fell 3.3% after the CFO retired and MDR rose 3.4% on a US business update. Nothing on the economic front, 10-year yields slipped badly down to 1.47% with the AUD becalmed. Would not want to be long volatility with AUD options. Asian markets firm with Japan up flat and China up 0.49%.

Today’s Highlights

  • ASX 200 rallies 32 points to 7307.
  • High 7315 Low 7267. Narrow range.
  • ECB meeting today and inflation update. CPI in US. 
  • Dow futures up 25.
  • Big Bank Basket rallies to $183.75
  • All Tech Index up 1.9%
  • Australian Gold steady at $2438.
  • 10-year yield falls to 1.47%
  • AUD steady at 77.39c.
  • Bitcoin rallies to US$36858 on El Salvador news.
  • Asian markets firm with Japan up flat and China up 0.49%

END OF DAY PODCAST – ASX 200 closes up 32 to 7302. Dow futures up 25 points and European markets opening slightly higher. Banks once again solid with the Big Bank Basket up to $183.75. IRE saw strong buying following an AFR suggestion that a broker was in the market looking for stock. The stock closed up over 16%. Industrials firmed with CSL up 0.4%, GMG up 2.3% and XRO up 3% with the All Tech Index up nearly 2%. Miners flat with BHP down 0.8%. CPI in US tonight. Bond yields falling hard.

STOCKS

  • IRE +16.80% media speculation on possible takeover.
  • AAC +3.85% AGM
  • WHC +5.18% coal price helping.
  • BET +8.76% nice bounce.
  • RMD +3.72% broker upgrades.
  • MND -2.95% in the running for LLC services division.
  • AEF -1.93% slide continues.
  • A2M -3.33% ceasing to be a substantial shareholder.
  • WOR -3.27% CFO retires.
  • CTT -8.07% profit-taking.
  • CDD -6.56% rethink after run yesterday.
  • QPM -13.16% profit-taking.
  • POD +9.57% director’s appointment.
  • 4DX +5.38% good to see.
  • MDR +3.45% US business update.
  • CBR +3.19% ceasing to be a substantial shareholder.
  • GLB +9.76% trading update.
  • LTR +7.38% $12m man just got richer.
  • MOC +0.26% REA takeover approved.
  • Speculative Stock of the Day: ADN +20.93% MEP +21.74% on the Great White Kaolin JV securing a major off-take agreement.
  • Biggest Winners: IRE, BET, LTR, HMC, OML, LFG, GRR and WHC.
  • Biggest Losers: CTT, SM1, WAF, NWH, A2M, OSH and WOR.

TODAY

  • Monadelphous (MND) –2.95% MND and UGL are understood to be looking at Lendlease’s services division, bids expected at the end of June.
  • Magellan Financial Group (MFG) +1.03% Barrenjoey Capital Partners completes $44m block trade, involving 0.5% of the shares on offer, the sell-down being used to fund Barrenjoey’s ramp-up of its new equities business.
  • Johns Lyng Group (JLG) +1.44% Upgrades earnings outlook, now expects FY21 EBITDA of $52.1m, vs prior guidance $47.4m.Upgrade driven by ongoing strong demand for the Group’s core business-as-usual services, and a significant increase in catastrophe (CAT) recovery activity during FY21, primarily in northern NSW and south-east Queensland.
  • Woolworths Group (WOW) +0.77% ACCC will not oppose the acquisition of a 65% interest in PFD Food Services. The evidence did not indicate the transaction would be likely to substantially lessen competition.
  • Worley (WOR) -3.27% Appoints Charmaine Hopkins as interim CFO, effective June 22.

ECONOMIC NEWS

  • Australia is seeking to resolve the wine trade tariff dispute through the WTO. Australia announced it was taking China to the WTO in December 2020 over barley, after Beijing imposed duties of over 80% on the grain in May.

BOND MARKETS

CV19 NEWS

  • Vaccine Tracker: 2.2bn doses in 178 countries. 35.1m a day. In US, 305m at 1.12m a day.
  • Seattle has become the first major city in the U.S. with 70% of residents 12 and above fully vaccinated.
  • Indian CV deaths hit record. 6,148.
  • The U.S. plans to buy 500m doses of Pfizer Inc.’s coronavirus shots to share internationally.
  • Thai public schools will reopen on June 14 as planned.
  • Danish lawmakers have agreed to phase out the bulk of the European country’s coronavirus restrictions by Sept. 1.

ASIAN NEWS

  • Chinese and U.S. commerce ministers agreed to push forward trade and investment links in their first call since the start of the Biden administration.
  • Guo Shuqing, chairman of the China Banking and Insurance Regulatory Commission, the top banking regulator, warned retail investors to avoid financial derivatives, he said speculation in derivatives by ordinary people “is tantamount to disguised gambling, and their outcome of losses is preordained.”
  • Myanmar has charged Aung San Suu Kyi with corruption.

US AND EUROPEAN HEADLINES

  • Biden warns Boris to preserve the Good Friday agreement ahead of G7 meeting in Cornwall.
  • Japanese sponsors fear backlash from unpopular Olympics.
  • Angela Merkel’s last G7.Not really G7 every man and his dog is in Cornwall.

And finally…..

Police Begin Campaign to Run Down Jaywalkers 
Now that’s taking things a bit far! 
—————————— —————————— —————————— ——————— 
Panda Mating Fails; Veterinarian Takes Over 
What a guy!    
—————————— —————————— —————————— ——————— 
Miners Refuse to Work after Death 
No-good-for-nothing’ lazy so-and-so’s! 
  
—————————— —————————— —————————— ——————— 
Juvenile Court to Try Shooting Defendant    
See if that works better than a fair trial! 
  —————————– —————————— —————————— ———————– 
War Dims Hope for Peace 
I can see where it might have that effect! 
—————————— —————————— —————————— ———————- 
If Strike Isn’t Settled Quickly, It May Last Awhile 
Ya’ think?! 
—————————— —————————— —————————— ———————- 
Cold Wave Linked to Temperatures 
Who would have thought! 
—————————— —————————— —————————— ——————— 
Enfield ( London ) Couple Slain; Police Suspect Homicide 
They may be on to something! 
—————————— —————————— —————————— ——————– 
Red Tape Holds Up New Bridges 
You mean there’s something stronger than duct tape?     
—————————— —————————— —————————— ——————– 
Man Struck By Lightning: Faces Battery Charge 
He probably IS the battery charge! 
—————————— —————————— —————————— ——————– 
New Study of Obesity Looks for Larger Test Group 
Weren’t they fat enough?! 
—————————— —————————— —————————— ——————– 
Astronaut Takes Blame for Gas in Spacecraft 
That’s what he gets for eating those beans! 
—————————— —————————— —————————— ——————– 
Kids Make Nutritious Snacks 
Do they taste like chicken? 
****************************** ****************************** ******************** 
Local High School Dropouts Cut in Half 
Chainsaw Massacre all over again! 
****************************** ****************************** ****************************** **** 
Hospitals are Sued by 7 Foot Doctors 
Boy, are they tall! 

Clarence

XXX