ASX 200 rubber bands back 56 points to 7309 (0.8%) after strong US leads. Even the update from Auntie Glad and Uncle Dan could not rain on our parade although enthusiasm was curbed heading into the close. Banks as usual the big swing vote with the Big Bank Basket up to $176.57. Other financials chipped in with MQG up 1.3% and the insurers slightly better QBE up 1.4% and SUN up 2.1%. Industrials remain firm but not spectacular, GMG continues to push ever higher as a beneficiary of the lockdowns, WOW up 1.1% and WES up 2.3% doing well with small gains across the board. Healthcare was positive as CSL rallied 1.3% on some broker commentary on footfall in the US and COH ran 1.4% with RMD continuing to push higher by 1.1%. Miners were firm today with BHP up 1.3% and FMG slipping away only up 0.5% with RIO stronger by 1.2%. Gold miners were once again lower, NCM off 0.2% and EVN down 2.9%. Oil and gas stocks were spurting ahead on higher crude prices and rumours that WPL would join the OSH hunt. OSH rose 3.6% and WPL rose 0.1%. In the tech sector, all was quiet with the Index down slightly as APT slipped 0.4% and XRO off 0.6%. In corporate news, ALU down 5.0% as Autodesk ends discussions. ALX up 1.3% on traffic numbers, S32 up 1.1% despite pointing to a US$728m impairment in its FY21 results. KGN little changed down 1.5% on its guidance update. Says it is better inventoried. CIM adding 4.5%, first-half underlying profit up on last year, profit guidance for the full-year maintained. 42c dividend (20% franked). In economic news, retail sales fell as lockdown begin to bite, the 10-year yield was weaker at 1.17%. Asian markets firmed with Japan up 0.4% and China up 0.7%.

Today’s Highlights

  • ASX 200 up 57 to 7309. Modest volumes again.
  • High 7355 Low 7274. Off highs but skittish.
  • Dow futures down 28.
  • NSW 110 VIC 22.
  • Big Bank Basket shows solid rise to $176.57
  • All Tech Index down 0.27%
  • Gold steady at $2480.
  • 10-year yield down to 1.17%
  • AUD weaker at 73.00c
  • Bitcoin rises to US$30650
  •  Asian markets firmer with Japan up 0.4% and China up 0.7%


  • BET +6.47% good to see the bounce.
  • ASM +8.78% agreement for 20% stake in Dubbo project and offtake.
  • PLS +5.50% lithium bounce.
  • CIM +4.47% analyst presentation.
  • PLL -21.26% environmental concerns in US.
  • ALU -5.04% Autodesk walks.
  • MYR -unchanged- Solly Lew heading to a purge after getting hold of register.
  • HUB -3.86% broker downgrade.
  • DMP -2.83% stuffed crust.
  • BPT -3.20% quarterly report
  • AGY +9,52% Rincon update
  • POS +6.45% kicked again.
  • NVA +4.76% drill results.
  • WWI -5.95% wilts after yesterday’s ride.
  • LVH -9.33% quarterly report
  • PPK +1.09% Li-S lodges IPO prospectus.
  • OSH +3.59% predators circling on CEO and Chair issues.
  • IPO of the Day: Openn Negotiation (OPN) +55.00% Strong debut on volume. Seems like an eBay platform for house purchases.
  • Speculative Stock of the Day: Apollo Minerals (AON) +38.89% Major zinc and lead discovery developing at Kroussou.
  • Biggest Winners: OML, ASM, IMD, IMU, NCK, BET, DUB, PLS and ADH.
  • Biggest Losers: PLL, ALU, DEGF, OCL, HUB and STX.


  • Oil Search (OSH) +3.59% There is fresh speculation Woodside is looking to revive its Oil Search (OSH). WPL tabled a bid for Oil Search around three years ago, which was rejected. Conjecture comes after STO approached OSH with a merger proposal to create a $22bn behemoth.
  • Altium (ALU) -5.04% Autodesk has ended discussions to acquire Altium. Autodesk CEO comments: “Autodesk has a long track record of disciplined strategic acquisitions. While we did verbally improve our initial proposal, we were unable to agree on the basis to advance discussions. We respect the leadership team at Altium and wish them the best with their business.”
  • McPherson’s (MCP) +1.76% Chairman Graham Cubbin to step down and after a transition period retire. Ari Mervis appointed replacement effective immediately
  • Perseus Mining (PRU) +0.65% Q4 gold production 102,788oz at AISC US$1,047/oz. First half FY22 guidance: Gold production 225-255Koz, AISC US$925-1,025/oz. Remains on track to achieve its goal of producing more than 500K oz of gold per year at a cash operating margin of not less than $400/oz in FY22
  • Atlas Arteria (ALX) -1.27% Q2 weighted average toll revenue +57.3% vs year ago. A comparison with 2019 would’ve helped provide some perspective.
  • Dacian Gold (DCN) -1.82% Upgrades mineral resource estimate for the Hub deposit with new drilling results.
  • Rio Tinto (RIO) +1.17% RIO and Bougainville community residents reach an agreement to assess the legacy impacts of Panguna mine.
  • South32 (S32) +1.07% To record FY21 pre-tax impairment charge for Illawarra Metallurgical Coal of US$728m.
  • (KGN) -1.45% Guides FY21 adjusted EBITDA $61.1m vs consensus $61.1m and prior guidance of $58-63m.Revenue $780.7m vs consensus $778.2m and year-ago $497.9m. Active Customers +46% from the end of June 2020 to 3,207K for, and 764K for Mighty Ape.
  • Beach Energy (BPT) -3.20% Full-year production 25.6mmboe vs guidance of 25.2-25.7mmboe. Q4 sales volumes 6.44mmboe vs quarter-ago 6.21mmboe. Q4 sales revenue $421m vs year-ago $393m. FY21 underlying EBITDA is expected to be at the top end of the guidance range of $850-900m. Unit operating costs are expected to be at the low end of the guidance range $10-10.50/boe.
  • CIMIC Group (CIM) +4.47% First half underlying profit $208m vs year-ago $205.3m. Revenue $7.13bn vs year-ago $6.44bn. Adjusted EBITDA $464.5m vs year-ago $442m. New work $10.4bn vs year-ago $3.8bn. Work in hand $33.3bn. Interim dividend of 42c, franked at 20%. FY Guidance (Dec 2021): Profit of $400-430m maintained. Notes numerous stimulus packages announced by governments in its core construction and services markets.
  • Syrah Resources (SYR) +3.64% Reports Q2 Balama graphite production of 29kt. June quarter activities: First full quarter following restart – tracking ahead of plan with strong operational performance. C1 cash costs of US$537/t at ~10kt per month average production rate. H2 Outlook: Increasing Balama production towards at least 15kt per month.
  • Service Stream (SSM) – To acquire Lendlease Services at an enterprise value of $310m, the acquisition is expected to deliver strong EPS accretion of ~30% on an FY22 pro forma basis, including synergies. Launches a fully underwritten $185m equity raise at 90c.


  • Preliminary retail trade for June fell1.8% over the month vs expectations of a 0.7% fall. The measure is up 2.9% from a year ago.
  • Food retailing (1.5%) was the only industry to rise in June. Cafes, restaurants and takeaway food services, and clothing, footwear and personal accessory retailing saw the largest falls.



  • Life expectancy in the United States dropped the most in more than seven decades last year.
  • The U.S. has recorded a total of 609,000 Covid deaths since the pandemic began. More than 43% occurred in 2021.
  • Vaccine Tracker: 3.67bn doses in 179 countries. 32.8m a day. Why has one country dropped off the lost. It was 180 yesterday.
  • In Australia, 141,631 doses a day and 6 months to get to 75%. Better than yesterday at 7 months.


  • Tokyo Olympics about to kick off. Softball has started. 1m hotel cancellations on a fan free Olympics.
  • Around 100,000 people have been relocated from the city of Zhengzhou known as the world’s biggest production base for iPhones due to floods. So far 12 deaths. More than 8 months of rain fell on Tuesday.
  • Production hits in Vietnam and Malaysia hurting chip supply chains.


  • Novartis results -Guidance unchanged Beat on revenue numbers. Q2 core operating profit US$4.3bn.
  • Jeff Bezos thanks his employees for sending him into space. Expect some didn’t want him to come back.
  • UBS has launched a fund to invest in woman-only hedge funds.
  • Jamie Dimon given a free 1.5m options to stay.
  • Netflix subscribers dropping off. Need another Crown.
  • US close to a US$26bn opioid settlement with J&J and distributors.

And finally…

Let’s put this to bed once and for all… Scaramouche is a character from the 1500s and the Fandango is a dance originating in the 1700s, so no, Scaramouche could not do the Fandango as it hadn’t been invented yet. Still… nothing really matters…

Dave and Jim were a couple of drinking buddies who worked as aircraft mechanics in Heathrow LondonOne day the airport was fogged in and they were stuck in the hangar with nothing to do.Dave said, ‘Man, I wish we had something to drink!’ Jim says, ‘Me too. Y’know, I’ve heard you can drink jet fuel and get a buzz.You wanna try it?’ So they pour themselves a couple of glasses of high octane booze and get completely smashed.

The next morning Dave wakes up and is surprised at how good he feels. In fact he feels GREAT! NO hangover! NO bad side effects. Nothing!Then the phone rings. It’s Jim. Jim says, ‘Hey, how do you feel this morning?’

Dave says, ‘I feel great, how about you?’Jim says, ‘I feel great, too. You don’t have a hangover?’

Dave says, ‘No that jet fuel is great stuff — no hangover, nothing. We ought to do this more often..” Yeah, well there’s just one thing.’ ‘What’s that?”Have you farted yet?”

No.”Well, DON’T – cause I’m calling you from Scotland ‘