ASX 200 rose 8 points to 7394 (0.1%) a record close, despite the emerging National emergency and the ‘ring of steel’ now to be put around Sydney. Nothing could interrupt the assault on the 7400 level, not CV19, not iron ore prices, but we did see a defensive tilt to the day. The banking sector slipped with CBA off 0.8% and ANZ falling 1.1% with the Basket trading at $177.56. Elsewhere, financials were relatively stable, MQG up 0.2% and insurers slightly weaker as IAG updated the market and offered guidance, rising 1.0%. Healthcare was a bright spot, CSL rose 1.5% on lower AUD and AZ hopes. SHL rose 1.4% with RMD continuing its run up 0.8%. Industrials too better, WES rose 0.8% as Officeworks will get a workout again, GMG rose 1.5% as it will supply the stores and shift the online goods and REA rose 0.9% for no reason at all. Tech was better too led by APT up 0.8%, XRO up 2.4% as quarterlies dropped thick and fast, BTH doing well, EOS up 7.7%, WSA up 5.0% and POS up 18.18%. The All-Tech Index rose 1%. Miners were sold off as Iron ore slipped, BHP down 0.4% and RIO down 0.2%. FMG flat too but nickel stocks in demand, lithium stocks consolidated as PLS ran 1.8% higher and ORE/GXY up 0.5%. In corporate news, SGR pulled the pill on CWN losing 2.2% and EVN rose 4.4% after putting away its capital raise to buy the NST assets. Nothing on the economic front, 10-year yields unchanged at 1.18%, Asian markets are lower with Hong Kong down 1.06% and China down 0.63%. Japan closed for Sports Day. Japan closed for Sports Day. Dow futures up 61.

Today’s Highlights

  • ASX 200 up 8 to 7394. Narrow range, average volume.
  • High 7399 Low 7357. Record high.
  • Dow futures up 61
  • ASX 200 up 0.6% for the week or 46 points
  • NSW 136 VIC 26. Sydney cases continue to rise
  • Big Bank Basket slips to $177.56
  • All Tech Index up 1.0%
  • Gold unchanged at $2447
  • 10-year yield steady at 1.18%
  • AUD firms at 73.70c
  • Bitcoin rises to US$32678. No dump just pump still.
  • Asian markets are lower with Hong Kong down 1.06% and China down 0.63%. Japan closed for Sports Day

STOCKS

  • EOS +7.69% quarterly bump.
  • NIC +6.51% nickel in favour. Takes one Tesla deal.
  • EVN +4.42% market likes deal with NST. NST -%
  • MCR +14.54% WSA +5.0% nickel boom.
  • SLR -8.50% disappointing quarterly.
  • MAQ -3.45% 8000 shares traded.
  • IMU -4.29% quarterly report.
  • BD1 -5.83% updated investor presentation.
  • FAR +15.45% reconstruction and return to market.
  • DTC +19.59% broker updates following quarterly.
  • AGY +4.17% EIA to go to 10kt progress.
  • BBT +18.32% punters placing bets.
  • CSL +1.47% AZ demand to increase.
  • WES +0.83% lithium exposure.
  • PPT -0.16% FUM stabilises.
  • SLR -8.50% achieves production guidance.
  • BTH +5.19% cash receipts up 20%.
  • Speculative Stock of the Day: Maxitrans (MXI) +33.33% the company announced it had sold its trailer business for $48m Special dividend of 12.5c and a share consolidation with a 1 for 5.
  • Biggest Winners: EOS, NIC, NXL, WSA, SHV, ILU, FCL and EVN.
  • Biggest Losers: SLR, NST, CEN, ASM, IMU, MYX and ECX.

TODAY

  • Northern Star Resources (NST) -6.23% Expects FY22 production between 1.55-1.65Moz of gold at an AISC of $1,475-1,575/oz. Notes production at its Pogo mine in Alaska will be weighted to the second half. Capex is expected to be $570m.
  • Dexus Property Group (DXS) -0.10% To acquire a 49% interest in a holding trust that owns Capital Square Tower 1, Perth for $339m. The acquisition will be funded through debt facilities and is expected to be accretive to Adjusted Funds From Operations (AFFO) and distribution per security for FY22.
  • Zip Co. (Z1P) +1.43% Co-founder reportedly said that the company is looking to provide users a chance to trade in cryptocurrencies. Trading in cryptocurrencies using Zip digital wallets is understood to be one of the most requested new product features from users.
  • Star Entertainment Group (SGR) -0.56% Has withdrawn its conditional, non-binding offer to merge with CWN. SGR estimated potential synergies of $150-200m per year on the tie-up.
  • IAG (IAG) +1.03% Has recorded a preliminary net loss of $427m vs net profit of $435m in FY20. It will record a $90m impartment on the sale of its interest in Malaysian business AmGeneral Holdings Berhad, which was previously announced on July 19. Reports cash earnings of $747m which excludes provision charges and other items associated with its new operating model. IAG’s dividend policy is to pay out 60-80% of cash earnings. In FY22 sees gross written premiums with ‘low single-digit growth. Reported insurance margin is expected between 13.5 – 15.5%.
  • Myer (MYR) -2.15% Has secured a 10-year lease on a new 40,000 square metre facility in Victoria which is set to become its National Distribution Centre for both stores and online fulfilment.

ECONOMIC NEWS

  • Nothing today.

BOND MARKETS

CV19 NEWS

  • Vaccine Tracker: 3.74bn doses in 179 countries. 31.5m doses a day. In Australia, 146,108 a day – 6 months until 75% coverage.
  • Sydney needs a ‘ring of steel’ says Dan Andrews. Travel bubble bursts with NZ.
  • Italy will restrict many leisure activities, including dining indoors, for citizens who aren’t vaccinated against Covid-19.
  • Singapore will postpone its annual independence day celebrations to August 21.
  • China reported 12 new confirmed cases and 10 asymptomatic infections, amid signs that the recent infections at an airport are starting to spread.

ASIAN NEWS

  • Tokyo Olympics open tonight. Queensland premier will be there. So will 949 others, including Jill Biden.
  • 110 confirmed CV19 cases in the village.
  • Chinese President Xi visits Tibet.
  • Chinese regulators are considering serious penalties for Didi.

US AND EUROPEAN NEWS

  • European futures expected to open around 0.3% higher.
  • Thermal coal prices soaring as demand rebounds.
  • Republicans now urging supporters to get vaccinated. Bill agrees.
  • Brussels has appealed against EUR250m Amazon tax ruling.
  • UK now has told 600,000 people to self-isolate after the new app pings them. It’s known as a ‘Pingdemic’.
  • Volvo records best half on record. Warns on chip shortage.

And finally…

You Can’t Make Up This Stuff!

DEAR ABBY ADMITTED SHE WAS AT A LOSS AS HOW TO ANSWER THE FOLLOWING QUESTIONS

Dear Abby

A couple of women moved in across the hall from me. One is a middle-aged gym teacher and the other is a social worker in her mid-twenties.  These two women go everywhere together and I’ve never seen a man go into or leave their apartment. Do you think they could be Lebanese?

Dear Abby

What can I do about all the Sex, Nudity, Fowl Language and Violence on my VCR?

Dear Abby

I am a twenty-three-year-old liberated woman who has been on the pill for two years.  It’s getting expensive and I think my boyfriend should share half the cost, but I don’t know him well enough to discuss money with him.

Dear Abby

I’ve suspected that my husband has been fooling around and when confronted with the evidence, he denied everything and said it would never happen again.

Dear Abby

Our son writes that he is taking Judo. Why would a boy who was raised in a good Christian home turn against his own?

Dear Abby

I joined the Navy to see the world.  I’ve seen it.  Now how do I get out?

Dear Abby

My forty-year-old son has been paying a psychiatrist $50.00 an hour every week for two and a half years.  He must be crazy.

Dear Abby

My mother is mean and short-tempered.  I think she is going through mental pause.

Dear Abby

You told some woman whose husband had lost all interest in sex to send him to a doctor.  Well, my husband lost all interest in sex and he is a doctor.  Now what do I do?

Dear Abby

I have a man I can’t trust. He cheats so much, I’m not even sure the baby I’m carrying is his.

Clarence

XXX