ASX 200 up 41 points to 7629 (0.5%) Up 1.2% for the week.

  • HIGH 7633 LOW 7586 Hardly a ripple on NSW numbers.

MAJOR MOVERS:

Winners: ASM, DOW, 29M, PMV, SGT, 88E, TLX, AVZ

Losers: CTT, IMU, CHN, ABB, GXY, CBO, VUL, ORE

  • POSITIVE SECTORS: Consumer staples. Insurance.Healthcare. Tech
  • NEGATIVE SECTORS: Iron ore miners.Lithium. CBA
  • BIG BANK BASKET: Down to $187.42
  • ALL -TECH INDEX: up 0.6% APT up 0.4%
  • GOLD: Rallies to AUD $2393
  • BITCOIN: US$45260 Pausing for breath
  • AUD: Steady at 73.35c
  • 10-YEAR YIELD: Steady at 1.20%
  • ASIAN MARKETS: Tokyo up 0.15%, Hong Kong down 1.02%, China down 0.4%
  • US FUTURES: Dow futures up 10. NASDAQ down 6

ASX 200 finished the week off in style rising 41 to 7629 (0.5%) despite a rise to a new record in NSW and more areas under lockdown. For the week the index rose around 90 points. Banks continue to drive the market as investors switch from CBA to the other three. The Big Bank Basket closed down at $187.42 as CBA fell 1.8%. Insurers were mixed following the QBE results yesterday, IAG down 0.4%. SUN ex-dividend today. MQG out in a good day up 0.8%. Healthcare was better led by CSL up 2.4% and RMD up 1.0%. Tech too in demand as APT rose 0.4% and XRO up 0.9%. The All–Tech Index up 0.6%. Industrials solid as results beckon. BBN fell out of the cot today despite a higher dividend, lost its rattle falling 4.5%. SGR rose 4.8% as a potential winner from CWN losing its crown. GXY/ORE fell 5% after the court approved the merger scheme.

STOCKS ON THE MOVE

  • ASM +18.01% broker upgrade.
  • 88E +4.76% bulls back.
  • AGL +4.04% end of week bounce.
  • 360 +3.88% back on track. Gone full circle.
  • BBN -4.52% temper tantrum after results disappoint.
  • GXY/ORE -5% profit taking.
  • GRR -4.20% iron ore price falls.
  • Z1P +0.77% escrow stock released.
  • ABB -5.19% end of week book squaring.
  • BYR -7.69% premature rally snuffed out.
  • SOR -7.50% profit taking.
  • AGY -8.82% bubble bursts.
  • HZR +12.11% on a roll.
  • PRL +9.38% HYEnergy project forging ahead.
  • RZI +9.14% positive move following The Call on Ausbiz.
  • TNT +9.43% exploding higher.
  • VML +12.12% gaining traction
  • PMV +4.94% good kick higher.
  • DOW +5.20% broker upgrades post results.
  • IMU -6.45% looking soggy.
  • DUR +12.79% secures a $53m contract.
  • Speculative Stock of the Day: ADN +15.62% entering new Kaolin JV.

ANNOUNCEMENTS

  • IDP Education (IEL) +2.15% There is fresh speculation IDP Education’s major holder is looking to sell a $1bn plus stake. In June last year, Bank of America brokered a 5.1% stake sale worth $219m at 1555c for Education Australia, which owns about 40% of IDP Education.
  • New Energy Solar (NEW) -1.76% CEO John Martin to step down, Liam Thomas appointed replacement.
  • Bank of Queensland (BOQ) +0.10% Federal Court declares several terms within some BOQ’s small business contracts unfair. No details on possible repayments were provided.
  • PointsBet Holdings (PBH) +2.07% Receives regulatory approval to launch online sports betting operations in West Virginia. PointsBet also plans to launch its proprietary online casino product in West Virginia by the end of the calendar year 2021, subject to necessary licensing.
  • Downer Group (DOW) +5.20% and BHP (BHP) – Rising coal prices have changed the landscape on some potential M&A, asboth Downer and BHP may look to wind down certain assets instead of selling. It may be more profitable for Downer to wind down the Open Cut East mining services operation in line with expiring contracts. There is speculation that BHP may sell certain coal mining assets, specifically the two metallurgical coal mines in Queensland, but then retain the Mt Arthur coal mine taking advantage of potential tax losses and winding down the asset over a number of years.
  • Baby Bunting Group (BBN)-4.52% Reports Full-year net profit of $26.0m vs year-ago $19.3m. Revenue was $468.4m vs year-ago $405.2m, while EBITDA was $43.5m vs year-ago $33.7m. Announced a final dividend of 8.3c/share, fully franked. Trading update and outlook: Comparable store sales as at 12-Aug-21 were -6.4% YTD. Anticipate opening 3 new stores in the first half of the 2022 financial year, with a strong pipeline of leases committed for the second half, plus two in New Zealand. The COVID-19 pandemic continues to create significant disruption, with the risk that trading conditions will fluctuate greatly throughout the year. Accordingly, no guidance about 2022 earnings can be given at this time.

BOND MARKETS

ECONOMIC DATA

CV19 NEWS

  • NSW hits new record. Now 12m Australians in lockdown.
  • Vaccine Tracker: 4.6bn doses in 183 countries. 38.5m day.
  • In Australia now 206,581 doses a day and still 4 months to reach 75%.

ASIAN MARKETS

  • Port of Los Angeles anticipates disruptions from China’s move to shut down one of its busiest ports.
  • Malaysia’s Central bank now sees the economy growing 3%-4% this year as infections hit a new record.

US AND EUROPEAN NEWS

  • The US and UK are sending troops back into Afghanistan to help evacuate the embassies.
  • The insurance industry has taken a US$40bn extreme weather hit this year alone.
  • Disney doing well with its new streaming service. 12m new customers in 3rd quarter.
  • Adidas has sold Reebok in a EUR 2.1bn deal to Authentic Brands.

And finally

Clarence

XXX