The ASX 200 rose 2 points to 7415 in a muted session with one eye on Evergrande and the other on AGMs and business updates. Most updates are positive, but sentiment is being held in check by a fall in Evergrande in China. Mixed across the board, banks unchanged with the Big Bank Basket steady at $187.92. WBC the standout today up 0.6%. MQG continues the march to $200 up 0.9% and fund managers fighting back with MFG up 2.3% on its AGM and PPT up 7.8% on FUM. Even AMP looks to be turning a corner rising 4.0%. Industrials mixed with WOW off 0.9% and ALL rising 3.3% after its return to trade following the capital raise and acquisition. REITs firmed, tech was slightly higher with APT up 0.1% and the All–Tech Index up 0.5%. In the resource space, BHP continues to find friends but was down 0.2% at the close, RIO and FMG eased slightly. Energy stocks fell after production reports from both STO down 1.1% and WPL down 2.3%. In other corporate news, BRN released news that developers could now buy their chips to trial. One cost $5k, the other $10k. HLS rose 4.4% after a positive update driven by CV19 testing. 29M fell 3.3% after its quarterly report. On the economic front, weekly payrolls and wages numbers out with a rise of 0.2% in the last two weeks up to 25th September. 10 -year yields fell 2bps to 1.79%.
- Winners: PPT, BRN, CIM, ADN, HLS, NIC, PWH, PEB.
- Losers: ABB, ERD, BOE, FLT, OML, CXO, ERA, ADH
- Positive sectors: REITs. Tech (just). Insurers.
- Negative sectors: Resources. Energy. Healthcare.
- High 7447 Low 7404.
- Big Bank Basket: Unchanged at $187.92.
- All-Tech index: Up 0.5%. APT up 0.1%.
- Gold: Up to AUD2377.
- Bitcoin: Slips to US$64967.
- Aussie Dollar: Slightly higher at 75.03c.
- 10-YEAR YIELD: Rallies to 1.79%.
- Asian Markets: Japan down 1.12%. Hong Kong down 0.57%. China up 0.29%.
- US Futures: Dow futures down 73. NASDAQ futures down 47.
STOCKS ON THE MOVE
- ALL +3.27% hitting highs as market loves UK deal.
- BRN +6.74% solid update and Akida kits are now available for developers. Cost $5k or $10k
- PPT +7.79% solid FUM update.
- CIM +5.85% new contract wins. Driving better outlook.
- HLS +4.40% CV19 boost to earnings.
- AMP +4.02% money exits slow. Turning the corner.
- NIC +4.29% nickel price rise.
- AEE +16.85% Ex entitlement.
- RHY +11.67% ColoSat test kits deliver consistent results.
- AOP +11.32% bid from GOIR.
- EGG +9.39% resignation of director.
- APA +0.12 % not happy with lack of access to DD.
- S32 +0.26% reaffirms guidance.
- ABB -6.40% broker downgrades slightly.
- FLT -5.82% fall out from earnings update.
- WEB -3.07% travel stocks under a little pressure.
- AHQ -15.52% Investor presentation.
- KCN -5.93% still waiting for Chatree resolution.
- TIE -7.45% drilling results. Buy the rumour.
- OML -5.06% profit-taking.
- CDM -1.40% TMC finds a hole in its finances. Not good news.
- CWN -0.53% hit with second strike.
- GQG – priced at $2 for biggest float of the year.
- Speculative Stock of the Day: Centrex Metals (CXM) +190.70% big volume as term sheet signed with Samsung C&T corporation for phosphate project.
IN THE NEWS
- Bluescope Steel (BSL) upgrades first-half underlying EBIT guidanceto $2.1-2.3bn vs prior $1.8-2.0bn. Management noting the business continues to benefit from strong spreads, prices and demand.
- Orora (ORA) will repurchase $150m of its own stock in an on-market buyback.
- Healius (HLS) increased revenue 44% in the September quarter, driven by COVID-19 testing. Quarterly revenue reached $690m, up from $480m. Pathology numbers were very strong with 40,000 CV19 tests a day.
- Transurban (TCL) – average daily traffic numbers fell 12.4% in the September quarter.
- Perpetual (PPT) – FUM increased to $101bn up 2.7%.
- Woodside (WPL) – Sales revenue was up 19% to $1.53bn.
- Santos (STO) – Quarterly sales record of $US1.14bn in the September quarter, a 6% increase on the same period last year. Net third-quarter production of 21.9m barrels. Debt down to US$3.1bn, gearing at 29.7%. Still awaiting approval to merge with OSH.
ECONOMIC NEWS/ BOND MARKETS
- NSW unveils a $3bn stimulus package. Gun club upgrades all around. $500m for dining and accommodation and another $739m for housing and social support.
- Weekly payroll jobs edged 0.2% higher in the two weeks ended September 25 in a positive move.
- Ivermectin poisonings had a big rise in August as the treatment for CV19 gained popularity. Vaccine would be better.
- Across the US, hundreds hit with onion poisoning linked to salmonella.
- Evergrande drops heavily after return to trade. The company scrapped talks to offload a stake in its property-management arm and said real estate sales plunged about 97% during peak home-buying season.
- Malaysian glovemaker Supermax fell by as much as 9% after US customs seized latex gloves made in Malaysia. The customs guys had information that “reasonably indicates” the use of forced labor.
- The grace period on the first bonds is due Oct 23rd. Hopson has pulled out of buying a stake in the property business.
- The Vice Premier Liu He said that the risks to the property market are controllable. So is a German Shephard in a bad mood.
US AND EUROPEAN NEWS
- Paul Tudor Jones that inflation is here to stay.
- European markets heading lower at the open.
- Donald J. Trump is launching his own social media platform to rival Twitter and Facebook. It will be called TRUTH.
- Former WeWork heads will be watching from afar as the company lists via a SPAC.
- Biden stepping up his efforts to sell the messy social infrastructure message to voters.
- Chelsea beat Malmoff 4- Nil in Champions League.
What’s the best thing about Switzerland?
I don’t know, but the flag is a big plus.
I can never take my dog to the park because the ducks keep trying to bite him.
I guess that’s what I get for buying a pure bread dog.
Please send me more material!!!!!