The ASX 200 rallies 68 points to 7393 (+0.93%) although well off its highs as some caution creeps in ahead of the FOMC meeting. Banks bounced back with WBC rising just 0.1% after a 10% fall, CBA up 1.2% and MQG rising 1.9%. The Big Bank Basket rose to $187.20 or 1.5%. 10-year yields fell back post-RBA to 1.82%, insurers were generally higher with QBE up 1.3%. Miners were good too led by BHP up 1.1% and FMG up 3.1%. The iron ore price stabilised in Asia giving bargain hunters a reason to be cheerful. Base metals were good too, IGO bounced 1.5% and LYC up 2.5%. Lithium stocks were still in favour as Glasglow continues to shine the light on EVs and renewables. ORE higher by 6.7%, PLS up 5.4% and MIN up 3.9%. Even VUL managed a gain today bouncing 6.5%. Healthcare stocks were better as CSL put on the ritz up 0.9% and FPH up 2.0%. Industrials firmed but hardly runaways, WOW up 0.9% and COL up 1.7%. Tech slipped slightly led by a fall in APT by 0.1% and WTC off 1%. The All-Tech Index dropped 0.1%. In corporate news, AMP rose 9.3% after more asset sales, TYR dropped 15.0% on its AGM, PAR surged 22.8% on FDA approvals for its ongoing trials and PDI rose 8.1% on more promising drill results in Guinea. TLS unchanged on a defence contract renewal, not something that happens currently.
- Winners: AMP, PPS, LKE, IMU, ORE, VUL, CXL, JRV.
- Losers: TYR, JDO, ERA, BLX, SGF, OCL, BLY, RBL.
- Positive sectors: Banks. Miners. Industrials. Healthcare.
- Negative sectors: Tech.
- High 7432 Low 7337.
- Big Bank Basket: Up to $187.20 (1.5%).
- All-Tech index: Unchanged. APT down 0.1%.
- Gold: Higher at AUD2403.
- Bitcoin: Higher at US$63115.
- Aussie Dollar: Falls to 74.36c.
- 10-YEAR YIELD: Flops back to 1.88%.
- Asian Markets: Japan closed for a holiday. Hong Kong down 0.91% and China closed too.
- US Futures: Dow futures down 42. NASDAQ futures down 8.
STOCKS ON THE MOVE
- BHP +1.07% enters agreement with Wyloo for NORONT.
- PPS +8.77% higher bid coming?
- AMP +9.30% asset sales continue.
- VUL +6.48% solid bounce.
- ORE +6.71% LKE +8.60% PLS +5.43% lithium winners.
- CXL +5.95% resumes uptrend.
- PAR +22.82% FDA approval.
- ALU +2.76% Bell Potter upgrades on renewed bid hopes.
- CAE +23.44% placement optimism.
- AGY +12.50% lithium in favour.
- CBA +1.17% goes all crypto.
- AZL +17.39% speculative stock of the day yesterday. Going like a train.
- TLS – Defence renews this contract. Not a submarine one clearly.
- MNS -3.67% profit taking.
- RBL -3.88% burst.
- NTO -3.71% ceasing to be a substantial shareholder.
- ICT -8.33% on The Call.
- HUO-0.27% High Court nod for takeover.
- JDO -7.26% chopped back with an Harua.
- BUB -4.31% executive leadership team update.
- CHL -5.63% change in substantial holding.
- AMC +0.75% resin and other input charges rise.
- Speculative stock of the Day: Renergen Limited (RLT) +29.89% on its Virginia gas project reserves and resources update.
ECONOMIC NEWS/ BOND MARKETS
- New Zealand’s unemployment rate fell to its lowest level in almost 14 years in the third quarter. The jobless rate dropped to 3.4% from 4%.
- Eclipx (ECX) has said that the new vehicle supply shortage will last into late next year. High prices for second-hand cars is likely to stay for a while.
- Colorado could come close to running out of hospital beds in late November or early December if infections accelerate.
- Zero tolerance China has seen another 109 cases today on the ‘mainland’. Many cases a mystery.
- The PBoC added 50 billion yuan (US$7.8bn) in the financial system with seven-day reverse repurchase agreements. The yield on 10-year government bonds fell two basis points to 2.92%, the lowest level in more than three weeks.
- South Korea’s largest mobile payments app, Kakao Pay Corp, more than doubled in its debut in Seoul. Shares surged more than 150% in early trading on Wednesday.
- Fabulous graphic on the state of the Chinese property developers.
US AND EUROPEAN NEWS
- FOMC tonight. Will Fed follow Lowe?
- US sues in an attempt to stop the merger of Penguin Random House and Simon and Schuster.
- Pfizer raises 2021 sales forecast for CV19 to $36bn.
- Avis has gone nuts after its result surge. One NY Hedge fund is going to clean up with a 27.7% holding in the car rental company.
- Republicans win back Virginia as newcomer Youngkin takes the state with Biden seen on the nose. ‘Let’s go Brandon’ is something you will hear more of. Not good news for Biden.
- COP (out) 26 continues but leaders flit out.
And finally…Look away children