The ASX 200 kicked off the week in style rising 20 points to 7514 (+0.3%). Off highs at the close. Miners and material stocks led the way higher with BHP up 0.1%, FMG up 3.0% and lithium stocks in strong demand again. SYA up 32.0%, LTR up 9.0% and PLS up 5.5%. Gold stocks slightly better too despite falls in bullion, NCM up 0.9% and DEG up 6.9%. Energy stocks slightly firmer, STO up 0.3% and WPL better by 1.0%. Healthcare better with CSL leading the charge up 0.5% with RMD up 0.8%. Industrials uninspiring ALL down 3.0%, MGR up 2.8%, REA up 1.3% and tech firmer. XRO up 2.3% and WTC rallying 1.2%. The AllTech Index up 0.9%. Banks eased back with the Big Bank Basket back to $186.82, MFG gained 9.7% on hopes for industry consolidation. Insurers unchanged. In corporate news, DGO up 15.3%, saw a bid from GOR with an all-share deal and PPT lobbed a bid for PDL up 18.1%, worth around $2.4bn. 1 for 7.5 PDL plus 167c in cash. On the economic front ANZ job ads for March up 0.4% and MI Inflation gauge for March up 0.8% in the month to be up 4.0% in annual terms. Asian market quiets as China has a holiday until Wednesday. Japan up 0.5% and HK up 2%.10-year yields better at 2.83%.

End of Day Podcast – Monday, April 4

Major Movers:

  • Winners: SYA, PDL, ASM, RNU, ARU, TLX, PAN, MFG
  • Losers: AIZ, MAD, SIG, PPT, SMR, PPH, PWR, IMU
  • Positive sectors: Iron ore. Lithium. Battery tech. Explorers. Tech
  • Negative sectors: Banks
  • High 7537 Low 7508 Narrow range ahead of RBA
  • Big Bank Basket: Falls to $189.96
  • All-Tech index: Up 1.1%
  • Gold: Falls to $2555
  • Bitcoin: Falls to US$46161
  • Aussie Dollar: Falls to 75.13c
  • 10-Year Yield: Better at 2.83%
  • In Asian trade, HK up 2% China closed and Japan up 0.5%
  • US Futures: Dow up 46 – Nasdaq up 22

Stocks on the Move

  • SYA +32.00% positive NVX tests reaffirm Authier product quality.
  • PDL +18.08% bid from PPT.
  • RNU +12.90% punters are back
  • ARU +12.50% rare earths exposure.
  • MFG +9.71% PDL bid rubs off.
  • LTR +9.00% lithium stocks continue to roar.
  • LRS +27.59% another strong day.
  • AZL +33.33% popping up on the radar.
  • TLX +10.07% GMS and Monash awarded $23m in federal funding.
  • DGO +15.33% GOR recognises value and bids in share deal.
  • RHY +19.73% Study 7 confirms ColoSTAT meets primary endpoint.
  • PBH +2.48% takes first bet in Canada.
  • PAN +10.00% third shipment from Savannah.
  • AIZ -22.61% flaps down prepare for hard landing.
  • HM1 -3.74% Weekly NTA.
  • PPT -6.60% bids for Pendal.
  • MAD -9.52% walloped. Good run though.
  • HMX -4.00% broad Cu-Au zones along Trafalgar trend.
  • IPO of the Day: Top End Energy (TEE) +77.50% solid first day. Limited volume.
  • Speculative stock of the Day: Golden Deeps (GED) +76.92% decent volume after exceptional copper-vanadium intersection at Nosib.

In the News

  • Janus Henderson (JHG) – Legal disclosures filed late on Friday reveal that New York-based activist investor Trian Partners bought another 682,514 shares in ASX-listed asset manager Janus Henderson last week for about $24.3m.
  • Perpetual (PPT) – has lobbed an offer for rival asset manager Pendal Group (PDL) of 623c.
  • Iluka Resources (ILU) – approves final investment decision for rare earths refinery.
  • Virtus Health (VRT) – update on CapVest transaction, to pay a fully franked special dividend of up to 44c. A meeting to allow shareholders to vote on the scheme is currently anticipated to be held in June.
  • Gold Road Resources (GOR) – launches recommended off-market scrip takeover offer for DGO Gold (DGO) at an implied value of 355c. 2.16 GOR for every DGO.

Best and Worst

Economic News/Bond Yields

  • ANZ job ads for March up 0.4%.
  • MI Inflation gauge for March up 0.8% in the month to be up 4.0% in annual terms.

Asian Markets

  • Chinese CV19 outbreak worsens. The country added more than 13,000 daily infections, with state media reporting a case infected with a new subtype.
  • Carrie Lam will not seek a second term in HK.
  • Chinese markets closed for two-day holiday.

US and European News

  • EU preparing fresh sanctions against Russia.
  • Viktor Orban wins another term as Hungary’s PM.
  • Fed’s Daly says case for a 50bps rise in May has risen.
  • Macron warns he could lose French election to the Far Right.

And finally……