ASX 200 closed up 41 points at 6934 (+0.6%) in a quiet day as banks fell and resources rose. A solid day for resources which despite no easing in China, managed to do well. Asian markets better too helping. BHP up 5.0%, RIO up 3.8% and FMG rallying 4.9%. Gold miners were back in fashion despite no movement at all in AUD bullion pricing. NCM up 4.2% and NST rising 6.1% with second liners doing well, DEG up 6.2% and RMS ahead by 6.6%. Lithium stocks were modestly higher with LYC doing well up 3.0% and IGO up 2.2%. Energy stocks mixed as WDS gained 2.6% and STO flat. Coal stocks a little flat after CRN fell 7.1% on no merger with Peabody announcement.  Banks were the weak spot today, ANZ and MQG ex-dividend didn’t help but WBC underdelivered falling 3.9%. The Big Bank Basket falling to $182.33 (-2.1%). Insurers held up, MPL rose 0.4% after saying it would not pay a ransom. Healthcare was mixed, CSL better but RMD dropping 3.3%. Industrials flat, tech eased as CPU fell 0.7%, WTC down 5.8% and XRO dropping 2.1%. REITs are slightly better. In corporate news, WBC results today, ARU rose 13.1% on a binding offtake agreement, IMU fell 2.5% in a European patent being granted and ECX fell 5.9% on results and a new CEO. Nothing on the economic front as COP 27 kicks off in Egypt. In Asia, Japan up 1.3%, China up 0.5% and HK charging ahead by 3.4%. Dow Futures down 34 points

HEADLINES

• Winners: ARU, A11, CMM, MCR, EVN, WAF, 29M.
• Losers: CRN, ECX, WRC, SGF, ANZ, ALU, SWM
• Positive sectors: Iron ore. Gold. Lithium. Base metals.
• Negative sectors: Banks
• High 6943 Low 6908.
• Big Bank Basket: Closed down at $182.33(-2.1%)
• All-Tech index: Falls 1.3%.
• Gold steady at $2575
• Bitcoin: Steady at US$20,343
• Aussie Dollar: Lower at 63.48c after run above 64c.
• 10-Year Yield: Steady at 3.92%
• Asian markets: Japan up 1.1%, China up 0.3% and HK charging ahead by 3.1%.
• US Futures: Dow down 35 Nasdaq down 23
• European markets set to open slightly weaker.

MAJOR MOVERS

• ARU +ARU% binding offtake agreement.
• A11 +12.87% kicking after Ausbiz interview.
• LKE +6.51% appoints Karen Greene as SVP to IR.
• CMM +10.00% Mt Gibson resource increased to 2.8m ounces.
• DMP +6.2% shorts covering.
• GOR +6.84% DEG +6.19% RMS +6.62% golds rally.
• BVS +16.67% bounces on director’s buying.
• NOV +43.24% gets banking licence.
• CHR +31.82% drilling approvals.
• TKM +37.50% high grade lithium assays.
• ECX -5.85% results and CEO transition.
• CRN -7.05% no more Peabody talks.
• ANZ -4.59% Ex Dividend and some.
• WBC -3.94% results disappoint.
• SGF -4.95% change of director’s interest
• TYX -26.19% lithium mineralisation intercepted.
• COB -9.09% placement and entitlement issue.
• WTC -5.78% global growth slowdown.
• Speculative Stock of the Day: Winsome Resources (WR1) +34.46% one from last week kicking again on ASX ‘Please Explain’. Big volume too.

IN THE NEWS

• National Australia Bank (NAB) – The Federal Court has found NABwas engaged in unconscionable conduct in relation to periodic payment fees between 2015 and 201, overcharging 5,787 customers a total of $365.5 thousand.
• Westpac Group (WBC) – Reported an increase of net profit by 4% to $5.694bn year on year. Beating a Morgan Stanley consensus by $20m. WBC also reported that they are expecting a headwind in the coming year as rates continue to increase and consumer behaviour remains unpredictable. They believe they are well positioned with 68% of customers ahead of their mortgage repayments. Finished down 3.9% as the market was disappointed by the results. Dividend 64c fully franked.
• GQG Partners (GQG) – Has reported an increase in FUM to $US83.8bn. This is an increase of US$4.6bn in the last month.
• Coronado Global Resources (CRN) – Ceases merger talks with Peabody regarding a possible $9bn merger between the two companies after the Q4 release last week. Remains focused on existing capital management plans.
• PolyNovo (PNV) –Has announced a disruptive move to enter the Indian market coinciding with the Annual Association of Plastic Surgeons of India Conference.
• Medibank Private (MPL) –  says it will not make a ransom payment to the criminal responsible for the data breach.
• Star Entertainment (SGR) –  has been served by Maurice Blackburn with a statement of claim for a securities class action in the Supreme Court of Victoria. The claim alleges that between March 29, 2016 and March 16, 2022, The Star made misleading representations about its systems and processes for compliance with anti-money laundering and counter-terrorism financing obligations.
• Bravura Solutions (BVS) – chair Neil Broekhuizen discloses the purchase of 636K shares.
• Novatti (NOV) – announced its dedicated banking subsidiary International Bank of Australia (IBOA), has been granted a Restricted Authorised Deposit-taking Institution (RADI) licence by Australia’s banking regulator, the Australian Prudential Regulation Authority (APRA). The banking business will launch as the International Bank of Australia.
• Suncorp (SUN) – Has released a report regarding the impact of natural hazard claims incurred over this financial year within Australia and New Zealand with the total estimated net cost being between $470m and $530m. Suncorp’s natural hazard allowance for FY23 is $1,160m. On the back of this news, Suncorp shares have sunk slightly lower down 0.4% at the close. 

ECONOMIC NEWS

• National auction clearance rates hit a five-month high this week and Sydney hit a six-month-high. CoreLogic recorded a 63.7% preliminary clearance rate across the combined capital cities, a healthy 3.8% up on the previous week and the best result since late May.
• The head of the Fair Work Commission, Justice Iain Ross, has resigned after more ten years in the job.

ASIAN MARKETS

• China’s exports fell by 0.3% in October from a year ago, missing Reuters expectations for a 4.3% increase.
• Imports fell by 0.7% in U.S.-dollar terms, also missing expectations for slight growth of 0.1%.

• Inflation pressures easing.

• China recorded 4,420 new locally transmitted Covid-19 infections on Saturday, the National Health Commission said, the most since May 6 and compared up from 3,659 new local cases a day earlier.
• Apple has warned COVID-19 restrictions at its iPhone assembly facility in Zhengzhou, China, have temporarily affected iPhone 14 Pro and iPhone 14 Pro Max production.
• In HK, the Centaline gauge of secondary home prices fell 2% in the week ending Oct. 30 from the previous week, the most since March 2016.

US AND EUROPEAN HEADLINES

• US midterms beckon. Tuesday 8^th November.
• COP27 kicks off in Egypt. Warmest eight years on record and rising sea levels.
• US oil producers reap $200bn windfall from Ukraine war price surge.
• Elon Musk now hiring back some of the workers he has just fired. Netflix looking at a new series.
• Meta could begin to carry out large-scale layoffs as soon as Wednesday, according to a report from the Wall Street Journal.

And finally…..

I was leading a group of celebrities on an outdoor survival course. The days activity was collecting moss to help insulate the shelter we built.

Naturally Mick refused to help.

My budgie broke his leg over the weekend so I made him a little splint out of matches. His little face lit up when he tried to walk…

Clarence

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