ASX 200 fell 121 points to 7042 (-1.7%). Another soggy end to the week. ASX 200 down 2.2% for the week. Losses across the board from the open, banks hit hard with the Big Bank Basket down to $168.52 (-1.5%) led lower by CBA down 1.7% and MQG down 1.3%. Insurers dropped despite a huge rise in yields, QBE down 1.1% and IAG off 1.0%. Fund managers suffering from some downgrades and MFG losses again of 3.3%. REITs slid on higher rates, GMG down 3.8% and SGP off 2.7% with commercial real estate valuations under pressure. Healthcare was supposed to be defensive, wasn’t. CSL down another 2.1%, RHC off 1.3% and SHL down 1.5%. Industrials fell back to earth everywhere. WES off 3.0%, WOW down 1.2% and TLS falling 0.9%. Tech stocks under some pressure, WTC down 2.3% and XRO down 2.0% with the All–Tech Index down 2.1%. Miners were hit hard. Iron ore down, BHP down 1.8%, RIO off 0.7% and FMG down 0.4%.Gold miners fell, NCM down 2.6% and NST down 3.8%. Lithium stocks were patchy. PLS down 3.8% and IGO falling 3.0%, LRS up 11.1% though. Oil and gas stocks drooped, WDS down 1.0% and STO off 1.5%. In corporate news, IAG provided a reinsurance update, RSG flagged record production and AIS withdrew guidance on some seismic issues. Nothing on the economic front as we await NFP tonight. Asian markets weaker, 10-year yields continue to soar up to 4.26%. Dow futures down 16 points. NASDAQ futures down 18 points.

HIGHLIGHTS

  • Winners: LRS, IFM, RRL, WBT, JDO, RDX
  • Losers: RSG, CTT, PMT, DYL, SQ2, WGX, PNI, CMM
  • Positive sectors: AMC.
  • Negative sectors: Everything else.
  • High 7143 Low 7024. Big range.
  • ASX 200 down 2.2% for the week.
  • Big Bank Basket: Lower at $168.52 (-1.5%)
  • All-Tech index: Down 2.1%
  • Gold Steady at $2884
  • Bitcoin: Eases to US$30,206
  • Aussie Dollar:  Eases to 66.35c
  • 10-Year Yield: Higher at 4.26%
  • Asian markets: Japan down 1% HK down 0.6% and China down 0.1%
  • US Futures: Dow down 16 Nasdaq down 18
  • European markets to open slightly higher.

MAJOR MOVERS

  • LRS +11.1% kicks higher.
  • JDO +1.6% annoyingly better.
  • WBT +1.1% still no reason.
  • PEB +5.9% kicks after the move yesterday.
  • DRO +10.9% charged up.
  • EOS +8.8% cash update.
  • SPL +4.9% No reason.
  • PMT -7.4% sellers move in. Short report somewhere.
  • DYL-6.1% uranium stocks fall.
  • SQ2 -5.5% Affirm downgrades.
  • CTT -6.50% finally selling.
  • AIS -16.3% guidance withdrawn on production issues.
  • Speculative Stock of the Day: Golden Deep (GED) +57.1% identified high-grade Nosib Vanadium -Copper- Lead-Silver and significant intersections of Geraniums and Gallium.

COMPANY NEWS

  • Aeris Resources (AIS) – Has withdrawn its EBITDA guidance for financial 2023 due to production issues at its Jaguar and Mt Colin mines in Queensland.
  • Regis Resources (RRL) – Achieved a record year of gold production in FY23. The June quarter resulted in a cash and bullion build of $39m, and the company declared commercial production at Garden Well underground and Havana open pit.
  • Omni Bridgeway (OBL) – Announced commitments to fund investments worth $544.2m for the financial year ending June 30, resulting in an estimated portfolio value of $11bn.
  • Imugene Limited (IMU) – Announced that the Phase I clinical trial of its oncolytic virotherapy candidate, CHECKvacc, will proceed to the fourth dose cohort. The trial, being conducted at City of Hope, aims to evaluate the safety and efficacy in patients with metastatic triple-negative breast cancer.
  • Insurance Australia Group (IAG) – Secured a new five-year deal with reinsurer Hanover Re, completing agreements with all four major reinsurance partners for the next five to seven years, providing capital management certainty. The quota share arrangements cover 32.5% of gross claims costs, reducing the need to purchase 67.5% of the main catastrophe program in the reinsurance market.
  • Cromwell Property Group (CMW) – Aims to merge 15 property assets with a fund managed by Australian Unity Property Limited in a $1.1bn deal, with the intention of enhancing diversity and geographic distribution. The merger is subject to unit holder approval from the Australian Unity Diversified Property Fund’s responsible entity.
  • Renascor Resources (RNU) – Announced that drilling results confirm the extension of widespread, high-grade graphite mineralization over an area of more than 3 kilometers north of the Siviour Graphite Deposit in South Australia.
  • Sky Network Television (SKT) – Discovery have announced a multi-year agreement to extend their partnership, ensuring that Sky remains the home of HBO, Max Originals, Warner Bros and Discovery programming for New Zealand audiences.

ECONOMIC & OTHER HEADLINES

  • Must be school holidays. Petrol prices gone through the roof. Makes sense.

ASIAN MARKETS

  • Japan’s nominal base salary grew at the fastest pace in 28 years in May, government data showed today. Regular wages rose 1.8% in May from a year before, labor ministry data showed, the biggest gain since February 1995.
  • In May, household spending in Japan experienced a real-term decline of 4.0% compared to the previous year, surpassing market expectations of a 2.4% decrease. This marked the fourth consecutive contraction in household spending this year.
  • Samsung forecasts 96% quarterly profit fall to 14-year low due to chip glut.
  • China will ban the import of food from about one-fifth of Japanese prefectures for safety reasons. Japan talks another step closer to releasing Fukushima water.
  • China set to fine Ant Group US$1.1bn.

US AND EUROPEAN HEADLINES

  • European markets expected to open higher.
  • Thyssenkrupp Nucera begins trade in London today. Hydrogen company.
  • US NFP tonight. Yellen touches down in scorching heat in an overcoat.
  • Twitter threatens trade secrets lawsuit over Meta’s Threads app.
  • Shell update and write down.

And finally…..

I still think it’s disgusting that even after over 50 years later, people still don’t know who Neil Armstrong is and what trumpet he played!

Yesterday I bought an old Elvis record from the market “Wooden Leg”

I said to the store owner, “ I thought he sang Wooden Heart?”

He said…

“This is a pirate version”

Clarence

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