ASX 200 closed up 14 points to 7325 in a large surge. For the week the index dropped 1.1%. Banks held steady despite the ACCC knocking back the ANZ/SUN deal, The Big Bank Basket relatively unchanged at $(). MQG was slightly better up 0.8%, but REITs hit hard once 10-year yields continued to rise. Defensive healthcare stocks under pressure. CSL down 0.7% and RMD tumbled 9.3% after disappointing results. Industrials drifted higher at the close, WOW unchanged, COL off 0.2% and TLS falling 0.5%. Tech stocks finished better led by XRO up 1.5% and WTC up 1.9%. Oil and gas stocks continue to drift higher as crude rising on production cuts. Iron ore miners shrugging off negativity and lower AUD with BHP up 1.1% and RIO rising 0.8%. Lithium stocks mixed and gold miners eased, NST down 2.3%. In corporate news, MSB collapsed 56.9% on an FDA update, SQ2 also fell hard on results down 5.8%.   On the economic front, China has lifted tariffs on Barley after a three-year absence. The RBA SOMP was released with a downgrade to growth forecasts, with GDP now at 0.9% in the year to December 23. In Asian markets, China and HK up around 1% with Japan flat. 10-year yields 4.18%.

HIGHLIGHTS

  • Winners: AZS, LRS, MYR, SWM, STX, DDR, KAR
  • Losers: MSB, RMD, SQ2, RED, ARU, VUL, GMD
  • Positive sectors: Oron ore. Oil and gas. Tech. Banks.
  • Negative sectors: Healthcare. REITs.
  • High 7325 Low 7285 ASX 200 down around 1.1% for the week.
  • Big Bank Basket: Unchanged at $177.25
  • All-Tech index: Up 0.3%
  • Gold drifts to $2946
  • Bitcoin: Steady at US29229
  • Aussie Dollar:  Falls at 65.71c
  • 10-Year Yield: Breaks up to 4.18%
  • Asian markets: Japan flat HK up 1.2%, China up 1.0%
  • US Futures: Dow up 76 Nasdaq up 89.
  • European markets looking at a mixed opening. US NFP in focus. 200k and 3.6%, the headline forecast.

MAJOR MOVERS

  • AZS +22.6% good results Andover fist.
  • LRS +10.5% trying hard again. Succeeds.
  • DDR +4.7% business update.
  • CTT +2.9% Barrenjoey upgrades.
  • CCX +28.1% disposal of non-core business.
  • DMP +4.0% broker upgrade.
  • IGL +7.0% broker upgrade.
  • ASM +7.0% doing fine.
  • MSB -56.9% FDA news.
  • RMD -9.3% disappoints on Q4 results.
  • SQ2 -5.8% not so hip to be on results.
  • PMT -3.8% Ablemarle becoming a substantial shareholder.
  • ARU -5.3% sliding again.
  • HZR -% prospectus despatch.
  • Speculative Stock of the Day: Raiden Resources (RDN) +50.0% announcement a few days ago on high-grade pegmatites adjacent AZS Andover.

HEADLINES

ASIAN MARKETS

  • China’s Ministry of Commerce said on Friday it would drop anti-dumping and anti-subsidy tariffs on Australian barley imports that had been in place for three years, affecting billions of dollars of trade, as the two nations repair strained ties.
  • China and Australia agreed in April to resolve their dispute over barley imports, with Canberra to suspend a case at the World Trade Organisation (WTO) over Beijing’s anti-dumping and countervailing duties on barley, while China promised to speed up a review into the tariffs.
  • In its latest Statement on Monetary Policy, the RBA downgraded its near-term growth forecasts as the economy cools in response to the fastest interest rate tightening cycle in decades.
  • Foxconn plans to increase its investments to more than $1.2bn in southern India’s Karnataka state and add two component factories there.

US AND EUROPEAN HEADLINES

  • Economists expect that nonfarm payrolls increased by 200,000 in July, a number that would be the smallest gain since December 2020. Unemployment is projected to hold steady at 3.6%.
  • US Average hourly earnings are expected to increase 0.3% for the month and 4.2% from a year ago.
  • KKR in talks to buy publisher Simon & Schuster for more than $1.6bn.
  • Donald Trump pleads not guilty in 2020 US election case. Declaring it “a great honour” to be charged for “having challenged a corrupt, rigged and stolen election”.

And finally….

The Surest Sign
That Intelligent Life Exists
Elsewhere In The Universe
Is The Fact That It Has Never Tried To Contact Us.

When I Read About The Evils Of Drinking….
I Gave Up Reading.


Answering machine message, “I am not available right now,
but thank you for caring enough to call.
I am making some changes in my life.
Please leave a message after the beep.
If I do not return your call,you are one of the changes.”

Clarence

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