Market clings to 6900

Clings to 6900…..

ASX 200 managed to cling to 6900 falling 81 (1.2%) points today. Across the board selling as yields and geo-political events take centre stage. ASX 200 down 2.1% for the week.  10-year yields stable at 4.74% with US rates breaching 5.00% briefly. Banks sold off with CBA down 1.0% and NAB down 1.6%. Banks have been very good performers this month ahead of results but profit taking creeping in. The Big Bank Basket down to $173.53 (-1.2%%).  MQG dropped another 1.5% with insurers easing despite higher yields. REITs under some pressure as GMG fell 1.6% and GPT down 1.3%. Healthcare down with the exception of RMD which continues to buck the trend. Industrials weak, WES down 0.8% , TLS falling 1.6% and tech in trouble with the All –Tech Index down 1.2% with WTC off 2.6%. In resources, iron ore miners fell back a little again, BHP down 1.8% and FMG off 2.2%. Lithium stocks under pressure with MIN off 2.4% and AKE falling 3.9%. LTR though took the spotlight with a massive 32.0% loss as it returned to trade and no sign of Gina. Gold stocks eased too after a good week, oil and gas mixed, STO up 1.9% on a broker upgrade and WHC slightly higher again on broker comments. In corporate news, LRS in a halt pending a capital raise, IFL fell 12.8% on CEO resignation, ALX fell to a two year low on US traffic data, QLD has intervened to get the SUN/ANZ deal done and BSL cut guidance. Nothing significant on the economic front. Asian markets weak, Japan down 0.2%, China off 0.2% and HK off 0.4%.

HIGHLIGHTS

  • Winners: WBT, MGX, IMD, NCK, KMD, PDN, CCP
  • Losers: LTR, IFL, A4N, AWC, TLX, KGN
  • Positive sectors:
  • Negative sectors:
  • High 6961 Low 6878 ASX 200 down 2.1% on the week.
  • Big Bank Basket: Higher at $173.53 (-1.2%)
  • All-Tech index: Down 1.1%
  • Oil pushes higher in Asian trade
  • Gold: Better to $3129. Record highs.
  • Bitcoin: Better at $29217
  • Aussie Dollar:  A little firmer at 63.12c
  • 10-Year Yield: eases to 4.74%
  • Asian markets weaker Japan down 0.2%, China off 0.2% and HK off 0.4%.
  • US Futures: Dow down 7 Nasdaq down 38.
  • European markets looking at losses across the board.

MAJOR MOVERS

  • WBT +13.3% kicks again after foundry deal.
  • EVN +2.2% gold winner.
  • STO +1.9% broker upgrades.
  • NCK +4.1% broker upgrades.
  • WC8 +7.0% purring along again.
  • MGX +6.7% quarterly report.
  • LTR -32.0% capital raise sinks the lion.
  • IFL -12.8% CEO resignation.
  • TLX -8.7% broker downgrades.
  • AWC -9.0% slipping away still.
  • KGN -7.4% buy-back notification
  • A4N -12.2% reverses this week’s gains.
  • Speculative Stock of the Day: Nothing on any volume.

COMPANY NEWS

HEADLINES

ASIAN MARKETS

  • Japan’s inflation rate reached a one-year low in Sep-23, with an annual rate of 3%.
  • US and European fund managers have sold a net US$1.6nm of Chinese shares so far this month.

US / EUROPEAN HEADLINES

  • UBS is poised to start its next wave of job cuts at Credit Suisse, this time targeting about 10% of support staff.
  • Biden’s address to the nation focuses on Russia and threats from Hamas. Asks Congress for US$100bn.
  • ChatGPT parent OpenAI seeks $86bn valuation.
  • Late payments rise on US loans tied to inflated pandemic credit scores.
  • Blackstone warns of looming hit to consumers from surge in bond yields.
  • Ex-Trump lawyer Sidney Powell pleads guilty in 2020 US election interference case.
  • Country Garden Default Is All But Official, Restructuring Looms.

And finally….

Clarence

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