ASX 200 rose another 23 points to 7258 (+0.3%) in another solid day. Once again, banks led us higher, with the Big Bank Basket up to $185.04 (+0.8%). WBC leading the charge. MQG had a good day up 1.5%, but insurers slid, with IAG down 3.2% and SUN off 1.0%. REITs were mixed, GMG bouncing nicely, SCG down 1.1%. Healthcare also picking up, CSL up another 1.1% and RMD doing ok, up 1.2%. Tech stalled and industrials a little flat, WOW down 0.7% and EDV down 1.0%. TCL picked up 0.2% on lower rates. Resources once again dominated by iron ore stocks, with FMG up 1.3% to an all-time high, BHP rose 0.7% and RIO up 0.8%. Lithium stocks flat, gold miners under pressure again, NST down 1.1% and NEM off 2.8%. Sentiment turned full circle in a week. Oil and gas stocks fell, WDS off 1.1%, and STO down 0.1%. Not even a merger could save them today. In corporate news, SIG returned to trade up 40.00%, having raised $400m to fund operations and get the Chemist Warehouse deal done. AIZ fell 2.5% on a downgrade. On the economic front, the Albanese government released the MYEFO, no real surprises and no real stimulus or help for those suffering from cost-of-living pressures. In Asian markets, Japan up 0.2%, China off 0.5% and HK off 0.7%. Dow Futures up 42 points. NASDAQ Futures up 34 points.

HIGHLIGHTS

  • Highs: SIG, NEU. SLX, PNV, TUA, AD8
  • Lows: ADT, CHN, PTM, CUV, WC8, IEL, WBT
  • Positive sectors: Banks. Financials. Healthcare. Iron ore
  • Negative sectors: Lithium. Gold miners. Oil and gas.
  • ASX 200 Hi 7271 Lo 7234.
  • Big Bank Basket: Better at $185.04(+0.8%)
  • All-Tech Index: Unchanged.
  • Gold: Steady at $3019
  • Bitcoin: Falls to US$40884
  • 10-year yields drop to 4.27%
  • AUD: Lower at 65.54c
  • Asian markets slipped, Japan up 0.3%, China off 0.9% and HK off 0.7%.
  • US futures: Dow futures up 45 Nasdaq up 33.

MAJOR MOVERS

  • SIG +40.0% Chemist Warehouse deal ignites.
  • NEU +6.5% continues higher. M&A target?
  • SLX 6.1+% uranium news on enrichment.
  • AD8 +4.9% rally continues.
  • CKA +4.2% first sale of coal
  • SMI +8.9% New management appointments.
  • ADT -9.1% base metals under pressure still.
  • CHN -5.4% no brew that is true here.
  • SYA -3.5% whacked again on technical.
  • WC8 -5.0% another life gone.
  • IEL -4.4% immigration changes.
  • APX -12.5% disappearing.
  • 4DX -12.0% capital raising weighs.
  • WR1 -11.3% lose some again.
  • AGY -13.8% lithium depressed. Argentinian peso devalued.
  • Speculative Stock of the Day: Nothing on any volume today.

COMPANY NEWS

ECONOMIC AND OTHER HEADLINES

  • Treasurer Jim Chalmers, updated the bottom line for this financial year from a $13.9bn deficit forecast in the May budget, to a tiny deficit, of $1.1bn. Finance Minister Gallagher has found $9.8bn in savings since May.
  • The MYEFO shows little variation in key parameters since May. Inflation forecast remain unchanged with MYEFO predicting CPI to fall to 2.75% next financial year

Local employee earning data released: Key statistics

  • Median employee earnings was $1,300 per week, up $52 (4.2%) since August 2022.
  • Median hourly earnings was $39.50 per hour, up $2.50 since August 2022.
  • FOMC will dominate headlines tonight. Dot plots and Q&A the focus.
  • Only 10 EV models in the US are allowed the full tax credit next year.
  • China’s top leaders, including President Xi Jinping vowed to make industrial policy their top economic priority next year.
  • SpaceX will sell insider shares at $97 apiece in a tender offer, a price increase that boosts the value of Elon Musk’s space and satellite company closer to $180bn.
  • Argentina devalued the peso by 54%, overhauled its crawling peg and announced massive spending cuts. The government will slash spending equivalent to 2.9% of GDP.
  • Netflix reveals viewing data across entire catalogue for the first time.
  • Biden says US will back Ukraine ‘as long as we can.’
  • Fed should stress test US banks for China war risk, House panel says.

And finally……

Me: Oh no, there’s a wolf?
Pal: Where?
Me: No, just a normal one

I’ve just been offered a 60″ LED TV with the volume stuck on the maximum setting for $10. I mean, how can I turn that down?

Clarence

XXXX