ASX 200 closes down 7 to 7606 (-0.1%) in an anaemic bounce snuffed out at the close despite better US futures. Nerves surrounding Israel continue. Banks staged a slight recovery as BOQ beat forecasts despite a dividend cut, up 5.2%. The Big Bank Basket rose slightly to $199.04 (+0.2%). MQG slid another 1.0% with insurers finding friends as QBE rose 1.4% and SUN up 1.3%. REITs mixed too with GMG up 0.5% and SGP down 0.7%.  Healthcare mixed CSL down 0.8%, with RMD up 0.7%. Industrials were generally firm but uninspiring. WES up 0.7%, WOW and COL barely changed. Tech was better, with the All-Tech Index up 0.1% as XRO rose 0.7%. Retailers bouncing back too. In resources, BHP weighed in iron ore with a 1.2% loss. Gold shares finally perked up, with EVN shooting 7.5% higher on production numbers and falling AISC. Lithium stocks also slightly higher and LYC up 5.9% on Hancock stake. RNU up 26.5% in the graphite space after a government loan to develop Siviour. Oil and gas remain under pressure in the majors. Coal stocks slightly higher. In corporate news, RIO disappointed slightly with production numbers, DRO soared 18.5% on NATO news on drone orders. In economic news, nothing locally, Asian LNG prices hit highs not seen since January. Asian markets still suffering from the strong USD. Japan down 1.3%, China up 1.4% and HK off 0.5%. 10Y yields higher again at 4.38%. Dow Futures down 55 points. NASDAQ Futures down 82 points. 

HIGHLIGHTS

• Winners: DRO, EVN, A4N, AGL, LYC, JMS, SMR
• Losers: BLD, BLX, BOE, VSL, JHX, MAC, MSB
• Positive sectors: Insurers. Gold miners. Utilities.
• Negative sectors: Oil and gas. Healthcare. Iron ore.
• ASX 200 Hi 7637 Lo 7597
• Big Bank Basket: Down to $199.04 Down 0.2%
• All-Tech Index:  Up 0.1%
• Gold: Falls to $3709
• Bitcoin: Better at US$63,932 – Halving event soon.
• 10-year yields higher around 4.38%.
• AUD: bounces off 64c to 64.12c
• Asian markets: Japan off 2.0%, HK down 1.7% and China falling 0.7%.
• Dow Futures down 47 Nasdaq futures down 82

MAJOR MOVERS

• DRO +18.5% NATO deal opens door.
• EVN +7.5% good quarterly report, AISC coming down.
• A4N +6.7% Albo support for Stage 2.
• DEG +5.5% finally some move higher.
• ADT +4.6% Polymetallic play in Bosnia.
• NXS +9.2% preliminary results of XPERIENCE
• SMI +10.2% scoping study presentation.
• PDI +12.5% should have seen that rebound coming.
• BLD -4.5% ex dividend.
• ZIP -0.8% fallout from 3Q results yesterday.
• MAQ -2.5% back from cap raise at 7250c.
• ASM -18.4% capital raising – placement at 116c.
• 88E -20.0% investor presentation.
• Speculative Stock of the Day:  RNU +26.5% $185m loan facility for the development of the Siviour graphite concentrate operation.

COMPANY NEWS

ECONOMIC AND OTHER HEADLINES

• Australia pledges to raise defence spending by $32bn to ‘resist coercion’.
• Morgan Stanley plans to start cutting about 50 investment-banking jobs in the Asia-Pacific region this week, with at least 80% of the reductions in Hong Kong and China.

• Chinese electric car company BYD is rapidly expanding its lineup to include vehicles that compete with automakers across market segments. BYD unveiled three new cars for its Fang Cheng Bao brand: an off-road “Leopard 8” SUV, a “Super 3″ SUV geared toward city driving and a “Super 9” sports car (above).
• The US will impose new sanctions on Iran targeting the country’s missile and drone program.
• Trump falls $75mn behind Biden in money race as donor base shrinks.
• Bitcoin is ‘halving’ this week. The aim is to reduce the pace at which new bitcoin enters the market since, unlike fiat money, there will always only be 21m bitcoin.
• ASML posts weaker sales in first quarter and talks ‘transition year’. Sticks to guidance.
• UK CPI Core up 4.2%, Headline CPI up 3.2% Y/Y v 3.4% in February. Services CPI up 6% Y/Y.

And finally…..

Clarence

XXX