ASX 200 falls another 94 points to 7588 (-1.2%) as US markets fall ahead of FOMC meeting results. Banks eased with results in focus, NAB flat with the Big Bank Basket down to $201.58 (-0.4%). Insurers slipped, with QBE off 1.2% and SUN down 2.3%, with other financials easing MQG down 0.9%. REITS slipped slightly, GMG down 0.6% and SGP off 1.6% Industrials weaker, QAN down 1.2% on data breach issues, WOW sold out of 5% of EDV down 3.9% with COL up 1.1%. Retailers in some trouble, JBH down 1.9% and PMV falling 2.1%. Tech a little mixed, WTC down 4.3% and XRO up 0.9% with the All–Tech Index down 1.5%. Resources weak across the board as iron ore fell 1% in Asia,, BHP falling another 1.7% with FMG dropping 2.8%. Gold miners smashed on bullion falls, EVN down 3.5%, NST off 3.4%, and NEM down 2.1%. Oil and gas stocks in trouble on crude falls, WDS down 2.6% and STO falling 2.1%. In corporate news, quarterly results and a slight upgrade for AMC up 4.6%, AVZ will delist in a $2.8bn blow to existing shareholders. NXG in a halt on a capital raise, VCX reaffirmed earnings guidance, and QAN dipped 1.19% on a potential hack on their frequent flyer app. On the economic front, nothing significant. Asian markets holding up relatively well. 10-year yields 4.51%. Many European markets closed for May Holidays. Dow Futures down 5 points. NASDAQ Futures down 65 points. 

HIGHLIGHTS

• Winners: MSB, BMN, CU6, DYL, WA1, PDN, AMX, STX
• Losers: CRN, EMR, RED, OBM, RMS, RRL
• Positive sectors: Uranium.
• Negative sectors: Everything else.
• ASX 200 Hi 7647 Lo 7557
• Big Bank Basket:  Down to $201.58(- 0.4%)
• All-Tech Index:  Falls 1.5%.
• Gold: Falls to $3533 as tensions ease.
• Bitcoin: Falls to US$60223
• 10-year yields rally to 4.51%.
• AUD: Falls to 64.70c
• Asian markets:  Japan down 0.5%, China down 0.3% and HK flat.
• Dow Futures down 5 Nasdaq futures down 65.

MAJOR MOVERS

• MSB +11.1% brokers warm following quarterly update.
• BMN +9.7% PDN +5.0% and DYL +6.5% uranium rally.
• SLX +4.3% US ban of Russian enriched product coming.
• WA1 +6.1% West Arunta assay results still driving price higher.
• RHK +14.3% Blacksmith PFS and Maiden Ore reserve.
• ASN +9.5% Binding offtake term sheet with LG energy solution.
• TCG +11.8% issue of securities. $18m raised at 16c.
• EL8 +7.2% uranium rally.
• AVL unchanged. broker report.
• RED -7.8% change in substantial holding.
• RMS -6.7% PRU -5.6% RRL -5.9% bullion falls.
• 88E -25.0% cleansing statement.
• Speculative Stock of the Day: Rincon (RCR) +27.3% big volume as RC drilling commences at West Arunta project.

COMPANY NEWS

ECONOMIC AND OTHER HEADLINES

• Rabobank expects two rate increases this year. It no longer expects any cuts in 2024 or 2025.
• Employee households recorded the largest annual rise in living costs of all household types, with a rise of 6.5%, down from the peak of 9.6% in the June 2023 quarter.
• Fed decision tonight. The options market is more concerned about a potentially big move in the S&P 500 Index off the meeting than it’s been at any point in almost a year.

• The last time traders priced in an FOMC-day move this wide was in May 2023, data compiled by Citigroup show.
• Tesla eliminated almost its entire Supercharger organisation, which has built a vast network of public charging stations that virtually every major automaker is in the process of tapping into in the US.
• Novo’s market capitalization of more than $570bn is bigger than the Danish economy. It paid US$2.3bn in income tax last year and pushed GDP up by 2%. Interestingly Novo quietly reduced prices for Ozempic in Denmark by nearly a third this week.
• New York police storm Columbia and arrest pro-Palestinian protesters.
• Huge supply shortages put cocoa market under strain.
• European markets affected by May Day holidays. UK Open.

And finally…..

A man sees a sign outside a house – ‘Talking Dog For Sale.’ He rings the bell, the owner appears and tells him the dog can be viewed in the back yard.

The man goes to the yard and sees a very nice looking Labrador Retriever sitting there. “Do you really talk?” he asks the dog. “Yes,” the Labrador replies.

After recovering from the shock of hearing the dog talk, the man asks, “So, tell me your story.”

The Labrador looks up and says, “Well, I discovered that I could talk when I was pretty young. I wanted to help the government, so I was sold to the SAS. In no time at all they had me jetting from country to country, sitting in rooms with spies and world leaders, because no one imagined that a dog would be eaves dropping. I was one of their most valuable spies for eight years”.

“But the jetting around really tired me out, and I knew I wasn’t getting any younger so I decided to settle down. I signed up for a job at Heathrow Airport to do some undercover security work, wandering near suspicious characters and listening in. I uncovered some incredible dealings and was awarded several medals”.

“Then I got married, had a few puppies, and now I’ve just retired.”

The man is amazed. He goes back into the house and asks the owner how much he wants for the dog.

“Ten quid,” the owner says.

“£10? But your dog is absolutely amazing! Why on earth are you selling him so cheaply?”

“Because he’s a lying bastard, he’s never been out of the back yard.”

Clarence

XXX