ASX 200 drops another 37 points to 7629 (-0.5%) after a bounce off the 7600 support level. Bank held firm with small losses in CBA and NAB. The Big Bank Basket down to $205.46 (-0.1%). MQG fell 0.6% with insurers mixed, QBE up 0.1% as bond yields rose. SUN off 0.8%, with REITs down, SGP off 0.9% and GMG up slightly. Industrials saw buyers in defensives, WES up 0.8% and ALL up 0.9%, with BXB doing ok, up 0.6%. Tech mixed despite Nasdaq futures showing early losses. The All-Tech Index up 0.4%. REA, CAR and SEK all better. In the miners, BHP sank 1.7% after the bid was rejected again, RIO was down 1.5%, and FMG fell hard again off 3.1%. Gold miners dropped as bullion fell on a stronger USD, NST down 2.8% and EVN off 2.8%. Lithium and copper stocks also falling, PLS down 2.1%, and IGO dropping 4.4%. LTR pulled back 5.5%, with oil and gas stocks slipping. WDS down 1.2%, and STO off 1.8%. Uranium stocks eased back. In corporate news, quite apart from BHP news. AAC and ELD mixed on the rollback of Chinese beef tariffs. CAT lived up to its name with a 9.7% gain on a business update. On the economic front, we had building approvals. Not shooting any lights out to relieve pressure on housing. In Asian markets, a sell-off following US markets, Japan down 0.6%, HK down 1.5% and China off 0.5%. 10Y yields 4.44%.
HIGHLIGHTS
- Winners: APM, WA1, PME, NWH, CKF, JMS, DMP, AAC
- Losers: CHN, WC8, MSB, PYC, INR, RRL, GMD, FCL, LTR
- Positive sectors: Defensives. Retail. Old Skool Platforms.
- Negative sectors: Miners. Gold. Oil and gas.
- ASX 200 Hi 7762 Lo 7602
- Big Bank Basket: Smashed to $205.46 (-0.1%)
- All-Tech Index: Up 0.4%
- Gold: Lower at $3525
- Bitcoin: Lower at US$67898
- 10-year yields spiked to 4.43%
- AUD: Steady at 65.94c.
- Asian markets lower Japan down 1.7%, HK down 1.6% and China off 0.6%.
- Dow futures down 325 NASDAQ Futures down 126
MAJOR MOVERS
- APM +7.8% good move on volume.
- CU6 +1.5% strengthens Cu-64 network.
- JMS +3.0% South African elections.
- QAN +2.7% Buyback update.
- PME +3.6% does it ever go down!
- DXB +13.8% broker upgrade.
- CAT +9.7% results presentation.
- STP +3.3% talked it up on The Call yesterday.
- STK +4.8% excellent results at Palomino.
- AQZ +4.9% thin volume as usual.
- CHN -11.7% metal prices.
- GMD -5.8% gold falls.
- LTR -5.5% lithium sell-off
- SFX -12.1% Thunderbirds are not go!
- CXL -9.9% investor webinar.
- CNB -16.6% scoping study.
- LMG -14.3% Equity raising.
- Speculative Stock of the Day: AGC +20.5% placement at 32c shrugged off!
COMPANIES
ECONOMIC AND OTHER HEADLINES
Building Approvals – The April 2024 seasonally adjusted estimate:
- Total dwellings approved fell 0.3%, to 13,078.
- Private sector houses fell 1.6%, to 8,822, while private sector dwellings excluding houses fell 1.1%, to 3,981.
- The value of new residential building fell 3.8%, to $6.16bn.
- The value of non-residential building fell 4.6%, to $5.12bn.
- “The board are absolutely focused on the fact that inflation is clearly still above the target band,” RBA Assistant Governor Sarah Hunter said at a conference in Sydney on Thursday
- China rolls back beef tariffs.
- China is poised to impose a record fine on PwC.
- South African election vote counting begins. Once 5% of votes are counted, state agency will project result. A record 27.7m people registered to vote.
- NATO has just 5% of air defences needed to protect eastern flank.
- Bulk of gold smuggled from Africa exported to UAE, says report.
- Sony Music in talks to buy Queen’s music catalogue for $1bn. All Radio Gaga.
- European markets set for opening losses. Nestle in focus.
And finally….
How come there’s enough asphalt to build speed humps, but not enough to fill pot holes?
Clarence
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