ASX 200 continued to push slightly higher to 8013 up 31,(0.4%) as once again we saw banks rally to record highs and resources fall to depressing lows. ASX 200 down 1% for the week. NFP to come. CBA hit a record up 1.0% with the Big Bank Basket up to $246.10 (+1.5%). MQG kicked 2.4% on its Airtrunk win, Insurers doing well, QBE up 1.5% and SUN rallying 1.4%. REITs also doing well as bond yields fell to 3.89% (who needs the RBA). CHC up 2.4% and SCG up 0.9%. Industrials firmed, WES up 1.2% with WOW up 0.8% and COL up 1.5% with retailers also going well, LOV up 1.8% and JBH pushing 1.8% better. Travel stocks slid, FLT down 1.1%.  Tech stocks also slipped a little, WTC ex div down 0.5% and XRO off 1.1%.  Resources stumbled again, BHP down 1.2% with RIO off 0.1% with MIN spiralling lower down another 4.8%. S32 off 2.0% and PLS falling 6.6%. Gold miners mixed, oil and gas troubled, WDS down 3.9% and STO down 1.4% with coal and uranium stocks also dropping yet again. In corporate news, not much really. On the economic front. we had some house lending numbers but all eyes on US jobs numbers tonight. Asian markets dipped, Japan down 0.8%, China off 0.3% and HK closed due to inclement weather.

HIGHLIGHTS

  • Winners: PDI, CTT, SXG, OBM, CU6, PNR
  • Losers: LRS, PYC, PLS, WHC, DYL, WA1, PDN
  • Positive sectors: Banks. REITs. Insurers. Consumer stocks.
  • Negative sectors: Miners. Lithium. Oil and gas. Uranium. Coal.
  • ASX 200 Hi 8030 Lo 7984 ASX 200 down 1% for the week.
  • Big Bank Basket: Higher at $246.10(+1.5%)
  • All-Tech Index: Unchanged.
  • Gold: Higher at $3,747
  • Bitcoin: rises to US$56589
  • 10-year yields fall to 3.89%
  • AUD: Steady at 67.24c
  • Asian markets: Japan down 0.8%$ China off 0.3%. HK closed for Typhoon.
  • Dow Futures down 3 NASDAQ Futures down 104.
  • European futures opening slightly lower.

MAJOR MOVERS

  • PDI +9.1% PRU -0.4% moves to 19.9%
  • CTT +8.1% rally continues.
  • SPR +2.8% gold price rise.
  • STX +8.8% ceasing to be a substantial shareholder.
  • LRS -11.1% PLS -6.6% slides.
  • WHC -5.6% coal prices under pressure.
  • MIN -4.8% struggling big time.
  • PDN -4.9% Fission changes.
  • AD8 -2.0% backing down.
  • DYL -5.5% BOE -3.9% uranium fallout continues.
  • Speculative Stock of the Day: OSM +135.7% Decent volume after reinstatement after European acquisition.

ECONOMIC AND OTHER NEWS

Lending Indicators – In July 2024, new loan commitments (seasonally adjusted):

  • rose 3.9% for housing
  • rose 2.2% for personal fixed-term loans
  • NFP expectations – growth of 161,000 for August and a slight decline in the unemployment rate to 4.2%.
  • The consensus is for average hourly earnings to post a 0.3% increase on the month and a 3.7% year-over-year move, both 0.1% higher than July.
  • Seven & I has rejected a $39bntakeover proposal from Alimentation Couche-Tard Inc. as too low and fraught with regulatory risk.
  • Nvidia’s AI chips are cheaper to rent in China than US.
  • Elon Musk’s China dream stalls as hybrids rush past Tesla.
  • Gap between China’s two- and 10-year yields widest since July.
  • Hunter Biden pleads guilty in tax case to avoid trial.
  • The New Zealand government estimates that a record 131,200 of its citizens have moved overseas in the past 12 months through June. Can we get some All Blacks here?

And finally…..

Clarence

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