Wednesday 9th April – ASX drops 135 points – Banks steady – Resources pummeled as Tariffs come in – Gold up. | Beeks Downunder-Because not all financial news is boring!

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The ASX 200 fell another 135 points to 7375 (1.8%). At one point the market rallied to a drop of only 75 points as banks found defensive buyers. Resources were the point of pain as commodities fell on global growth and Chinese economic output. BHP fell % and FMG crashed % with LYC bucking the trend rising % as gold miners held relatively steady with bullion pushing higher. MIN fell 12.1% with PLS off 8.4% as NIC fell 14.1%. BSL continues to suffer, down 3.7%. Oil and gas stocks, dropped hard, STO down 5.7% and WDS off 3.7% with uranium under pressure again, PDN down 4.5% and DYL off 7.7%. Coal stocks fell too. Banks held up better, CBA up 0.5% with NAB down 0.7% and the Big Bank Basket down to $237.07 (-0.2%). Healthcare was hit, CSL down 5.0% on pharma taxes to come. COH also falling 2.6% with REITs down too. GMG off 1.6% and VCX falling 1.4%. Industrials were weaker across the board, WES fell 0.6%, WOW and COL eased with QAN down 4.0% and retail trying hard to hold the line. Tech stocks fell back to earth, WTC down 1.8% and XRO off 0.9% and the All-Tech Index down 1.9%. In corporate news, RPL fessed up to the FUM loss due to OPT and fell hard, down 11.9%. On the economic front the RBNZ cut rates by 25bps. Asian markets were volatile, Japan whacked again down 2.6% with China positive despite the 104% tariffs. HK down 0.6%. 10-year yields pushing up again. Long-dated yields are surging, whilst short-dated yields are falling. US 30-year now at 4.9%

HIGHLIGHTS

Winners: TEA, HLS, BFL, CMW, BAP, A2M
Losers: CIA, NIC, MIN, RPL, AAI, VUL
Positive Sectors: Nothing.
Negative Sectors: Everything.
ASX 200 Hi 7474 Lo 7349 Closing near its low.
Big Bank Basket: Falls to $237.07(-0.3%)
All-Tech Index: Down 1.9%
Gold: Rises to $5066
Bitcoin: Falls to US$76376
10-year yield rises to 4.38%.
AUD: Falls to 59.57c
Asian markets: Japan down 4.2% with China up 0.1%. HK down 1.6%.
Dow futures down 667 Nasdaq down 326

MARKET MOVERS

HLS +4.5% defensive buyers.
BAP +3.3% oversold.
A2M +2.6% defensive Chinese exposure.
RNU +14.3% small volume rise.
CTT +5.7% change in substantial holding.
NIC -14.1% commodities under pressure.
MIN -12.1% dent load weighs.
RPL -11.9% OPT exposure FUM falls.
VUL -10.4% profit taking.
MLX -9.3% tin falls.
SLX -10.1% uranium falls.
LRV -14.4% gold and antimony exposure.
PMT -11.4% sinking into the ice.
ASL -11.6% gather round presentation.
Speculative Stock of the Day: OSX +93.8% European markets access granted.

ECONOMIC AND OTHER NEWS

RBNZ cuts rates 25bps.
India’s central bank (RBI) cut its policy rate by 25 basis points to 6%, marking its lowest level since September 2022 as growth concerns mount in the world’s fifth largest economy.
The People’s Bank of China weakened the yuan’s daily reference rate for a fifth straight session on Wednesday, but moderated the pace of its adjustment.
Chinese Premier Li Qiang said his country has ample policy tools to “fully offset” any negative external shocks.
Trump says a tax on pharmaceuticals is coming soon.
Temu and Shein hit with 90% tariffs.
US tariffs cause car import pile-up at American ports.
Shares of Chinese companies that are deeply embedded in US supply chains were among the worst hit during the morning sell-off. Shenzhou International Group Holdings, which gets 26 per cent of its revenue from Nike, fell 7.4 per cent.
Trump revokes licences for BP and Shell projects in Venezuelan waters.
Long bonds are being sold down hard. Not a good sign.