The ASX 200 fell hard down 81 points to 8663 (-0.9%) to close the week, pretty much where it started. Banks which had been holding their end up, succumbed to gravity with CBA down 1.6% and NAB falling 1.2% as the Big Bank Basket dropped to $277.82 (-1.3%). MQG fell hard down 1.7% with insurers also under pressure, QBE down 1.3% and SUN off 1.5%. REITs eased back, GMG down 1.5% and SCG off 0.5% with industrials weak across the board. WES fell 0.9% and ALL down 1.2% with patches of green in retail, JBH up 0.8%. FLT bounced back a little up % and QAN up 0.3%. Tech stocks smacked hard, WTC down 2.6% and XRO falling 3.5% with the All-Tech Index down 1.8%. Healthcare hit with CSL down 2.5% on tariff news.  

Resources which have been hurtie all week saw some buyers return. Iron ore picked up in Asia, BHP unchanged and FMG up 1.1%. Rare earths saw some buying LYC up 3.3% and MIN up 4.4% in the lithium space. PLS too rallied 4.1%. Gold miners fell, EVN down 0.8% and NEM off 0.5%.  Uranium stocks tried to find some support after the fallout of the BOE downgrade this week. PDN up 0.5% BOE down another 2.0%. Oil and gas flat.  In corporate news, SGR dimmed 16.5% on news that the Brisbane deal was off. RMD up 1.0% on better-than-expected quarterly. SOL and BKW reported with decent dividends and a step closer to a marriage. DOW unchanged despite a new contract and BGL fell 4.3% on production worse than expected.

In economic news, local PPI rose 0.7%. NFP tonight from US. 147k is the number.

European futures down 0.6%. US Futures Dow down 100 and Nasdaq down 61

HIGHLIGHTS

  • Winners: CSC, GNG, MIN, PLS, DBI, SFR, IGO
  • Losers: WBT, EOS, BNM, NAN, BGL, TLX, PNV
  • Positive Sectors: Lithium. Rare earths.
  • Negative Sectors: Tech. Banks. REITs. Healthcare.  
  • ASX 200 Hi 8691 Lo 8651 Narrow range. Down 4 points for the week.
  • Big Bank Basket: Down to $277.82 (-1.3%)
  • All-Tech Index: Down 1.9%
  • Gold: Better at $5121
  • Bitcoin: Drifts to US$115585
  • 10-year yield steady at 4.31%.
  • AUD: Slips to 64.35c.
  • Asian markets: Japan down 0.6%, China down 0.6% and HK down 0.5%.
  • US futures – Dow down 166 and Nasdaq down 100
  • European markets set to open down 0.5%

MARKET MOVERS

  • CSC +9.5% quarterly report.
  • SFR +3.6% copper exposure.
  • MTM +11.9% decent bounce.
  • DTR +17.4% good bounce.
  • GG8 +12.0% going bananas
  • BOC +16.1% copper boom?
  • LYC +3.3% rare earths back?
  • FLT +3.2% oversold.
  • EOS -5.6% profit taking.
  • WBT -5.8% profit taking.
  • TLX -4.3% sell-off continues.
  • PNV -4.3% profit taking.
  • BGL -4.3% quarterly.
  • SYR -25.3% ex-entitlement. TERP 36c.
  • SGR -16.4% QLD deal falls over.
  • USL -10.3% director’s interest.
  • Speculative Stock of the Day: 4DX +27.1% PME deal yesterday sparks rerating.  

ECONOMIC AND OTHER NEWS

  • PPI – Rose 0.7% this quarter. Rose 3.4% over the past twelve months.
  • Iron ore prices are headed for it’s first weekly drop in six weeks. Singapore iron ore futures for an active contract were 0.9 per cent higher at $US100.80 per tonne. Iron ore still advanced 5.8 per cent in July – its first monthly gain since January.
  • UBS economist Stephen Wu says Reserve Bank of Australia’s rate cuts are driving a renewed lift in housing prices, warning the rebound could flow through to inflation and complicate the path for monetary policy easing.
  • New Zealand will push for a reduction in the 15 per cent tariff rate imposed on its exports to the US.
  • Any comment, Jerome? Trump plans to build new $200m White House ballroom. He needs that right.
  • EU trustbuster warns against ‘big is beautiful’ merger push.

And finally……

Clarence

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