The ASX 200 fell 43 points to 9012 (0.5%) as resources were sold off heavily. Two blue chip casualties today too in CSL on a downgrade and delays to its demerger plans and WTC on ASIC raid on offices. Both falling heavily, CSL off 15.9% and WTC down 15.9% too. The All-Tech Index fell 1.1%. Gold miners under serious [pressure again today with NEM down 4.1% and NST falling 3.1% as bullion fell below US$4000. The Iron ore majors fared better with small losses, but rare earths dropped in a brutal sell down, LYC fell 13.9% and ILU down 5.2% with lithium stocks back on the chopping board as LTR dropped 12.8% and PLS fell 6.1%. Oil and gas stocks eased, WDS down 1.7% and uranium stocks fell, PDN down 4.4% and DYL off 2.5%. Banks though and other defensives were in demand. CBA up 1.4% and NAB rising 2.5% with the Big Bank Basket back up to $295.24 (+1.4%). Insurers gained too. QBE up1.5 % and SUN up 2.2%. Broker AUB got a NBIO from Swedish private equity, up 5.9% and SDF rose in sympathy. Industrials firmed, WES pushing ahead again, up 2.8% TLS up1.0 % and COL gaining 1.6%. In healthcare CSL weighed and tech stocks fell, WTC being responsible.

In corporate news, media speculation on Bain Capital bidding for all or some of DMP saw the stock rocket before denial and profit taking killed it, still up 7.2%. FLT fell 0.9% as it sold its Cross Hotels business.

On the economic front, Trump was in Japan meeting new PM Takaichi as the Fed kicks off its meeting tonight.

Asian markets mixed ahead of framework trade deal, Japan down 0.8%, with HK and China mildly positive.

HIGHLIGHTS

  • Winners: WBT, DMP, APE, AUB, SDF, FML, PNV
  • Losers:  DTR, WTC, CSL, LYC, LTR, RSG, BC8
  • Positive Sectors: Banks. Insurers. Industrials.
  • Negative Sectors: Gold. Rare earths. Lithium. Healthcare.
  • ASX 200 Hi 9055  Lo 9007
  • Big Bank Basket: Rises to 295.24 (+1.4%)
  • All-Tech Index: Down 1.1%
  • Gold: slips to $6042
  • Bitcoin: rises to US$113866
  • AUD: Better at 65.63c.
  • In Asian markets – Japan down 0.2%, with HK and China mildly positive.
  • 10-year yields steady at 4.17%.
  • US futures – Dow down 4 Nasdaq down 10
  • European markets set to open flat.

MARKET MOVERS

  • FML +4.2% quarterly activities report.
  • AUB +5.9% Swedish PE makes offer.
  • WBT +9.1% broker research.
  • SDF +4.7% on the AUB train.
  • DRO +3.3% modest turn in defence stocks.
  • DMP +7.2% did Bain make an approach, seems not.
  • ELS +7.0% pushing back up again.
  • GRR +10.9% quarterly report.
  • DTR -29.0% gold and REE.
  • WTC -15.9% ASIC raid.
  • CSL -15.9% downgrades and demerger update.
  • LYC -13.9% rare earths exposure.
  • LTR -12.8% quarterly disappoints.
  • RSG -12.2% quarterly disappoints.
  • LDX -14.9% profit taking.
  • Speculative Stock of the Day:  Nothing on any volume.

ECONOMIC AND OTHER NEWS

  • Fed meeting kicks off today.
  • Bill Gates says China is outspending the world on nuclear power.
  • Trump hails ally Japan, offers Takaichi ‘Anything You Want’. Anything you need. You got it!
  • Americans are heading into winter less protected against one of the season’s deadliest viruses according to CSL.
  • Google agrees deal to reopen US nuclear plant with NextEra.
  • US government debt burden on track to overtake Italy’s, IMF figures show.
  • Amazon will begin a fresh round of job cuts beginning Tuesday around 30,000 across its corporate workforce.
  • Chegg said on Monday it would lay off about 45% of its workforce, or 388 employees, as the “new realities” of artificial intelligence and diminished traffic from internet search have led to plummeting revenue.
  • South Korea’s third-quarter GDP clocks fastest growth in over a year as exports, manufacturing rise.
  • HSBC’s third-quarter profit drops 14%, but beats expectations as net interest income rises. Legal provisions include $1.1bn set aside for potential payout over claims related to the Bernard Madoff investment fraud case.

And finally….

I’ve been hiding out from exercising. That’s right, I’m in the fitness protection program.

Clarence

XXXXX