The ASX 200 limped lower by 8 points to 8947 (0.1%) for a flat week. Banks continued to be weaker, NAB falling another 2.0% and WBC off 0.7%. The Big Bank Basket fell to $298.43 (-0.3%). Financials mixed, HUB rose 2.8% and PNI rose 3.8%. ZIP had a great day up 13.7%. REITs slipped slightly with CHC down 0.6% and GMG falling 0.5%. Healthcare under pressure still, RMD down 1.6% and CSL off 0.3% with SIG 2.2% better on broker research. Tech managed small gains, WTC up 2.9% and XRO rising 0.2% with REA better. Resources were mixed, BHP unchanged with RIO and FMG doing slightly better. Gold miners mixed despite bullion drifting higher. EVN down 2.0% and GGP off 1.5%. Lithium stocks soared, LTR up 6.3% and MIN rising 7.1%. Oil and gas eased, coal stocks fell and uranium firmed, PDN up 2.8% and BOE up another 4.6%.
In corporate news, ZIP soared 13.7% on better numbers on bad debts, PDN rose on production numbers and AAI fell % after results fell short of expectations. NEM also flagged no production issues following the earthquake this week.
Asian markets saw modest gains – Japan down 1,1%, HK down 1.0% and China off 0.1%. 10-year yields rise to 5.0%.
US Futures jump, Nasdaq down 38, Dow up 77. Europe is opening flat and quiet.
HIGHLIGHTS
- Winners: WC8, ZIP, ELV, CXO, IMR, TEA, TAH
- Losers: DTR, 4DX, SMR, TPW, RXL, TCG
- Positive Sectors: Lithium. Tech.
- Negative Sectors: Banks. Healthcare.
- ASX 200 Hi 8947 Lo 8902. Down 13 pts this week.
- Big Bank Basket: Falls to $298.43(-0.3%)
- All-Tech Index: Rallies 1.2%
- Gold: Eases to $6693
- Bitcoin: Steady at US$74675
- 10-year yields: Rose to 5.0%
- AUD: Eases to 71.69c.
MARKET MOVERS
- WC8 +14.6% solid run.
- ZIP +13.7% much better results.
- ELV +12.6% LW article.
- CXO +11.8% lithium exposure.
- RAC +6.8% good to see.
- EDE +16.7% targets defence and critical metals.
- MM1 +15.1% LW article.
- DTR -9.6% legal issues?
- 4DX -8.8% profit taking.
- AYA -4.0% pausing for breath.
- Yesterday’s Hero: IMM -8.0%
- Speculative Stock of the Day: NYM +130% not huge volume though. Strategic placement at 3c.
ECONOMIC AND OTHER NEWS
- Goldman Sachs now predicts the Reserve Bank of Australia to lift the cash rate twice this year. It has also lifted its inflation forecast, predicting it will reach 3.9% by the end of the year, up from a previous estimate of 3%.
- China to commission seven Nuclear Reactors in 2026, CCTV Says.
- Industrial metals jumped to a record high on the London Metal Exchange, driven by gains in aluminum.
- An LME Index, which tracks six major metals, has rallied by almost 12% over the past four weeks and was at an all-time peak on the close on Thursday.
- Aevex Corp. raised US$320m in its initial public offering, selling 16 million shares for $20 each. The company has a market value of US$2.2bn at the IPO price, and a substantial portion of its revenue came from Ukraine.
- Its two main unmanned systems programs, called Phoenix Ghost and EUCOM AOR Deep Strike, have delivered or committed to deliver more than 9,300 systems, representing more than $1.2 billion in contract value through the end of this year.
- Senate Democrats raise alarm over Kevin Warsh’s $100mn of ‘undisclosed’ assets.
- Shares at world’s biggest chocolate maker, Barry Callebaut, plunged as cocoa prices collapse. Cocoa prices have slumped 41.6% since the start of the year, and are down 57.6% over the past 12 months
- Premier League clubs rack up almost £800mn of losses.
- The leaders of Israel and Lebanon agreed to a 10-day ceasefire after officials from the two countries met in Washington.
And finally
Clarence