Marcus Today End Of Day Report
VIEW MORE ARTICLES BY HENRY JENNINGS
- ASX 200 up 23 to 6286 as rally fades.
- High 6298 Low 6255. Up 17 points for the week.
- Afterpay hits afterburners again. Rarified air though.
- Healthcare looks rosy as CSL tops record.
- Banks take heart from jobs number effects.
- Big miners on the nose.
- AUD slips to 73.71c.
- Bitcoin firms a little to US$7435.
- Aussie Gold rises to $1658.
- US futures down 67.
- Asian markets mixed with Japan down 0.26% and China up 2.14% as yuan holds.
FUTURES AND HIGHS AND LOWS
- MARCUS CALL - Who performed the best in FY18 and how they did it, plus some big action this morning.
- TRADING IDEAS - No new trades, three stop losses raised.
- SMALL COMPANIES - Great insider insight yesterday with CVN up around 25%. Is Dr Copper a canary in a coal mine or an opportunity?
Movers and Shakers
- DMP -2.76% US master company results.
- AX1 -6.02% profit-taking.
- CSR -7.95% AWC numbers weigh on Aluminium business.
- AWC -4.18% results underwhelm.
- CIM -3.19% profit-taking.
- NGI +5.43% update on Mesirow transaction.
- TWE +3.62% stand out today.
- RHC +2.72% showing promise.
- FAR +13.04% buyers back again.
- LYC -5.61% quarterly report. Stockpiles for later causes concerns.
- UPD +7.33% the next APT?
- AVZ +14.29% recovery continues.
- PHK +9.88% still doing well.
- BLA -12.53% not so much today.
- QBE +0.41% stirring. Slowly.
- Speculative stock of the day: Ore Corp (ORR) +55.88% after announcing the completion of the earn-in phase and execution of conditional heads of agreement to acquire 100% of the Nyanzaga project in Tanzania.
- Biggest risers – FAR, UPD, APT, NGI, PLS and BLD.
- Biggest fallers – CSR, LYC, AX1, KDR, AWC and SAR.
- Sydney Airport (SYD) +0.84% June traffic numbers saw a 5% lift in international passengers but no change in monthly domestic passenger numbers. Overall the total 1.8% gain in monthly passengers was driven by additional seat capacity.
- Tabcorp (TAH) +1.07% After hours yesterday announced it is exiting its UK joint venture, Sun Bets, due to its underperformance. Tabcorp will pay $71m to its partner, News UK, to exit the agreement and incur an after-tax impairment of $91m in the FY18 statements and up to a $10m cost in FY19.
- Xero (XRO) +1.52% Has entered into a strategic alliance with a US payroll platform, Gusto. The alliance will integrate Xero’s payroll solutions into Gusto’s platform to serve 50 US states and account for each state’s different tax implications.
- Oil Search (OSH) +1.05% and Santos (STO) +2.48% locked in Chinese energy giant PetroChina as a contracted customer for LNG from their Papua New Guinea venture. The three-year deal was signed on the back of outperformance of the plant since it started up more than four years ago. PetroChina has signed up to a contract to buy about 450,000 tonnes a year of LNG for the next three years.
- BlueScope Steel (BSL) +1.78 % the company has signed a deal to install 500 solar panels to lock in cheap energy through renewables.
BEST AND WORST
- Nothing today.
ASIAN MARKET NEWS
- Hong Kong stocks hit a 10-month low.
- China is starting to look decidedly wobbly. Yuan has slid 8% since March.
- China’s peer-to-peer US$192bn lending industry is in trouble. At least 118 platforms have failed this month according to Shanghai-based Yingcan Group, whose tally for July stood at 57 just three days ago.
- Meanwhile, the base metal rout continues on trade fears. Peak bearishness?
EUROPEAN AND US HEADLINES
- Tech stock funds have amassed even more cash this year with US$20bn inflows.
- The Royal Mail has been stunned as 70% of its shareholders voted against executive remuneration plans.
- UK shoppers have shunned shopping as hot weather and the World Cup have ensured more beer sales and fewer clothes. Must be linked.
Henry Jennings has been involved in financial markets for over 35 years as both a trader and a broker in London and Sydney.
Starting his career in London trading derivatives and moving to Australia in 1989, Henry eventually settled at Macquarie Group, rising to become a Divisional Director responsible for Equity Trading in Australia. For the last decade, Henry has been involved in private client broking and now writes exclusively for the renowned financial newsletter Marcus Today. Henry regularly appears on ABC TV and Sky Business as a market analyst, commentator and strategist and has presented at various conferences most recently for the AIA on the Gold Coast.
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