by Peter Milios
The Materials sector continued its impressive surge from lunchtime, closing 2.47 per cent higher. The next best sector was Real Estate, which finished 1.38 per cent higher, and then Financials, which finished 0.22 per cent higher.
In today’s news, the CEO of Orica (ASX:ORI), Sanjeev Gandhi, stated that the Federal government must intervene to push the spot prices of gas down, or Australian gas manufacturers will not be able to manufacture efficiently if it takes 12 months to fix the crisis.
The CEO warned that inflation, higher energy costs and the global supply chain issues will “remain an ongoing challenge” in 2023.
In other news, Elon Musk sold US$3.95 billion of Tesla stock after the Twitter deal closed. This now means he has sold nearly US$20 billion worth of Tesla stock since he launched the takeover bid.
NAB announced an 8.3 per cent lift in cash earnings to $7.1 billion. This was due to stronger lending capabilities and a reduction in “bad debts”.
Futures
The Dow Jones futures are pointing to a fall of 11 points.
The S&P 500 futures are pointing to a rise of 4.25 points.
The Nasdaq futures are pointing to a rise of 34.25 points.
The SPI futures are pointing to a rise of 42 points when the market next opens.
Best and worst performers
The best-performing sector was Materials, up 2.47 per cent. The worst-performing sector was Communication Services, down 1.41 per cent.
The best-performing stock in the S&P/ASX 200 was St Barbara (ASX:SBM), closing 13 per cent higher at $0.57. It was followed by shares in Regis Resources (ASX:RRL) and De Grey Mining (ASX:DEG).
The worst-performing stock in the S&P/ASX 200 was News Corporation (ASX:NWS), closing 11.15 per cent lower at $23.04. It was followed by shares in Whitehaven Coal (ASX:WHC) and New Hope Corporation (ASX:NHC).
Asian news
Asian equities are looking to close mostly higher today. It was a quiet session with major benchmarks struggling for direction.
Greater China markets are currently flat, following the recent rebound. Korea and Taiwan markets have been outperforming.
So far, Japan’s Nikkei has lost 0.54 per cent, Hong Kong’s Hang Seng has lost 1.52 per cent and China’s Shanghai Composite has lost 0.35 per cent.
Company news
ReNu Energy (ASX:RNE) and its wholly owned subsidiary Countrywide Hydrogen Pty Ltd (Countrywide) have announced they have agreed to a non-binding Term Sheet for the investment of up to $100 million in ReNu Energy’s Green Hydrogen Projects with Australian superannuation fund HESTA. HESTA will be provided a first right of refusal to invest in existing and new Green Hydrogen Projects. The parties may otherwise agree to add additional investors to the Green Hydrogen Projects. In response to the news, ReNu Energy Chairman Boyd White said, “HESTA is highly respected for its commitment to sustainability and responsible investments. With HESTA’s support we look forward to delivering green hydrogen and contributing to a low carbon future.” RNE closed 87.5 per cent higher at $0.075.
Aeon Metals (ASX:AML) have announced that it has returned exceptional results at its Walford Creek Copper-Cobalt Project (Walford Creek Project) in north-west Queensland. Thirty-one exploration holes have been completed for over 11,700m of drilling in 2022. The results for the hole extend the Amy West high grade copper-cobalt footprint a further 90m east of the hole. In response, Aeon Managing Director and CEO, Dr Fred Hess, commented, “The drilling results announced today reinforce the potential for the Amy zone to host significantly higher grade and thicker PY3 mineralisation than that already identified at the well-drilled Vardy and Marley zones further to the east.” AML closed 20.83 per cent higher at $0.029.
Infinity Lithium Corporation (ASX:INF), through its wholly owned subsidiary Extremadura New Energies, announced the execution of a binding MoU for a photovoltaic, methane and green hydrogen project aligned to the San José Lithium Project. San José has the potential to take advantage of the vast renewable energy opportunities in Extremadura and to benefit from reduced energy costs from the localised green energy project that can meet renewable electricity and green hydrogen requirements of the Project. Infinity Managing Director and CEO Ryan Parkin noted: “The partnership with Extremadura’s preeminent and progressive company further reinforces the positive momentum and complementary opportunities aligned to San José following the initiation of the permitting process last month.” INF closed 4.76 per cent higher at $0.22.
Calidus Resources (ASX:CAI) announced that their recent drilling at Pirra Lithium’s Spear Hill project has confirmed lithium continuity 250m down dip. The program tested an exposed pegmatite that yielded rock-chip assays of 0.66 per cent–2.34 per cent of lithium peroxide and a second poorly exposed pegmatite to the north. In response, Calidus Managing Director Dave Reeves stated, “The drilling represents only a small portion of the outcropping lithium pegmatites, with another 3km of strike length of pegmatite untested.” CAI closed 3.9 per cent higher at $0.4
Copper producer Austral Resources Australia (ASX:AR1) announced its planned development and exploration program for the remainder of calendar 2022 and the 1st half of calendar 2023. Some highlights from the program state that drilling of prioritised phase 1 Anthill 2.0 copper oxide exploration targets within the existing ML are currently in progress and the drilling of phase 1 McLeod Hill and Lady Annie copper oxide exploration targets scheduled to be completed in 2022, both targets on existing ML’s. In response, Austral’s Managing Director and CEO, Dan Jauncey said: “We are thrilled we are now on track with our Anthill copper production with Mt Kelly processing facility hitting 1,000 tonne per month during this quarter. This enables our team to focus on the longer-term future of Austral, and extending our revenue potential through exploration.” RNE closed 8.82 per cent higher at $0.185.
Commodities and the dollar
Gold is trading at US$1708.45 an ounce.
Iron ore is 1.3 per cent higher at US$89.05 a tonne.
Iron ore futures are pointing to a rise of 2.16 per cent.
Light crude is trading $0.47 lower at US$88.44 a barrel.
One Australian dollar is buying 65.02 US cents.
