Oil prices steadied in Asia, having reached their highest level since mid-April due to concerns about the Ukraine-Russia conflict escalation, while awaiting US crude stockpile data. West Texas Intermediate hovered around $83 per barrel following a 1.2% increase on Tuesday, with reports of a possible 4.07 million barrel expansion in inventories, potentially the first gain in four weeks, and ongoing factors like China's slow economic recovery and geopolitical tensions impacting the market.
The S&P/ASX 200 is 0.2 per cent higher at 7,325.70.
The SPI futures are pointing to a rise of 13 points.
Best and worst performers
The best-performing sector is Financials, up 1.01 per cent. The worst-performing sector is Health Care, down 0.98 per cent.
The best-performing large cap is Whitehaven Coal (ASX:WHC), trading 2.58 per cent higher at $7.16. It is followed by shares in Commonwealth Bank of Australia (ASX:CBA) and National Australia Bank (ASX:NAB).
The worst-performing large cap is ResMed (ASX:RMD), trading 4.14 per cent lower at $27.56. It is followed by shares in Fisher & Paykel Healthcare Corporation (ASX:FPH) and Suncorp Group (ASX:SUN).
Asian markets
Asia-Pacific markets were mixed as investors look to China’s inflation figures for July, with the consumer price index predicted to enter deflationary territory for the first time since February 2021.
Economists polled by Reuters expect China’s inflation rate to fall 0.4% year-on-year. The country’s producer price index — which measures the change in selling prices received by domestic producers for their output — is also expected to fall 4.1%.
Futures for Hong Kong’s Hang Seng index stood at 19,084, pointing to a stronger open compared to compared to the HSI’s close of 19,184.17.
Japan’s Nikkei 225 slid 0.24% in early morning trade, while the Topix fell 0.3%. In contrast, South Korea’s Kospi climbed 0.88%, while the Kosdaq was up 1%.
Company news
Next Science (ASX:NXS) has released the findings of a pilot study for their advanced surgical irrigation solution, XPERIENCE™, which demonstrated 54% lower inflammation within 14 days compared to the common reference standard. In response, leading surgeon Dr. Andrew B. Wickline commented, “The results of the study are extremely pleasing as it appears we have found another tool for reducing inflammation and improving a patient’s post operative experience and accelerating their return to normal function.” Shares are trading 5.83 per cent higher at 63.5 cents.
Talon Energy (ASX:TPD) announced that their Gurvantes XXXV CSG Project in the South Gobi Basin of Mongolia continues to deliver with gas flows continuing to increase. In response, Mr Colby Hauser, Talon’s Managing Director and Chief Executive Officer, commented: “The pilot production well program continues to exceed our expectations and we are looking forward to providing the market an update on the initial flow rate from this exciting project in several weeks time.” Shares are flat at 16.5 cents.
Syrah (ASX:SYR) has entered into a non-binding memorandum of understanding with Samsung SDI, a leading global manufacturer of lithium-ion batteries. Syrah and SDI will evaluate natural graphite active anode material supply from the Vidalia AAM facility in USA. Shares are trading 7.03 per cent higher at 68.5 cents.
Commodities and the dollar
Gold is trading at US$1959.40 an ounce.
Iron ore is 0.7 per cent higher at US$104.80 a tonne.
Iron ore futures are pointing to a 1.1 per cent fall.
One Australian dollar is buying 65.42 US cents.
