by Paul Sanger
At the closing bell, the S&P/ASX 200 was 1.02 per cent or 70.30 points higher at 6964.50.
Futures
The Dow Jones futures are pointing to a rise of 19 points.
The S&P 500 futures are pointing to a rise of 3 points.
The Nasdaq futures are pointing to a rise of 10.25 points.
The SPI futures are pointing to a rise of 76 points when the market next opens.
Best and worst performers
The best-performing sector was Materials, up 2.16 per cent. The worst-performing sector was Health Care, down 0.26 per cent.
The best-performing stock in the S&P/ASX 200 was Nickel Industries (ASX:NIC), closing 6.70 per cent higher at $0.96. It was followed by shares in Gold Road Resources (ASX:GOR) and De Grey Mining (ASX:DEG).
The worst-performing stock in the S&P/ASX 200 was Liontown Resources (ASX:LTR), closing 3.05 per cent lower at $1.75. It was followed by shares in Sims (ASX:SGM) and Lake Resources (ASX:LKE).
Asian markets
Shares in the Asia-Pacific have risen on improved risk sentiment.
The Nikkei 225 in Japan has gained 1.02 per cent in afternoon trade, while the Topix index has advanced 0.65 per cent. Travel stocks in Japan have risen on reports that border measures may be eased further.
MSCI’s broadest index of Asia-Pacific shares outside Japan has ticked 0.5 per cent higher.
Mainland China, Hong Kong and South Korea markets are closed for a holiday. The US is set to release its consumer price index for August later in the week.
Australia/New Zealand
Australia-China
No immediate plans for meeting between Australia and Chinese trade ministers: Bloomberg cited Trade Minister Don Farrell, who said there were no immediate plans to meet with his Chinese counterpart. Farrell pointed out his counterpart will not participate at next week’s gathering of G20 trade ministers in Indonesia.
China demand for Australian wheat surges: Financial Review cited industry sources who estimate China will import ~6.3Mt of Australian wheat for the year to 30 September, up 186 per cent from the previous year. The surge in Chinese imports comes amid fears over global wheat supply due to Russia’s invasion of Ukraine. ABARES estimates the value of Australian wheat shipments will hit A$11.7B in FY23, making it the nation’s biggest agricultural export.
Covid
New Zealand to scrap most Covid rules: New Zealand Prime Minister Jacinda Ardern announced the Covid-19 traffic light system of rules will end from midnight tonight (NZ Herald). Vaccine mandates will end on 26 September, mask rules will be scrapped except in healthcare settings, contacts of infected individuals will no longer need to isolate, while the isolation requirement for Covid-positive individuals will be seven days.
Government
Australia and New Zealand to mark Queen’s passing with national holidays: Prime Minister Albanese announced that 22 September will be a national holiday in Australia to mourn the passing of Queen Elizabeth (Financial Review). The ASX is also expected to close for the day. Separately, Prime Minister Ardern announced that New Zealand’s memorial for the Queen will be on 26 September.
Company news
Rural Funds Management, as responsible entity of Rural Funds Group (ASX:RFF), has entered an agreement to lease up to 3,000 ha of macadamia orchards for 40 years to a company managed by The Rohatyn Group (TRG) on behalf of a joint venture between TRG and a global institutional investor. The lease will incorporate orchards in Maryborough, Bundaberg and Rockhampton. The agreement is for an initial 1,200 ha, and an additional 1,800 ha in FY24, subject to completion of the water supply for the Rockhampton orchards. RFM and its wholly-owned subsidiary RFM Macadamias will provide orchard development and management services. Shares closed 1.18 per cent higher at $2.58.
Altech Chemicals (ASX:ATC) has provided an update for its Silumina Anodes project in Saxony, Germany. The company recently announced late last year its game-changing technology of incorporating high-capacity high-purity alumina coated silicon and graphite in lithium-ion batteries, and recently completed a Preliminary Feasibility Study for the construction of a 10,000tpa Silumina Anodes plant in Saxony, Germany, that includes an NPV of US$507M. Altech is in the race to get its patented technology to market. To support the development, Altech has commenced construction of a pilot plant adjacent to the proposed project site to enable the qualification process for its Silumina Anodes product. The pilot plant will produce 120kg per day of the Silumina Anodes product, which will then be provided to selected potential end users for product testing. Shares closed 1.64 per cent higher at 6.2 cents.
RareX (ASX:REE) has reported positive outcomes from a scoping study completed on its 100 per cent owned Cummins Range Rare Earths Project located in the Kimberley region of WA. The Scoping Study was led by Primero with support from mining plus among other leading consultancies. Shares closed 3.39 per cent higher at 6.1 cents.
TechGen Metals (ASX:TG1) has confirmed a gold discovery at its John Bull Gold Project, NSW, where a maiden RC drilling program of seven holes was recently completed. The John Bull Gold Project is located within the New England Orogen in northern New South Wales. The drilling program was the first drilling ever to be completed within the project area. Ashley Hood, Managing Director, commented: “A new gold discovery from the surface has been confirmed by assay results from the maiden drilling program… This is exactly what we hoped for, another exceptionally broad zone of mineralisation with higher grade intercepts.” Shares closed 4.8 per cent lower at 19.5 cents.
Anax Metals (ASX:ANX) has announced a revised JORC Mineral Resource for the Salt Creek Deposit at the Whim Creek Copper-Zinc Project located at Port Hedland in the West Pilbara Region of Western Australia. The company’s Managing Director, Geoff Laing, said “the significant increase in copper and zinc resources at Salt Creek demonstrates, once again, the fantastic opportunity this Pilbara project offers. Salt Creek remains open at depth with significant exploration upside and we look forward to evaluating the underground and growth potential at this high grade deposit”. Shares closed 6.15 per cent higher at 6.9 cents.
Commodities and the dollar
Gold is trading at US$1713.28 an ounce.
Iron ore is 3.9 per cent higher at US$103.65 a tonne.
Iron ore futures are pointing to a rise of 3.74 per cent.
Light crude is trading $1.00 lower at US$84.75 a barrel.
One Australian dollar is buying 68.46 US cents.
