Forget the rebound in house prices in August out yesterday – that’s not an important bit of data at the moment even though it’s welcome. No, the big economic news from yesterday was the sharp fall in business inventories in the June quarter which could very well help produce a negative reading for GDP tomorrow.
Read MoreNo rate cut this week but there will be confirmation the Australian economy is staggering slowly towards stagnation with growth only saved by the one-off boost from surging iron ore prices which won’t be repeated this quarter.
Read MoreNo joy from the June quarter private investment data released yesterday by the Australian Bureau of Statistics. The release showed a fall of 0.5%, against a market forecast of a rise of 0.4%. The overall drop was however slightly better than the revised 1.3% fall (previously -1.7 percent) in the March quarter.
Read MoreThe chances of a negative outcome for the June quarter GDP have risen with the surprisingly large fall in the value of construction work.
Read MoreUnconventional monetary policy measures could help the economy, but negative interest rates are unlikely and quantitative easing would be most effective and fairest if combined with fiscal stimulus.
Read MoreAustralian Bureau of Statistics data yesterday confirmed that we are in the midst of a period of wage stagnation, with no sign of any improvement.
Read MoreNo good news for the Reserve Bank or the Federal Government from the July survey of business conditions and confidence from the National Australia Bank.
Read MoreMixed messages from China’s July trade data. As imports fell 5.6%, exports staged their best monthly performance since March despite the intensifying Trump trade war.
Read MoreShare markets may need to fall further in the short term to remind both sides of the need for a deal and get them talking again. However, we regard the fall in share markets as another correction rather than the start of a major bear market.
Read MoreAustralia’s trade performance hit record levels in 2018-19, none more so than the surplus which hit an all-time high of record $50 billion.
Read MoreThanks to the surge in iron ore prices, Australia’s export performance is booming and the July commodity price index from the Reserve bank is now at an 8-year high.
Read MoreWe expect another one or two 0.25% cuts with the next in September but with US recession unlikely this rate-cutting cycle is likely to be limited. Fed and global monetary easing generally should help boost global growth into next year.
Read MoreNothing in the inflation data for the three months to June that would cause the Reserve Bank to change its approach to monetary policy.
Read MoreThe June quarter and 2018-19 inflation outcomes will be out this week and with the RBA already making very clear that further rate cuts are on the cards, the data will confirm that inflation remains too low for the central bank.
Read MoreThe Australian jobs market is slowing, as the Reserve Bank feared, but don’t expect any more rate cuts because the central bank reckons it has done enough for the time being and wants to see what happens when the $8 billion in tax returns start hitting the shops.
Read MoreAs forecast, China’s economic growth slowed in the three months to June to an annual rate of 6.2% – a 27-year low. Partly offsetting the confirmed slowdown was stronger-than-expected gains in June factory output and retail sales.
Read MoreChina is expected to report its slowest economic growth in at least 27 years later today when it reveals its June quarter and first half (for 2019) GDP figures.
Read MoreThe chances of a US rate cut seem to have improved sharply after the first of two appearances before US Congress by US Federal Reserve chair Jay Powell.
Read MoreFor the first time in months, Chinese consumer inflation was steady in June, but there was a worrying slowdown producer price rises which fell to the slowest pace since mid-2016.
Read MoreThe mini-rally in shares in troubled franchise operator, Retail Food Group’s ended yesterday after a two-day surge that saw them jump 60%.
Read MoreYou can rule out an interest rate cut by the Federal Reserve at the end of this month after the much stronger than expected jobs performance of the US economy in June.
Read MoreMore confirmation that the Australian economy continues to drift towards the edge of a slide with a weak retail sales reading for May and the first fall in job vacancies for over a year.
Read MoreA record trade surplus for May should be followed by a similar result for this month after successive five year plus highs for iron ore prices this week.
Read MoreThe slide in house prices slowed in June, now building approvals for May have shown a small sign of slowing on an annual basis. Are we seeing a bottoming out in the weak home building and renovation sector?
Read MoreMore rate cuts are on the cards from the Reserve Bank after the central bank cut its cash rate by 0.25% for the second month in a row.
Read MoreThe Reserve Bank monetary policy meeting in Darwin today will have a tiny bit of good news to consider (and ignore) – the slide in house prices again slowed last month with small rises being recorded in Sydney and Melbourne for the first time 21 months.
Read MoreThe economic news from major Asian economies – China, Japan, and South Korea – wasn’t encouraging at the start of July, the third quarter and the new financial year (in Australia).
Read MoreThe possibility of a rate cut from the Reserve Bank tomorrow and the usual start of month data for May on trade, building approvals, and retail sales will hold the attention of local markets at the start of the 2019-20 financial year.
Read MoreThe future direction of gold and other commodities and markets will be set this weekend by the outcome of the offstage meeting between President Donald Trump and China’s President Xi at the G20 meeting in Osaka.
Read MoreIt seems Australia and NZ central banks are lockstep on monetary policy after the latest statement from across the Tasman.
Read MoreWhile the risks are higher this time around, my inclination is still to see the current period as just another global growth scare like those in 2011-12 and 2015-16 which will give way to somewhat stronger growth globally and higher share markets on a six to 12 month view.
Read MoreReserve Bank Governor Philip Lowe has made it clear he wants the federal and state governments to help monetary policy lift the Australian economy, wages and keep employment buoyant.
Read MoreIt wasn’t quite what financial markets had wanted from the Fed – a sort of watch and wait stance with a more obvious bias towards a rate cut, but no rate cut or hint of any timing. Markets wanted more definite news on the timing of a rate cut.
Read MoreSeveral positives suggest recession is unlikely: the current account deficit has collapsed; the $A helps stabilise the economy; the drag from falling mining investment is over; there is scope for extra fiscal stimulus; infrastructure spending is booming; there has been no sign of panic property selling; economic policy remains sensible; population growth remains strong; and the RBA can still do more.
Read MoreChina’s industrial output growth continues to slow hitting a 17-year low in May, while investment also weakened last month, as did the pace of activity in real estate.
Read MoreGiven the downside risks for the $A and that being short the $A is a good hedge against threats to the global outlook it still makes sense for Australian investors to maintain a decent exposure to foreign currency via un-hedged global investments.
Read MoreAustralia’s jobless rate in May was steady in both trend terms (5.1%) and seasonally adjusted (5.2%), according to the latest labour Force report from the Australian Bureau of Statistics – a sign perhaps that the labour market is starting to fade.
Read MoreChina’s exports unexpectedly rose 1.1% in May from the same month in 2018, but imports also surprised with a larger than expected slide of 8.5%.
Read MoreOn Monday Japan reported economic growth of 0.6% for the March quarter from the December quarter (up from 0.5%). The annual rate was 2.2%, up from 2.1% in the first estimate and a 1.6% rate in the 4th quarter of 2018.
Read MoreThe reason why the Reserve Bank cut rates this week and why at least one, and possibly two more cuts are very likely was shown in the March quarter National Accounts with annual growth slowing to its most sluggish since the GFC a decade ago.
Read More|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Error: Contact form not found. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DOWNLOAD RESEARCH REPORTSecures binding contract with Tier-1 OEMUS based anode active project gathers momentumMagnis Energy Technologies (MNS.ASX) – MNS is planning an anode active facility in the US and recently announced a binding, yet conditional, contract for the supply of anode active with Tesla. The contract is for a minimum 17.5kt/year with an option to purchase another 17.5t/year. Conditions precedent carry a tight development timeframe, with first production scheduled for February 2025. Site selection is underway and co-locating with an OEM on a brownfields site makes sense. Long lead items have been ordered and detailed engineering and design is expected to commence soon. |
|
December Quarterly Report: Q2 FY2023Looking past the rain – there’s a rainbow.TerraCom released their operating results for the December quarter FY2023 with operating metrics being in line with our forecasts. Unseasonal rains in both Australia and South Africa contributed to operational and logistical issues across all mines, however guidance for annual production at Blair Athol is unaffected and highlights the quality of TerraCom’s skills in operational management. We continue to like the stable operating metrics around the company’s Australian operations and see potential for the South African operations to benefit from increased management focus given the rationalisation of operations following the closure of the Ubuntu mine. Corporate Connects overall financials remain unchanged as does our target price of $1.35 share. We maintain our forecast for a fully franked quarterly dividend of 7.5c/share to be paid in the March and June quarters of FY2023. |
|
DOWNLOAD RESEARCH REPORTHigh performance synthetic anode & cathode materials Building a US based materials supply chainNOVONIX (ASX:NVX) – is scaling a synthetic anode materials plant in the US and piloting nickel rich cathode material in Canada. Why? China is dominant and growing – 100% of global natural anode and 68% of synthetic anode is refined in China. In short, China controls the global midstream battery chain by controlling 60% of chemical refining, 87% of anode manufacturing, 61% of cathode manufacturing and 73% of battery manufacturing. It is global battery supply and price domination at scale. |
|
|
|
|
|
|
|
DOWNLOAD RESEARCH REPORTAntisense Therapeutics (ANP) Taking a Quick Approach to Long COVIDThis report looks at the results of a collaborative study Antisense undertook which looked at the largest protein expression database in Long COVID-19 patients who experienced neurologic symptoms well after the primary or acute SARS-CoV-2 infection was considered over (Groups 1 & 2, with 48 subjects Group 2 comprising a single patient from a different clinical site). The symptoms and others experienced by such patients result in a highly significant amount of illness, possibly more than all primary SARS-CoV-2 infections i.e COVID-19. |
|
|
|
|
DOWNLOAD RESEARCH REPORT4Q reveals more focus on profit and cash flow• LBY’s 4Q FY22 quarterly activities update showed continued solid growth in top line metrics, albeit slowing, with GMV of NZ$203m (+26% on pcp) and income of NZ$12.1m (+23% on pcp).
• Net Transaction Margin (NTM) disappointed at -0.5%, due to further increase in credit losses from 4.0% to 4.9% of GMV. However, new fraud and credit risk management tools have seen losses recover materially with NTM back to 1.2% in March and LBY is confident of further recovery in coming months.
|
|
DOWNLOAD RESEARCH REPORTSigns MOU with Ford Company – Kachi is now sold out!Lake Resources (LKE. ASX) – LKE has signed two non-binding MOU’s in the space of 10 days. Ford Company (Ford) has signed an MOU for ~25,000t/year and last week Hanwa, a Japanese commodity trader signed a MOU for up to 25,000t/year. Subject to execution, this is an amazing feat as Ford and Hanwa are prepared to enter into longer-term strategic partnerships with LKE. Commercial negotiations are still ongoing but are expected, especially if Ford & Hanwa inject new equity into LKE, to further de-risk the project financing & thus ensure LKE and Kachi are fully funded. |
|
DOWNLOAD RESEARCH REPORTStrategic Vanadium-battery growth with Titanium & Iron earnings resiliencyTNG Ltd is an ASX-listed technology owner and developer of the world-class Mount Peake near-surface vanadiferous titanomagnetite deposit. To unlock value, TNG will concentrate ore from its central Northern Territory mine for processing through its patented TIVAN® process produce three premium quality revenue streams: hi-purity vanadium pentoxide (V2O5) for steel alloys and Vanadium Redox Flow batteries, a quality titanium pigment for paints and a premium steel input with >64%Fe iron ore fines. |
|
Promising exploration and development update while SOP prices continue to riseTwo recent gravity surveys have considerably exceeded expectations and revealed potential for extensions to the existing MRE at Lake Throssell, plus a material growth opportunity at Lake Yeo. This reinforces the potential for a multi-decade, Tier-1 SOP production hub based around Lake Throssell. TMG is currently completing work towards the PFS due early 2023, including drilling to start in Q3 2022, evaporation trials and permitting activities. Results from these programs will support the PFS and any future resource upgrade. Benchmark SOP prices have risen to ~US$940/t due to recent geopolitical developments. The Oct 2021 Scoping Study assumed a SOP price of US$550/t and contained a sensitivity analysis showing every 10% increase in price drives a +$144m increase in the project NPV of $364m. The c.70% increase above the Scoping Study thus implies a project NPV of ~$1.4bn. |
DOWNLOAD RESEARCH REPORT
|
DOWNLOAD RESEARCH REPORTIncreasing our TargetDespite the lower realised oil and gas price, which fell by 5.4% and 19.7% respectively in August, Calima managed to show improvement in its key business metrics. We expect higher production in November due to the contribution by the new Thorsby wells which will be drilled in August/September which will see Calima meet its 2021 production guidance of 4,500 boe/d. |
|
DOWNLOAD RESEARCH REPORTEmerging Financial Wealth Advisory GroupWT Financial Group Limited (WTL) is a growing diversified financial services company, founded in 2010 and listed on the Australian Stock Exchange (ASX) in 2015. Its advice and product offerings are delivered primarily through a group of independent financial advisers operating as authorised representatives of WTL under its Wealth Today Pty Ltd (Wealth Today) and Sentry Group Pty Ltd (Sentry Group) dealer group operations. It has around 275 advisers across more than 200 financial advice practices Australia-wide. It also operates a direct-to-consumer operation under its Spring Financial Group brand. |
|
DOWNLOAD RESEARCH REPORTImmutep Taking the Fight to CancerIn May 2021, Corporate Connect analyst Marc Sinatra published a comprehensive research report on ASX-listed biotech Immutep Ltd (ASX: IMM). So impressed was he with IMM that Corporate Connect felt it imperative that a follow-up report be released placing a valuation on the company, because the market was not seeing the vast potential of eftilagimod alpha (efti). This follow-up report has been released today. Using comparables, after adding cash back to their EV estimate and dividing by the total number of issued shares, Corporate Connect now places the fair value of an Immutep share at $A2.20. |
|
DOWNLOAD RESEARCH REPORTMarket leading lifelong learning platform technology company in Australia and SE AsiaPayGroup (PYG) delivers multi-country BPO services and cloud SaaS HCM solutions, assisting companies to manage employees in multiple, complex jurisdictions. The company has many growth opportunities, including new clients, new jurisdictions, new products, partner expansion, and new revenue sources. PYG’s scalable business model allows operating leverage and with savings from in-housing third party technology, support margin expansion. |
|
DOWNLOAD RESEARCH REPORTMarket leading lifelong learning platform technology company in Australia and SE AsiaOpenLearning (OLL) is a higher education technology company that operates a scalable online learning platform through a software-as-a-service (SaaS) business model and provides a global marketplace of high quality courses for learners of all levels. Its primary customers are education providers based in Australia and South-East Asia (primarily Malaysia). OLL started operations in Australia in 2012 and expanded to Malaysia in 2015, Singapore in 2018, and recently also Indonesia. |
|
