- The ASX closes slightly higher on Tuesday
- Energy adds 2.8%, Miners, Resources and Industrials
- Ahead tonight Microsoft and Alphabet earnings, this week the FOMC and Aussie June qtr CPI read
The ASX 200 is slightly higher on Tuesday ahead of tonight’s market moving earnings reports from Microsoft and Alphabet, as well as Wednesday’s critical Australian Q2 inflation data.
For now it appears to be the Energy and Mining sectors against the rest of the world.
The S&P/ASX Energy (XEJ) index is some 2.8% higher on Tuesday (near 3.15pm Sydney time).
The Aussie energy names have lifted strongly after Russian gas supply via the Nordstream 1 pipeline into Europe resumed but at just 20% of capacity sending EU gas and global crude oil prices higher.
The gains are evenly shared across the coal miners, the oil companies and the odd dabbler in uranium:
- Coronado Global Resources (ASX:CRN) up 4.7% to $1.46
- South32 (ASX:S32) up 4.6% to $3.73
- Paladin Energy (ASX:PDN) up 9% to $0.66
- Whitehaven Coal (ASX:WHC) up 6% to $6.4
Interestingly, over in the same materials space (and we’ve been batting on about this for a while now), China’s property dramas are going to hit the local iron ore sector in this new fiscal – and finally someone at Goldman Sachs is listening.
The iron ore market will start overflowing surplus in the second half of the year, pushing prices sharply lower, Goldman warned in a note overnight.
The investment bank says there’s more than 65m tons stockpiled and available for the rest of 2022, quite the turnaround from a first half deficit of 55m tons.
On Wednesday morning at 4am Sydenham time when I’m on my 250th sit up, The US Federal Reserve’s FOMC will retire from discussions, from the press pack and announce its interest rates decision.
Market consensus suggests a 75bp hike, but just because lots of people think the same thing doesn’t mean it’s right. Just sayin’.
BIG CAP WINNERS
Swipe or scroll to reveal the full table. Click headings to sort.
| Code | Name | Price | % Change | Volume | Market Cap |
|---|---|---|---|---|---|
| PDN | Paladin Energy Ltd | 0.67 | 9% | 17,360,176 | $1,831,334,086 |
| NAN | Nanosonics Limited | 4.565 | 7% | 1,092,910 | $1,285,817,650 |
| SYA | Sayona Mining Ltd | 0.2025 | 7% | 59,447,285 | $1,566,883,007 |
| WHC | Whitehaven Coal | 6.48 | 6% | 6,300,918 | $5,823,694,361 |
| TLX | Telix Pharmaceutical | 7.33 | 6% | 2,318,382 | $2,162,251,916 |
| NIC | Nickel Industries | 1.0825 | 5% | 7,816,335 | $2,813,211,702 |
| VUL | Vulcan Energy | 7.47 | 5% | 665,812 | $1,019,113,990 |
| IMU | Imugene Limited | 0.24 | 4% | 33,322,483 | $1,349,299,510 |
| BFL | Bsp Financial Group | 5.2 | 4% | 89,529 | $2,331,444,881 |
| BPT | Beach Energy Limited | 1.8025 | 4% | 9,194,486 | $3,946,707,225 |
| S32 | South32 Limited | 3.705 | 4% | 13,411,180 | $16,477,216,439 |
| SDR | Siteminder | 3.89 | 4% | 315,981 | $1,016,508,464 |
| MEZ | Meridian Energy | 4.39 | 4% | 42,871 | $5,337,762,510 |
| LTR | Liontown Resources | 1.22 | 3% | 8,843,556 | $2,586,825,734 |
There’ll be some debate, outrage even, that Myer (ASX:MYR) is even considered a fair-to-middling cap, let alone a large one – but when you’re a hundred years old, Myer was a big thing for a long time. And that puppy is charging ahead after the digitised department store update the market with a cracking forecast to double net profits for this year.
Finally Myer’s online presence is showing some presence.
- Cash just lying around is now topping $155m.
- Full year net profit to come in between $55m and $60m, up between 85%and 105%.
- 2H profit alone is forecast between $23m and $28m, those numbers are up 160 and 220% compared to 2H 21 (when it could only scrape together $8.8m for the six months to July 31.)
Meanwhile there’s a little love left for the two companies who most recently fell out of it – it’s our BNPL buddies and former merger mates, Sezzle (ASX:SZL) and Zip Co (ASX:ZIP) who both happen to be on top of an admittedly unlikeable buy now, pay later sector.
Shares in Zip are up 19%. (And the shares in smaller, left-at-altar-like-an-idiot SZL are about 30% higher.)
ZIP which has been so very smashed this year, is now heading again in the direction with which it has been most accustomed – total month to date gains just clocked 100%.
Shod of its leaden nuptials, last week Zip breathlessly reported a 27% lift in revenue for the June quarter.
BIG CAP LOSERS
Swipe or scroll to reveal the full table. Click headings to sort.
| Code | Name | Price | % Change | Volume | Market Cap |
|---|---|---|---|---|---|
| GRR | Grange Resources | 1.17 | -11% | 8,347,329 | $1,521,900,388 |
| IRE | IRESS Limited | 11.1 | -6% | 1,034,550 | $2,204,011,855 |
| FLT | Flight Centre Travel | 16.7 | -5% | 2,750,448 | $3,520,708,320 |
| PRU | Perseus Mining Ltd | 1.605 | -5% | 2,722,978 | $2,306,267,188 |
| BRG | Breville Group Ltd | 19.05 | -4% | 389,302 | $2,830,675,213 |
| CTD | Corp Travel Limited | 18.01 | -4% | 513,348 | $2,727,224,183 |
| LFS | Latitude Group | 1.665 | -4% | 12,124 | $1,796,538,461 |
| GNE | Genesis Energy Ltd | 2.5 | -3% | 45,128 | $2,719,387,563 |
| NCM | Newcrest Mining | 18.64 | -3% | 5,013,159 | $17,219,416,202 |
| HSN | Hansen Technologies | 5.655 | -3% | 320,620 | $1,179,553,085 |
| LSF | L1 Long Short Fund | 2.49 | -3% | 717,380 | $1,570,687,463 |
| MCY | Mercury NZ Limited | 5.27 | -3% | 7,991 | $7,503,414,625 |
| MP1 | Megaport Limited | 8.54 | -3% | 1,026,911 | $1,388,591,601 |
| LOV | Lovisa Holdings Ltd | 16.22 | -3% | 69,626 | $1,793,501,492 |
| ARB | ARB Corporation. | 31.01 | -3% | 155,659 | $2,611,199,669 |
| FBU | Fletcher Building | 4.57 | -3% | 356,720 | $3,680,630,456 |
Well. Iress (ASX:IRE) is struggling after losing its CEO. Share’s have picked up a little on Tuesday, but have still shed about 8%.