It’s Budget Day, with federal treasurer Josh Frydenberg set to front parliament with the details from 7:30pm (AEST) tonight.

For starters, iron ore is holding above $US200/t, when the government thought it would be $US60. That’s provided a material boost to the bottom line, as has the strong rebound in Australia’s jobs market.

Markets expect Frydenberg to keep the spending taps on as the economy emerges from the pandemic.

Among the key measures is a $7 billion extension to existing tax offset measures, which will see workers earning less than $126,000 eligible for an extra $1,080 at tax time.

The government will also shell out more cash for childcare subsidies, tourism, digital services, defence and the hydrogen sector.

Local markets have given back most of yesterday’s gains, with the ASX200 down 0.7pc in morning trade while the microcap Emerging Markets index slumped 1.5pc — on track for its worst day since March 5.

Gold ticked higher while the AUD — a barometer for global risk appetite — is holding above US78c. Cryptos edged lower with Ethereum currently back below its all-time high above $US4,000.
 

WINNERS

Here are the best performing ASX small cap stocks to 11:30am on Tuesday, May 11

Swipe or scroll to reveal the full table. Click headings to sort.

A gold strike helped Norwest Minerals (ASX:NWM) top the winner’s list, after it dug deeper underground on the hunt for the precious metal at the historical Bulgera open-pit site in WA.

CEO Charles Schaus said the drilling program revealed “shallow, wide, high-grade drill intersections” with “significant potential, especially with one of the holes ending in very-high grade mineralisation at only 210 metres”. Further drill planning is now underway to test the site’s down-dip potential.

Also rising strong was real estate investment manager APN Property Group (ASX:APD), which entered into a binding Scheme Implementation Deed following a takeover offer from Dexus.

The all-cash offer values the APN at 91.5c, a premium of 50 per cent to yesterday’s close.
 

LOSERS

Here are the worst performing ASX small cap stocks to 11:30am on Tuesday, May 11

Swipe or scroll to reveal the full table. Click headings to sort.