Market highlights and ASX small caps to watch on Wednesday

Overseas Markets Highlights

In the US, Dow closed +0.05%, S&P500 +0.13%, and Nasdaq down -0.5%.

Federal Reserve Jerome Powell delivered a speech before Senate, saying that US benchmark rates will be kept near zero for the time being.

Bond yields in US and Australia have been steadily rising, with longer dated yields rising faster than shorter ones. A steepening yield curve is usually sign of an economic recovery.

US tech stocks have been dropping on the Nasdaq on the higher yields, as investors are now questioning the valuation of these growth stocks.

Bitcoin tumbles to US$48,000 level

Bitcoin tumbled by around 14% to trade at US$48,050 as at 8am AEDT today, as investors take profits.

The crypto has been in a correction phase in the last few days, after new US Treasury secretary Janet Yellen flagged the need to regulate the market, and that Bitcoin is “extremely inefficient at conducting transactions.”

ASX Highlights today

These are some of the companies making announcements before the bell this morning.

Accent Group (ASX:AX1) pays record dividends of 8c a share (5.3c last year) after digital sales helped it to a 53 per cent jump in profit to $52.8 million.

Payment Fintech Square (ASX:SQ) said it bought US$170 million worth of Bitcoins, adding to the US$50 million it already has. It also reported a net loss of US$82 million, even after full year revenues doubling.

Gold miner Silver Lake Resources (ASX:SLR) reported statutory after-tax profit up 48 per cent to $65.8 million. This comes after average gold price jumped 19 per cent to $2400 an ounce from the first half.

Mount Gibson Iron (ASX:MGX) reported a 67% increase in profits for first half to $74.5 million.

Gold miner Perseus Mining’s (ASX:PRU) first-half profit rose 21.3 per cent to $36.1 million, after revenue rose 4.5 per cent to $386.7 million

Appen (ASX:APX) swings to full year profit of $50.5 million, up 21% on pcp.

Wisetech (ASX:WTC) said it has upgraded its full year EBITDA by $10 million to a range of $165 million to $190 million.

Retailer City Chic Collective (ASX:CCX) reported a 25% increase in first half net profit to $13.1 million

Facebook signed a deal with Seven West Media (ASX:SWM)

5 ASX small caps on watch today:

Apiam Animal Health (ASX:AHX)
The company reported half-year NPAT of $2.6 million (up by 53.8%) on revenues of $61.2 million (up 8.9%)

Skyfii (ASX:SKF)
Data intelligence company Skyfii reported H1 FY21 Operating EBITDA of $1.6m, up 104% on 1H FY20 reflecting the continued focus on profitable growth.

Autosports Group (ASX:ASG)
The company reported Statutory NPAT of $16.0m up 132.2% on H1 2020FY

Opthea (ASX: OPT)
The clinical stage biopharmaceutical company announced that it has finalised the protocol study designs and key start-up activities in readiness for the initiation of the Phase 3 ShORe and COAST pivotal clinical trials of OPT-302 in wet age-related macular degeneration (AMD).

Imricor Medical (ASX: IMR)
Medical equipment maker Imricor said that its Maastricht University Medical Centre in the Netherlands has commenced procedures after lockdowns. The Centre is one of the sites conducting tests on Imricor’s MRI product.

At Stockhead we tell it like it is. While Apiam Animal Health is a Stockhead advertisers, it did not sponsor this article.