The latest market news, commentary and strategy by Adrian Rowney
5 Things that Grabbed my Attention
1. AGL slashed its dividend and cut forward profit guidance....AVOID
2. Tanya Plibersek just killed Clive Palmer's planned 10 million ton per annum coking coal mine....This coal would have been sold to China in order to make the wind farms and EVs that Tanya tells us will save the planet!
3. Although not evident in yesterdays price action, Tanya's decision is great news for incumbent coking coal miners such as YAL, CRN and SMR....Tight supply = stronger for longer prices.
4. Anglo American Platinum (AMPLATS) has warned of lower PLATINUM production due to the severe energy crisis in South Africa....BUY ETPMPT - I predict this is going to be a HUGE winner for us one day....The existing PLATINUM shortage is probably the least talked about/known story in the markets today.
5. Disney is sacking 7000 workers....With all these mega corporates laying off a heap of staff, many are questioning how the US economy created 517K new jobs in January.
ASX Market Update
ASX 200 down 39 points to 7490
AGL shares fell 10% after issuing a pretty ordinary set of numbers and giving poor forward guidance....I wouldn't be surprised in the slightest to see AGL get nationalized one day - just like what has already happened to similar companies throughout Europe. AGL is loaded with debt and embarking on an environmentally destructive and economically unfeasible plan of rolling out solar/wind and battery storage while shutting down baseload power stations - 'GET WOKE, GO BROKE' seems to be their modus operandi.
My AVOID recommendation that I have had on AGL for quite sometime has been the right call - look at it's sick chart.
There was never going to be enough commodities to go around for this so called "Net ZERO" transition to start with and now we see governments banning mine approvals all over the place...Here is yet another one;
The Day Ahead
Results from NWS & REA
- Our SPI is down 10 points
- Bitcoin down 1.6% to $22,488
Movements affecting our resource stocks today (USD)
- BHP in the US was up 0.41%
- Gold down 0.55% to $1880
- Paper Silver down 1.4% to $22.10
- Copper down up 1.10% to $4.08
- Brent Crude down 0.6% to $84.48
- Iron ore up 2% to $123.80
Asian Market Update
Hong Kong rallied 1.6%, China up 1.18%, Japan was FLAT
Indian GDP per capita was just a measly US$2,256 in 2021; how could you not be happy to see them catch a lucky break with this cheap Russian OIL and other commodities?
Watch the below: this dude is not listening to any of the nonsense from the WEST.
India's oil minister has affirmed in an interview with RT that his country will continue to buy Russian oil despite mounting pressure from the West to stop purchasing the commodity from Moscow
— RT (@RT_com) February 9, 2023
Global Market Update
DOW down 185 points to 33,764 (one hour to go)
Tesla shares rallied another 5% as the SHORT SELLERS get smoked....What a stunning run this stock has had since the start of the year - now up around 100%.
Germans up 0.72%, Brits added 0.33% and Frenchies put on 0.96%
Credit Suisse shares tanked 15% after reporting a $7.9bn loss for 2022; wealthy investors have also pulled $100bn out from under their management.
What a train wreck....I am very surprised this fallout hasn't caused a financial contagion....but it is yet another RED FLAG.
Key Market Summary