The latest market news, commentary and strategy by Adrian Rowney
5 Things that Grabbed my Attention
1. Star Group (SGR) is in a trading halt as the NSW government has ordered another inquiry into their Sydney Casino….SGR could get their license stripped away. Maybe they will end up being forced to sell the Star Sydney to the government at cents in the dollar….Hey – don’t laugh… we are governed by SOCIALISTS at the state and federal level. Maintain AVOID
2. Warren Buffet has started selling down some of his giant holding in APPLE.
3. Bezos sold another $2bn worth of Amazon…that’s $6bn in the past 2 weeks.
4. Bill Gates is also reported to be aggressively dumping stocks from his portfolio…..The big hitters are taking money off the table.
5. Inghams (ING) have sold off after warning of inflationary pressures impacting its business….Management will soon work out that they need to bump up the price of chooks again….I think the stock is a good defensive BUY with a nice dividend yield.
ASX Market Update
ASX 200 up 9 points to 7667
Mixed bag of reports….Market liked what A2 Milk (A2M) had to say and pushed stock up 12%. While Lend Lease (LLC) disappointed yet again with another profit downgrade – it copped a 14% touchup. Over the past 4 years, the large property group has only turned a profit once…..LLC looks so poorly managed that even the government could probably come in and make it more efficient! With the stock trading at a big discount to NTA the Wall Street vultures are bound to be circling.
Random Observation
I cut the below from the Inghams (ING) presso….The amount of chicken gobbled up at home surged by 8.9% while eating chicken out and about fell 3.1%….Chicken is still cheap Vs other proteins so consumption will keep growing. I expect Inghams to increase prices again to compensate cost pressures. BUY
The Day Ahead
- SPI is up 3 points
- Bitcoin up 0.5% to $52,111
- BHP in US SHUT
- Newmont in US SHUT
- RIO in London up 2.34%
Movements affecting our resource stocks today (USD)
- Gold up 0.26% to $2029
- Paper Silver down 1.87% to $23.03
- Platinum down 0.67% to $906
- Copper down 0.73% to $3.81
- Brent Crude down 0.17% to $83.33
- Iron ore down 3.1% to $127.25
Asian Market Update
Japan FLAT, Hong Kong off 1.13% and China added 1.56%
With trillions in built up savings, the Chinese are traveling again. I wouldn’t be surprised to see them flood back over to Australia….
Global Market Update
US Market
DOW SHUT for PRESIDENTS DAY
The Black Swan ETF was setup to make enormous profits should the stock market crash. The ETF bought out of the money put options which is a way to get super duper leverage to a market plunge. Problem was – the market didn’t crash, so the fund went bust.
European Markets
Germans down 0.15%, Brits up 0.22% and Frenchies were FLAT
SSR Mining shares have been smashed. On the ASX the stock peaked at about $33 in 2022 – today it’s just $7….What could go wrong for this GOLD miner has gone wrong. Fortunately we have no exposure.
