The latest market news, commentary and strategy by Adrian Rowney
5 Things that Grabbed my Attention
1. JP Morgan boss Jamie Dimon is starting to talk STAGFLATION.
2. Australian Agriculture (AAC) is trading at a 50% discount to its NTA....Insane considering live cattle futures continue to make fresh record highs....AAC is a BUY last sale $1.305
3. New Hope (NHC) boss said insurers are 'mellowing' their attitude towards COAL miners in Australia....are they starting to cotton on that our high energy, low sulphur COAL is way better for the environment than the solar/wind/battery combos will ever be?
4. The iShares 20 Plus Year Treasury Bond ETF just found a fresh low and has now tanked a whopping 50% over the past 3 years...sure bonds could have a bounce from here, but they are still a STRONG AVOID on my BOOK.
5. ANZ-Roy Morgan Consumer Confidence index fell 3.4 points last week....Aussie consumers still very pessimistic as inflation chews up spare cash.
ASX Market Update
ASX 200 down 38 points to 7038
SEV.EN Global Investments which is owned by a Czech billionaire, has bought a 51% stake in Coronado (CRN)...It is a joke that our Industry Super and other Aussie institutions gave up the chance to own a big piece of the pie at a very good price....CRN is one of the best exposures you can get to the growing Indian economy as they need metallurgical COAL to make steel. BUY last sale $1.88
Stupidity of the WEST on full display...
The Day Ahead
- Our SPI is down 28 points
- Bitcoin down 0.44% to $26,186
Movements affecting our resource stocks today (USD)
- BHP in the US down 1.86%
- Newmont down 2.78%
- Gold down 0.92% to $1918
- Paper Silver down 0.98% to $23.15
- Platinum down 1.1% to $906
- Copper down 0.7% to $3.64
- Brent Crude up 0.8% to $94.04
Asian Market Update
Japan down 1.11%, China down 0.43% and Hong Kong off 1.48%
The law of probability would indicate that LITHIUM is due for bounce...
#China's most-traded #lithium carbonate futures contract in Guangzhou tumbled 5.87% to breaks through 150,000 yuan/tonne mark and closed at 149,100 yuan/tonne.https://t.co/haGgRmRP6L pic.twitter.com/vBFfHqfIHd
— YUAN TALKS (@YuanTalks) September 26, 2023
Global Market Update
DOW down 422 points to 33,586 (half hour to go)
The Volatility Index which is also known as the FEAR INDEX surged 14%....Consumer confidence figures showed punters are feeling pessimistic which is not good considering consumer spending accounts for a whopping 70% of US economic activity.
Germans off 0.97%, Brits FLAT and Frenchies fell 0.7%
AUTOS and TECH led the declines....The Brits managed to close FLAT as the pound sold off again (a weaker currency means higher profit margins for UK firms with foreign earnings).
Key Market Summary