The latest market news, commentary and strategy by Adrian Rowney
5 Things that Grabbed my Attention
1. Mark my words – there will one day be a Royal Commission into Industry Super and their sketchy unlisted investments (renewables, private credit, bonds and venture capital/private equity) and how they over inflated returns for years…..Australian Super’s $1.1bn private equity loss was the tip of the iceberg.
2. Chalice (CHN) recently turfed 2 board members as part of a strategy to cut expenses – only 4 remain……I hope this becomes a new trend on the ASX.
3. For every $100 you spend at Coles (COL) they make just $2.70 – this skinny margin has stayed fairly constant for years….Politicians and media that claim gouging is going on are lying in order to cover up for the $300bn that the RBA printed out of thin air.
4. BOSS Energy (BOE) bought 1.25 million lbs of URANIUM (@US$30) a while ago which gives the company a great safety net if they run into any future production difficulties….BUY last sale $3.12
5. Directors have been buying decent amounts of Santos (STO)….Follow the insider money – they know better than you (and me)….BUY last sale $7.41
ASX Market Update
ASX 200 down 15 points to 8069
BHP reported an underlying net profit of $13.52 Billion for the FY on revenue of $55.66 Billion which was up 3%. If you add in the nickel division writedown, the net profit after tax came in at $7.9 Billion. A US$0.74 dividend was declared and will go Ex on the 12th of September meaning you have to buy it no later than the 11th to be entitled……Overall the market seemed pleased as the stock closed 1.25% higher.
BHP is an absolute powerhouse in COPPER – a commodity that is essential for humanity. Extracting the stuff is getting harder and more expensive by the year at a time when demand will keep rising. I still predict that over the next couple of years, prices of COPPER will double/triple or more…..BHP is a BUY
Random Observation
Considering we are in profit reporting season, here is a great little clip that breaks it down…
The Day Ahead
- ASX futures are down 27 points
- Bitcoin down 2.3% to $61,933
- BHP in US up 0.29%
- Newmont in US up 0.84%
- URNM in the US was FLAT
Movements affecting our resource stocks today (USD)
- Gold up 0.2% to $2560
- Paper Silver FLAT @ $30
- Platinum down 0.59% to $967
- Palladium up 0.14% to $961
- Copper up 0.4% to $4.23
- Brent Crude down 1.89% to $79.89
- Iron ore up 1.3% to $101.70
Asian Market Update
Japan up 0.47%, Hong Kong added 0.43%, China off 0.24%
A bit of steel in this sucker….WOW!!
Global Market Update
US Market
DOW was FLAT @ 41,250
Stocks on Wall Street were little changed overnight as traders were waiting for Nvidia’s earnings report that will be released after the market close.
European Markets
Germans
Read this – but don’t laugh as we are basing our energy model off Germany…. This is a great way to create stagflation.
Key Market Summary
