The latest market news, commentary and strategy by Adrian Rowney
5 Things that Grabbed my Attention
1. APPLE announced an eye popping $110bn share buyback sending the stock up 7% in after hours trade….Market doesn’t care that overall sales fell 4% and iPhone sales dropped 10%.
2. NAB is still predicting the RBA is going to deliver a stack of rate cuts with the first starting in November. They target rates will fall from 4.35% to 3.1% during 2025.…Careful out there – it is very likely to be a trap.
3. The Bank of Japan intervened on the YEN again….ZeroHedge is reporting they have spent US$55bn in the past few days propping it up.
4. If Woolies (WOW) was gouging us they would have reported a bumper quarter, however WOW shares fell 4.1% on the rising costs leading to shrinking margins. (To anyone paying attention – the politicians have been exposed as liars yet again).
5. 1 ounce of GOLD now buys 2.5 ounces of PLATINUM…..This is absolutely ridiculous crazy because PLATINUM is 20 to 30 times rarer than GOLD.
ASX Market Update
ASX 200 up 17 points to 7587
Bapcor (BAP) which owns Autobarn, Autopro and Burson, tanked 25% after issuing a profit downgrade on the back of weaker consumer….There is going to be a long line of disappointing retail stocks over the coming 12 months as a growing number of Aussies are stone cold broke and swimming in debt.
Tough STAGFLATIONARY times are coming : AVOID RETAILERS….There will be a time to buy these kind of stocks but now is not it.
Random Observation
Quick Analysis of GOLD to PLATINUM ratio:
–Gold is currently at an all time high Vs Platinum
-1 oz of Gold gets you 2.5 oz of Platinum
-1 oz of GOLD would get you less than half an oz of Platinum in 2008
–Platinum has lost about 6 times it’s value Vs Gold since 2008
–Gold market is not in deficit
–Platinum market is in deficit (meaning mining supply is insufficient to meet demand)
Conclusion: Platinum is CHEAP – BUY ETPMPT
The Day ahead
- ASX SPI 200 up 33 points
- Bitcoin up 2.8% to $59,100
- BHP in US was up 1%
- Newmont in US up 1.16%
- URNM in US was up 3.36%
Movements affecting our resource stocks today (USD)
- Gold up 0.1%% to 2313
- Paper Silver up 0.68% to $26.93
- Platinum up 0.85% to $963
- Palladium down 1% to $939
- Copper down 1% to $4.50
- Brent Crude up 0.25% to $83.65
- Iron ore up 1.15% to $117.25
Asian Market Update
Japan down 0.1%, Hong Kong up 2.5% and China off 0.26%
What about the reversal of fortunes in Hong Kong!
Global Market Update
US Market
DOW up 322 points to 38,225
A huge M&A deal was announced overnight with SONY and APOLLO teaming up to takeover PARAMOUNT in a $26bn deal.
European Markets
Germany down 0.2%, Brits up 0.63% and Frenchies off 0.88%
Why are we tolerating AirBus Albo, Blackout Bowen and our moronic Premiers implementing an energy model that is guaranteed to fail?….Perhaps it’s time the Idiocracy movie gets moved to the non-fiction section.