The Good Morning Report – 7 November

5 Things that Grabbed my Attention

1. I think the RBA is going to HIKE rates today by 0.25%.

2. The KOSPI (South Korean stock market) surged 5.4% after implementing a short selling ban.

3. Former APRA chairman, Wayne Byres is about to become a director of Macquarie Bank (MQG)....nice cozy little club isn't it?

4. Westpac CEO is not seeing signs of its customers falling behind in repayments....With negative real wage growth, rising rates and inflation zooming over the past 2 years - I'm truly amazed by this.

5. Fortescue (FMG) has abandoned plans to build a multi-billion wind/solar/battery farm in WA....Projects like this just don't stack up economically or environmentally and only exist thanks to massive government subsidies.

ASX Market Update

ASX 200 up 19 points to 6997

Banks were stronger after Westpac's (WBC) glowing report on the state of its mortgage book. It is almost a miracle that their customers are not feeling any squeeze.... Anyway - I'm not getting caught up in the excitement and maintain my AVOID rating on the sector. WBC added 1.95%, NAB up 0.96% and ANZ put on 0.55%

Random Observation

Is the massive SCAM that is ESG about to start unravelling?

The Day Ahead

• Our SPI is down 28 points
• Bitcoin down 0.2% to $35,002

Movements affecting our resource stocks today (USD)

• BHP in the US down 0.2%
• Newmont down 2.69%
• Gold down 0.6% to $1986
• Paper Silver down 0.6% to $23.14
• Platinum down 2.95% to $916
• Copper up 0.81% to $3.71
• Brent Crude up 0.48% to $85.30
• Iron ore up 0.7% to $123.75

Asian Market Update

China up 0.91%, Hong Kong added 1.7% and Japan put on 2.7%

The ban is going to be in place until June 2024....

KOREAN TECH STOCK INDEX IS NOW UP ALMOST 12% TODAY AFTER SOUTH KOREA BANNED SHORT SELLING

ITS LIKE THE NASDAQ GOING UP 12% IN A DAY AFTER THS US BANS SHORT SELLING https://t.co/q6D5sBxOk6 pic.twitter.com/CpuJuyY1pA

— GURGAVIN (@gurgavin) November 6, 2023

Global Market Update

US Market

DOW up 34 points to 34095

Pretty quiet session on Wall Street to start the week as stocks finished mostly FLAT.

Saw this....The FED's money printer would have to start again if investors baulk at funding the US government.

OVERSUPPLY OF US DEBT LEAVES FEW TAKERS FOR TREASURIES - FT

— First Squawk (@FirstSquawk) November 6, 2023

European Markets

Germans up 0.35%, Brits FLAT and Frenchies dipped 0.48%

Ryanair shares gained 5% after announcing it expects to make it's highest ever record profit as the boom in travel continues.