End of Day Report

ASX 200 bounces 75 points to 7421 (+1.0%) in a solid yet unexciting day really. Third weekly decline still, and down 77 points on the week. Banks led the charge up, with CBA hitting record highs up 0.7%. The Big Bank Basket up to $193.89 (+1.0%). MQG rallied 1.5% with insurers up as QBE rallied 0.5% and SUN up 0.9%. REITS found friends, GMG up 1.7% and SGP up 1.2%. Healthcare had a good bounce CSL up 2.2% and RMD rallying 2.2%. Industrials firm too, REA up 1.5% and ALL up 3.2%. TLC up 6.0% as Powerball hits $150m next week. Tech rallied in line with Nasdaq gains, The All-Tech Index up 2.0% with WTC up 2.9%, and XRO rallying 4.8%. ZIP had a good day up 11.4% on a broker upgrade. Retailers mixed, JBH down 1.2%, with PMV up 1.3%. Resources a mixed bag, oil and gas better, WDS up 1.6% with coal stocks lifted by WHC production up 3.8%. BHP flat, RIO up 0.9% and FMG up 2.0%. Lithium stocks mixed, PLS up 0.3% with gold miners finding buyers, even EVN up 1.9% as bargain hunters stepped in. In corporate news, MSB jumped 13.2% on FDA approval. Iron ore futures are better on some pre-holiday restocking, and Dalian Futures are up 1.2%. Asian markets mixed, Japan up 0.6%, China down 0.6% and HK down 0.4%. 10-year yields up to 4.113%. Dow Futures down 41 points. NASDAQ Futures up 47 points. 

MAJOR MOVERS

• ZIP +11.4% sprinted ahead.
• IMU +5.0% promising Phase 1 results.
• WC8 +4.2% cats bounce.
• JIN +7.0% TLC +6.0% $150m Jackpot.
• WHC +3.8% good production pivot.
• MSB +13.2% FDA approvals.
• EML +9.9% broker upgrades.
• OPT +5.2% doing well again.
• HUM +5.4% Buy Back update.
• LRS -9.1% lithium depressed.
• DYL -6.1% profit taking.
• BOE -3.2% PDN -2.0% profit taking in sector.
• Speculative Stock of the Day: Nothing on any volume.

• Winners: ZIP, BLX, JIN, TLC, IMU, XRO, WBT
• Losers: LRS, DYL, BOE, PRN, APM, GNE

COMPANY NEWS

ECONOMIC AND OTHER HEADLINES

• The RBA should lift interest rates further and the Albanese government must deliver federal and state spending cuts to reduce inflation to target before 2026, the International Monetary Fund has advised.
• Japan's core CPI rose by 2.3% annually, hitting an 18-month low.
• Morgan Stanley analyst Richard Wiles is pessimistic about earnings and returns of Australia’s big banks, seeing “meaningful downside risks” if there’s a bumpy economic landing.
• China’s largest brokerage, Citic,  has suspended short selling for some clients in mainland markets.
• In China, about 240 local mutual funds were liquidated last year, according to Bloomberg-compiled data dating back to 2014. That’s the most since 2018.
• US Congress passes spending bill to avert government shutdown.
• Passive eclipses active in US fund market as assets swell to $13.3tn.
• JPMorgan paid chief Jamie Dimon $36mn in 2023.
• China’s BYD to build electric vehicle plant in Indonesia.

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