Closing Bell: ASX climbs back toward record highs as inflation softens
Broad market strength across six sectors
Banks move higher on interest rate cut anticipation
Soft inflation read points to likely rate cut
The ASX wasn't in bad shape by midmorning, but June quarter CPI coming in with the lowest inflation levels in almost four years gave the bourse some real legs.
Climbing 0.60% on six of 11 sectors, it's hard to pick which one had the most effect.
It was a steady climb from 11.30am AEST when the ABS revealed our June CPI print was just 0.7%, with inflation sitting at 2.1% for the past 12 months.
That's a good bit lower than the 2.6% expected, meaning markets are as sure as they can be that the RBA will be slicing interest rates yet again at its August meeting.
Westpac's Chief Economist and former RBA Assistant Governor Dr Luci Ellis threw down the gauntlet, saying the RBA no longer has any justification for keeping rates on hold.
"If they do decide to hold, I'd like to see what that argument is,' she challenged. Strong words from an economist.
Turning our attention back to the market itself, it was a group effort from the sectors on the bourse today.
Staples, real estate, discretionary and financials collectively lifted the ASX higher, resisting weakness in utilities, resources and technology.
Woolworths (ASX:WOW) and Coles (ASX:COL) added 1.6% and 1.9% respectively, diversified property investment firm Charter Hall Group (ASX:CHC) climbed 1.7% and JB HiFi (ASX:JBH) added 4.1%
The banks were, unsurprisingly, celebrating the inflation read and rubbing their hands together in anticipation of that juicy August rate cut, perhaps just around the corner now.
Our top seven banks climbed a minimum of 0.71%, with special mentions for Commonwealth Bank (ASX:CBA) up 1.55%, Westpac (ASX:WBC) with a 1.6% lift and ANZ (ASX:ANZ) adding 1.25%.
ASX SMALL CAP LEADERS
Today's best performing small cap stocks:
Code Name Last % Change Volume Market Cap
OLI Oliver'S Real Food 0.009 80% 9582179 $2,703,660
CMB Cambium Bio Limited 0.46 59% 103971 $5,301,973
BSA BSA Limited 0.14 56% 14673353 $6,777,023
ECT Env Clean Tech Ltd. 0.003 50% 6552072 $8,030,871
MX1 Micro-X Limited 0.086 39% 2656871 $41,366,540
SFG Seafarms Group Ltd 0.002 33% 583466 $7,254,899
PIM Pinnacleminerals 0.053 33% 2213674 $1,818,533
ATV Activeportgroupltd 0.014 27% 9695536 $7,556,748
SP3 Specturltd 0.015 25% 4485916 $3,802,801
MEL Metgasco Ltd 0.0025 25% 2910399 $3,674,173
MOH Moho Resources 0.005 25% 1880328 $2,981,656
ATS Australis Oil & Gas 0.011 22% 2267595 $11,862,562
IMI Infinitymining 0.011 22% 1764790 $3,807,142
DVL Dorsavi Ltd 0.029 21% 15438314 $21,868,727
1AI Algorae Pharma 0.006 20% 1681427 $8,436,974
AAU Antilles Gold Ltd 0.006 20% 3177272 $11,895,340
JGH Jade Gas Holdings 0.038 19% 397646 $53,978,693
IRD Iron Road Ltd 0.033 18% 130793 $23,259,398
IME Imexhs Limited 0.33 18% 3424 $15,021,790
FAL Falconmetalsltd 0.51 17% 1238811 $77,237,429
M4M Macro Metals Limited 0.007 17% 1020453 $23,864,505
OVT Ovanti Limited 0.007 17% 8182194 $25,645,942
TYX Tyranna Res Ltd 0.0035 17% 227750 $9,865,276
UNT Unith Ltd 0.007 17% 2968159 $8,872,713
PPK PPK Group Limited 0.565 15% 91320 $44,498,124
In the news…
Cold cathode X-ray technology specialist Micro-X (ASX:MX1) has tapped into a nationwide network of 700 hospitals with a new supply agreement through a major US healthcare provider, the first of its kind for the company.
MX1 secured the contract after a highly competitive tender process and a successful in-hospital trail of its Rover Plus mobile radiology system. The company is in discussions with a second major procurement group for a similar supply agreement.
Regenerative medicine company Cambium Bio (ASX:CMB) is on the up after a strategic investment from prominent Taiwanese firm Da Jyun Capital Investment closed out a share placement raising just over $2.1m.
The funds will enable a Phase 3 trial assessing Elate Ocular in dry eye disease, a type of off-the-shelf biologic eye drops produced from human platelets.
Infinity Mining (ASX:IMI) has been building out its portfolio of copper and gold projects this financial year, adding 3000 square kilometres to its Eastern Australian portfolio across 12 tenements.
Over in the west, IMI hit lithium grades up to 3.7% lithium oxide at its Woody lithium project, and released a maiden resource of 63k oz and an exploration target of 592k oz of gold for the Central Goldfields assets. The company is looking at divestment options for its western assets.
Pinnacle Minerals (ASX:PIM) is climbing despite launching a $1.76m share placement at $0.04 per share, a more than 25% discount on its intraday trading price of $0.054 a share. PIM is also offering a free attaching option at $0.08 each for every two shares subscribed for.
The fresh capital will go to exploration programs at the Adina East project in Quebec next door to several significant lithium projects and Pinnacle's rare earth and heavy mineral sands projects in Australia.
ASX SMALL CAP LAGGARDS
Today's worst performing small cap stocks:
Code Name Last % Change Volume Market Cap
OB1 Orbminco Limited 0.001 -33% 1 $5,103,852
M2R Miramar 0.003 -25% 1356442 $3,987,293
RGL Riversgold 0.003 -25% 5201000 $6,734,850
RLG Roolife Group Ltd 0.003 -25% 901930 $6,371,125
SCP Scalare Partners 0.135 -25% 360625 $7,530,304
CZN Corazon Ltd 0.002 -20% 4000000 $2,961,431
JAV Javelin Minerals Ltd 0.002 -20% 3415417 $15,630,562
PIL Peppermint Inv Ltd 0.002 -20% 2163343 $5,752,724
VFX Visionflex Group Ltd 0.002 -20% 646413 $8,419,651
RPG Raptis Group Limited 0.165 -20% 765029 $71,890,395
CDE Codeifai Limited 0.021 -19% 20567547 $12,269,425
EQS Equitystorygroupltd 0.023 -18% 55543 $4,670,971
WWG Wisewaygroupltd 0.15 -17% 20000 $30,123,575
AMS Atomos 0.005 -17% 78593 $7,290,111
EE1 Earths Energy Ltd 0.005 -17% 2477726 $3,179,785
TEG Triangle Energy Ltd 0.0025 -17% 535535 $6,267,702
COY Coppermoly Limited 0.011 -15% 92121 $11,474,547
AQC Auspaccoal Ltd 0.012 -14% 5119015 $9,806,546
ENT Enterprise Metals 0.003 -14% 150 $4,799,610
ENV Enova Mining Limited 0.006 -14% 10501341 $10,203,200
GTR Gti Energy Ltd 0.003 -14% 4514195 $13,029,292
MSG Mcs Services Limited 0.006 -14% 570164 $1,386,698
TSL Titanium Sands Ltd 0.006 -14% 1100000 $16,413,230
STH Stepchange Holdings 0.155 -14% 283651 $28,844,158
SMS Starmineralslimited 0.025 -14% 118888 $5,426,093
IN CASE YOU MISSED IT
Drilling of historical stockpiles at the Van Uden gold mine site in WA has delivered a strategic opportunity for TG Metals (ASX:TG6) to generate near-term cash flow.
Nordic Resources (ASX:NNL) has launched diamond drilling to test shallow targets for near-surface extensions along strike of existing resources at its Kopsa copper-gold project in Finland.
Phase 2 drilling by Ora Banda Mining (ASX:OBM) at the Davyhurst project in WA has expanded the multi-lode gold system at Little Gem prospect to a strike of more than 1km.
A desktop review and first-pass fieldwork has identified several iron-enriched rock chip samples at CuFe's (ASX:CUF) Camp Creek project in the NT.
Australia is sharpening its focus on sovereign technology as global security risks escalate Aerologix.
Trading halts
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
West Australian
9 minutes ago
- West Australian
More gold jackpots lurking in WA dirt, top miner says
The man who helped unearth one of Australia's biggest recent gold finds says there's plenty more motherlodes in them thar hills. Former De Grey Mining chairman Simon Lill hit the jackpot when his exploration team discovered the Hemi deposit in the Pilbara region of Western Australia in 2020. Despite the region being better known for its rich iron ore reserves, the discovery gave De Grey one of the most valuable gold assets in development in Australia, estimated at more than 11 million ounces of ore. The timing could not have been better, with bullion prices soaring to record highs in the years since, leaving the company sitting on top of more than $55 billion worth of gold at current prices. So De Grey cashed in, with Australia's largest goldminer Northern Star snapping the company and its Hemi project up for $5 billion. The deal earned De Grey and Mr Lill the coveted Dealer of the Year award at the glitzy closing night ceremony of this year's Diggers and Dealers mining forum. "De Grey Mining exemplifies all that makes our industry great," the conference's organisers said. "Exceptional market validation driven by resource expansion and investor anticipation." Now chair of Ballard Mining, an ASX newbie spun out of Gina Rinehart-backed Delta Lithium along with its high-grade Mount Ida gold project, Mr Lill said there was plenty more gold to be found in the red WA dirt. "I used to work with a crusty old metallurgist," he said on Wednesday. "He said, if it's under-explored, there ain't nothing there, i.e. the old timers have found it all. I think the gold industry in recent years has proven that that is wrong." Ballard already claims more than one million ounces of gold in its deposit, but with more exploration underway at the site, Mr Lill is confident that figure is just scratching the surface. "The geologists from De Grey were convinced that there'll be another Hemi somewhere," he said. Right next door to Ballard's Mount Ida project is a processing plant owned by privately-held gold producer Aurenne Group. It was only logical at some stage to hold discussions with Aurenne about potentially acquiring the facility, Mr Lill said. Flush with cash from the surge in gold prices to more than $5200 an ounce, mergers and acquisitions was a hot topic among delegates at the three-day mining forum in Kalgoorlie. Another recent M&A participant, Ramelius Resources, scooped the Digger of the Year award. The mid-tier miner, which a week earlier completed its $2.4 billion takeover of gold play Spartan Resources, achieved a record 301,664 ounces of gold production last financial year, demonstrating "outstanding operational and financial performance". West African explorer Turaco Gold won the emerging company award while the GJ Stokes Memorial Award went to Peter Cook, recognised for more than 40 years in the industry. A plane-load of workers was flown into Kalgoorlie to staff the gala dinner under the giant Diggers marquee on Wednesday night, before being flown back to Perth in the early hours of Thursday morning when the festivities had wrapped up.
AU Financial Review
9 minutes ago
- AU Financial Review
‘Tenant's playground': office vacancy at 30-year high
Nick Lenaghan edits the property section, which covers all aspects, from residential real estate and housing and construction to commercial property – office, retail, industrial – and major ASX-listed developers and real estate investment trusts.
Perth Now
9 minutes ago
- Perth Now
More gold jackpots lurking in WA dirt, top miner says
The man who helped unearth one of Australia's biggest recent gold finds says there's plenty more motherlodes in them thar hills. Former De Grey Mining chairman Simon Lill hit the jackpot when his exploration team discovered the Hemi deposit in the Pilbara region of Western Australia in 2020. Despite the region being better known for its rich iron ore reserves, the discovery gave De Grey one of the most valuable gold assets in development in Australia, estimated at more than 11 million ounces of ore. The timing could not have been better, with bullion prices soaring to record highs in the years since, leaving the company sitting on top of more than $55 billion worth of gold at current prices. So De Grey cashed in, with Australia's largest goldminer Northern Star snapping the company and its Hemi project up for $5 billion. The deal earned De Grey and Mr Lill the coveted Dealer of the Year award at the glitzy closing night ceremony of this year's Diggers and Dealers mining forum. "De Grey Mining exemplifies all that makes our industry great," the conference's organisers said. "Exceptional market validation driven by resource expansion and investor anticipation." Now chair of Ballard Mining, an ASX newbie spun out of Gina Rinehart-backed Delta Lithium along with its high-grade Mount Ida gold project, Mr Lill said there was plenty more gold to be found in the red WA dirt. "I used to work with a crusty old metallurgist," he said on Wednesday. "He said, if it's under-explored, there ain't nothing there, i.e. the old timers have found it all. I think the gold industry in recent years has proven that that is wrong." Ballard already claims more than one million ounces of gold in its deposit, but with more exploration underway at the site, Mr Lill is confident that figure is just scratching the surface. "The geologists from De Grey were convinced that there'll be another Hemi somewhere," he said. Right next door to Ballard's Mount Ida project is a processing plant owned by privately-held gold producer Aurenne Group. It was only logical at some stage to hold discussions with Aurenne about potentially acquiring the facility, Mr Lill said. Flush with cash from the surge in gold prices to more than $5200 an ounce, mergers and acquisitions was a hot topic among delegates at the three-day mining forum in Kalgoorlie. Another recent M&A participant, Ramelius Resources, scooped the Digger of the Year award. The mid-tier miner, which a week earlier completed its $2.4 billion takeover of gold play Spartan Resources, achieved a record 301,664 ounces of gold production last financial year, demonstrating "outstanding operational and financial performance". West African explorer Turaco Gold won the emerging company award while the GJ Stokes Memorial Award went to Peter Cook, recognised for more than 40 years in the industry. A plane-load of workers was flown into Kalgoorlie to staff the gala dinner under the giant Diggers marquee on Wednesday night, before being flown back to Perth in the early hours of Thursday morning when the festivities had wrapped up.
