Latest news with #marketstrength
News.com.au
12-08-2025
- Business
- News.com.au
Closing Bell: ASX navigates uncharted territory, surging on RBA rate cut
RBA cuts interest rates by 25 basis points ASX notches new all-time intraday and closing highs Broad market strength with 8 of 11 sectors green ASX breaks through 8870 points The ASX 200 set both a new intraday high (8885) and a new record closing high today, muscling higher on interest rate cut momentum to finish up 0.41% at 8880 points. The market had been fairly steady at about +0.2% for most of the day before making a strong climb as soon as the RBA decision came through. More on that in a moment. Of our 11 sectors, eight moved higher. Only real estate, info tech and industrials missed out. Utilities, consumer discretionary and financials led gains, adding about 0.83% each. Cash rate lowered to 3.6% The RBA cut interest rates by 25 basis points this month, as just about everyone was betting the central bank would. The market reacted with a quick spike that turned into some solid gains through the latter half of the day. "Because we didn't take rates as high as some other countries, it may be that we don't need to reduce rates as much either, as demand and potential supply in the economy get closer to balance and inflationary pressures ease,' RBA Governor Michele Bullock said. The term 'neutral rate' has been flying around today, as the market wonders where the RBA will settle in its monetary policy tweaking. It means a cash rate which would neither restrict nor encourage inflation, a sweet spot that would offer stable economic growth without risking uncontrolled price hikes. While we'd all love a hard and fast number for that, it's just not that simple. Bullock responded to the ABC's David Chau's question on the topic with a wide range of between 1% and 4%. 'The neutral rate is something that is a long run concept,' she explained, 'In the absence of shocks. And we are very often not in the absence of shocks. 'Our estimates are somewhere between 1 and 4. It's a very wide range. We don't put a lot of emphasis on the neutral rate in terms of thinking.' Westpac (ASX:WBC) and Commonwealth Bank (ASX:CBA) responded with instant cuts to their variable loan rates, while Macquarie (ASX:MGQ) had already signalled its intention to pass on any reductions in full. The ASX 200 Banks index added 0.74%. The banks themselves were mixed, with CBA and Macquarie lifting only marginally. ANZ (ASX:ANZ) shot up about 2%, joined by Suncorp (ASX:SUN) and QBE (ASX:QBE) while Westpac and NAB (ASX:NAB) added about 0.9% each. ASX Leaders Today's best performing stocks (including small caps): Code Name Last % Change Volume Market Cap AJL AJ Lucas Group 0.013 117% 37668546 $8,254,378 BEL Bentley Capital Ltd 0.025 56% 2524992 $1,218,047 LNU Linius Tech Limited 0.0015 50% 6247950 $6,501,216 LIN Lindian Resources 0.185 37% 22162189 $159,762,002 AM5 Antares Metals 0.008 33% 3492140 $3,089,117 AQX Alice Queen Ltd 0.004 33% 4592596 $4,154,089 PKO Peako Limited 0.004 33% 1579365 $4,463,226 ROG Red Sky Energy. 0.004 33% 1281137 $16,266,682 ANR Anatara Ls Ltd 0.009 29% 3685995 $1,495,132 SRJ SRJ Technologies 0.009 29% 2317321 $7,286,318 ZEU Zeus Resources Ltd 0.018 29% 12747199 $10,044,113 TUA Tuas Limited 7.08 28% 25147473 $2,577,974,009 GRL Godolphin Resources 0.014 27% 11757645 $4,937,606 SMS Starmineralslimited 0.038 27% 2259980 $5,613,200 SGR The Star Ent Grp 0.1125 26% 36484249 $255,312,598 AUA Audeara 0.024 26% 2473477 $3,418,753 MTC Metalstech Ltd 0.175 25% 717440 $31,087,694 CAV Carnavale Resources 0.005 25% 1067633 $16,360,874 CTO Citigold Corp Ltd 0.005 25% 5420000 $12,000,000 ERA Energy Resources 0.0025 25% 207608 $810,792,482 FRX Flexiroam Limited 0.005 25% 23901 $6,069,594 PIL Peppermint Inv Ltd 0.0025 25% 2499992 $4,662,820 PRX Prodigy Gold NL 0.0025 25% 2001571 $13,483,725 QXR Qx Resources Limited 0.005 25% 2739496 $5,241,315 VRC Volt Resources Ltd 0.005 25% 304877 $18,739,398 In the news… AJ Lucas Group (ASX:AJL) has settled a dispute over a carry agreement relating to UK shale gas exploration licences through subsidiary Cuadrilla Resources Limited, receiving a cash sum of £12.5m (about A$26m) and terminating the agreement. Antares Metals (ASX:AM5) has unearthed some promising rock chip results at the Conglomerate Creek prospect of the Mt Isa North copper and uranium project, grading up to 22% copper, 394g/t silver and 7.4 g/t gold. Mobile network firm Tuas (ASX:TUA) shares surged after raising $385m to acquire M1 Limited in a $1.43 billion deal. M1 is a digital network operator based in Singapore with offerings in mobile services, fixed services and handset and equipment sales. Audeara (ASX:AUA) is moving into the Chinese e-commerce space with a licensing agreement through Eastech Holding Limited, a Taiwan-listed company valued at about $350m. AUA will market its hearing technology under a third-party brand to be distributed via a Chinese e-commerce hearing aid provider with a strong online presence across major platforms, offering exposure to millions of potential customers. Godolphin Resources (ASX:GRL) has materially upgraded the Lewis Pond project's mineral resource, increasing gold 18% to 470koz and silver 31% to 21Moz. GRL reckons there's more room for growth in fresh lodes that haven't been incorporated into the estimate yet, and plans to do more drilling alongside metallurgical testing and a mining scoping study already underway. ASX Laggards Today's worst performing stocks (including small caps): Code Name Last % Change Volume Market Cap MEL Metgasco Ltd 0.002 -33% 134516 $5,511,260 NTM Nt Minerals Limited 0.001 -33% 8000 $1,816,354 RLC Reedy Lagoon Corp. 0.002 -33% 1999998 $2,330,120 SHE Stonehorse Energy Lt 0.005 -29% 4064735 $4,791,046 FNX Finexia Financialgrp 0.2 -27% 24487 $17,133,591 C7A Clara Resources 0.003 -25% 800 $2,353,084 LMLR Lincoln Minerals 0.003 -25% 2582442 $1,249,468 SRN Surefire Rescs NL 0.0015 -25% 8400000 $6,457,219 NAG Nagambie Resources 0.013 -24% 11895558 $13,656,140 EQS Equitystorygroupltd 0.02 -20% 1000000 $4,170,510 BUY Bounty Oil & Gas NL 0.002 -20% 101964 $3,903,680 MOH Moho Resources 0.004 -20% 284500 $3,727,070 RAN Range International 0.002 -20% 17123 $2,348,226 TMK TMK Energy Limited 0.002 -20% 1800000 $25,555,958 VEN Vintage Energy 0.004 -20% 608071 $10,434,568 EDE Eden Inv Ltd 0.038 -17% 541218 $9,452,787 GLL Galilee Energy Ltd 0.01 -17% 193760 $8,486,315 JAV Javelin Minerals Ltd 0.0025 -17% 2299 $18,756,675 KPO Kalina Power Limited 0.01 -17% 7071664 $35,195,948 RR1 Reach Resources Ltd 0.01 -17% 196086 $10,493,176 TFL Tasfoods Ltd 0.005 -17% 10000 $2,622,573 1AI Algorae Pharma 0.006 -14% 5523247 $11,811,763 RGL Riversgold 0.003 -14% 1 $5,892,994 RNX Renegade Exploration 0.003 -14% 4340000 $5,608,272 D3E D3 Energy Limited 0.315 -14% 163132 $29,008,377 In Case You Missed It Neurizon Therapeutics (ASX:NUZ) has begun manufacturing an initial registration batch of NUZ-001 tablets to potentially treat ALS and related neurodegenerative diseases. New data shows Recce Pharmaceuticals' (ASX:RCE) topical gel is highly effective against two challenging antibiotic-resistant bacteria affecting burns. AnteoTech (ASX:ADO) is breaking into the South Korean market with a distribution agreement with Kangshin Industrial Co. White Cliff Minerals' (ASX:WCN) regional drilling at the Danvers copper project in Nunavut, Canada, has extended known mineralisation and identified further sulphide mineralisation along strike. Green Critical Minerals (ASX:GCM) has transitioned into manufacturing VHD blocks, with Module 1 now commissioned at its VHD production plant. Everest Metals Corporation (ASX:EMC) has raised $4 million to advance its key trio of gold and critical minerals projects in Western Australia. QMines' (ASX:QML) high-grade copper and zinc intersections. Small language models promise faster, cheaper and more accurate AI translation, notes ASX-listed language tech company Straker (ASX:STG). Last Orders Tryptamine Therapeutics (ASX:TYP) has locked in a $2.6m credit line with Rockford Equity, secured against TYP's projected FY2026 R&D tax refund. The facility can be drawn down in $500k tranches, accruing interest at 16% per year on the outstanding balance. TYP also expects to receive an $800k R&D tax rebate from the ATO in the coming months. The fresh funding will go to fast tracking key development milestones for Tryptamine's binge eating disorder trial with Swinburne University. Trading Halts Bayan Mining and Minerals (ASX:BMM) – price query Centaurus Metals (ASX:CTM) – cap raise G11 Resources (ASX:G11) – new project acquisition Trigg Minerals (ASX:TMG) – assay results and new mineralisation discovery At Stockhead, we tell it like it is. While Tryptamine Therapeutics and Audeara are Stockhead advertisers, they did not sponsor this article.
Yahoo
03-07-2025
- Business
- Yahoo
5 reasons new market highs are not necessarily a sign to sell
You have no doubt noticed that several markets have hit new all-time highs this past week. Hooray! Yes, despite multiple wars, tariffs, inflation concerns, Trump Tantrums and dozens of other things to worry about, markets just keep chugging along. Many investors worry about new highs, thinking the end is nigh and this is a reason to sell equities. After all, they say, 'Don't new highs mean we are at a peak?' But we at 5i Research and i2i Capital worry less about them, and tend to see them as a confirmation of market strength rather than a cause of big new concerns. Sure, one can never get complacent about the market, at any time. But new highs in and of themselves we do not think are a reason to sell equities. Let's look at a few reasons for this viewpoint. Data show that investing at all-time highs has, on average, produced returns equal to or even better than investing at random times. For example, over the past 35 years, buying at new highs has worked out better on average than buying on any other day. One study by U.S. high-net-worth wealth manager Archbridge Family Office found that waiting for a 10 per cent pullback actually resulted in lower average one-year returns (7.1 per cent) than investing at the high (13.5 per cent). Waiting, of course, means you are not fully invested at all times and this can affect long-term returns. Using the artificial intelligence service Perplexity as well as Bloomberg LP data, we noted there have been about 1,700 new highs in the stock market since 1968. That equates to about eight per cent of the time, using the number of calendar days since then. The number is even higher, of course, if we only consider stock market trading days. When we look at very long-term investment returns we certainly would not want to be selling our stocks eight per cent of the time or more just because a new high was reached. New highs are to be more or less expected as a regular occurrence, and we would not specifically target selling because of them. We all know that U.S. President Donald Trump looks at the stock market as a gauge of the economic health of the U.S. But investors consider these things as well. Considering all of the problems in the world right now it is astounding that investors are becoming more confident and looking forward rather than backward. New highs can go a long way in improving investor confidence, and confidence, generally, can imply more buying. Right now, there is about US$7 trillion in cash sitting in U.S. money market funds on the sidelines. As interest rates fall (maybe this year), these investors have to be looking at the strong returns in the market and be wondering why they are earning three per cent fully-taxed annual interest when the stock market is already up about five per cent in just the first half of the year. Confidence in the market could see some of this US$7 trillion work its way into the stock market over time, supporting more buying. Companies, of course, love it when their stocks hit all-time highs. A nice stock price allows companies to recruit new employees more easily and certainly allows them to retain employees more easily (up to a point; if a stock goes up too much then some employees get so rich they retire). A high stock price allows a company to make acquisitions using its stock as currency. A high stock price allows a lower cost of capital if a company sells shares for new growth initiatives. 5 reasons long-term investing beats day trading 5 of the big stock winners of the past 20 years with eye-popping returns Small-cap stocks, after a decent rally was snubbed short by Trump's 'Liberation Day' tariff announcement, are still down about one per cent for the year so far, versus a gain of nearly five per cent for the Nasdaq. Small- and mid-cap companies historically do better over the long term but it is a market sector that needs confidence to really get going. If investors are setting new highs in the large-cap indices, then maybe, just maybe, this confidence will trickle down to the unloved (for now) small-cap sector. As markets rise, the valuation disconnect between large and small-cap stocks may be too big for some investors to ignore. Peter Hodson, CFA, is founder of 5i Research Inc., an independent investment research network helping do-it-yourself investors reach their investment goals. He is also portfolio manager for the i2i Long/Short U.S. Equity Fund. (5i Research staff do not own Canadian stocks. i2i Long/Short Fund may own non-Canadian stocks mentioned.) If you like this story, sign up for the FP Investor Newsletter. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CBC
08-05-2025
- Business
- CBC
How is Windsor's real estate market holding up under the shadow of a trade war?
The local real estate market is showing strength in the face of economic uncertainty, according to a local expert. Though as CBC's Katerina Georgieva explains, there are some shifts in the market sellers and buyers should pay attention to.
