Market holds on to marginal gains: ASX closes 0.2% higher

Market Reports

by Lauren Hayes

Oil producers and miners weighed down the benchmark today. Energy slid 2.1 per cent with the pull back in coal prices. Following the print of unemployment to 3.4 per cent, the equal-lowest rate in almost 50 years, the market is fully pricing in a 25 basis points rate hike by the RBA in December.

At the closing bell, the S&P/ASX 200 was 0.19 per cent or 13.50 points higher at 7135.70.

The session’s best performer was asset manager Pendal Group (ASX:PDL), closing 10.54 per cent higher at $4.93, following a favourable court ruling, whilst its merger candidate Perpetual (ASX:PPT) sank 12.63 per cent to $27.59. The court ruling makes it nearly impossible for Perpetual to bow out of its proposed merger with PDL.

Webjet (ASX:WEB) also outperformed closing up 10.1 per cent off the back of its HY financial results reporting a better-than-expected profit.


The Dow Jones futures are pointing to a rise of 17 points.
The S&P 500 futures are pointing to a rise of 3.75 points.
The Nasdaq futures are pointing to a rise of 18.50 points.
The SPI futures are pointing to a rise of 16 points when the market next opens.

Best and worst performers

The best-performing sector was Consumer Staples, up 1.91 per cent. The worst-performing sector was Energy, down 2.06 per cent.

The best-performing stock in the S&P/ASX 200 was Pendal Group (ASX:PDL), closing 10.54 per cent higher at $4.93. It was followed by shares in Webjet (ASX:WEB) and Fisher & Paykel Healthcare (ASX:FPH).

The worst-performing stock in the S&P/ASX 200 was Perpetual (ASX:PPT), closing 12.63 per cent lower at $27.59. It was followed by shares in New Hope Corporation (ASX:NHC) and Whitehaven Coal (ASX:WHC).

Asian markets

Japan's Nikkei has lost 0.40 per cent.

Hong Kong's Hang Seng has lost 2.66 per cent following rising coronavirus cases.

China's Shanghai Composite has lost 0.97 per cent.

Company news

Antilles Gold (ASX:AAU) has announced that further drilling has confirmed copper mineralisation at El Pilar deposit in Cuba. The length and grade of the copper mineralisation in the hole shows that El Pilar is potentially a significant copper-gold discovery. In response, Mr. Brian Johnson, Executive Chairman of Antilles Gold said: “the Company intends to complete JORC Resources and a Scoping Study for a proposed low cap-ex open cut oxide gold-copper mine at El Pilar to produce gold and copper concentrates, by October 2023.” Shares closed down 14 per cent at 4 cents.

Mt Monger Resources (ASX:MTM) has confirmed their drilling program shows that the REE mineralisation contains a significant proportion of valuable heavy, magnetic and critical rare earth oxides. The recent program confirms REE grades and a continuity of clay-hosted mineralisation. In response, Managing Director Lachlan Reynolds commented: “We are excited by the scale of this opportunity - the mineralisation potentially extends over a very large area, most of which is still untested by drilling.” Shares closed 20 per cent higher at $0.12.

Sayona Mining (ASX:SYA) is expanding its northern lithium hub in Québec, following an agreement with Troilus Gold, concerning a significant exploration package located near the Moblan Lithium Project. Sayona is paying C$40 million worth of SYA stock as consideration for the claims to be acquired. In response, Sayona’s Managing Director Brett Lynch stated: “This is an investment in Sayona’s future production by acquiring nearly 1,000 square kilometres of prospective lithium acreage, more than 200 times the size of our current Moblan project.” Shares closed 4.3 per cent lower at 23 cents.

TerraCom (ASX:TER) announced a fully franked dividend of 10 cents per fully paid ordinary share has been declared by the Company’s Board of Directors. This dividend is in line with the previously announced dividend policy and applies to the quarter ended 30 September 2022. Some details include: the dividend will total 10 cents per Share (comprising an ordinary dividend of 7.5 cents per Share and a special dividend of 2.5 cents per Share), the dividend will return approximately 75 per cent of NPAT1 for the period ended 30 September 2022 and the dividend is fully franked. Commenting on the dividend, Non-Executive Chairman, Graeme Campbell, said: “Following payment of this dividend in December 2022, the Company will have returned 20 cents per share to shareholders since July 2022. This is an excellent return for shareholders and represents a dividend yield in excess of 25 per cent for the half year, based on the current share price.” Shares closed 8.9 per cent higher at 92 cents.

Commodities and the dollar

Gold is trading at US$1762.32 an ounce.
Iron ore is 2.5 per cent higher at US$98.10 a tonne.
Iron ore futures are pointing to a fall of 0.6 per cent.
Light crude is trading $1.08 lower at US$83.92 a barrel.
One Australian dollar is buying 67.09 US cents. 

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