Energy leads following OPECs cut to production: ASX closes 0.63% higher

Market Reports

by Peter Milios

At the closing bell, the S&P/ASX 200 was 0.63 per cent higher at 7,223. The energy sector led the gains. OPEC's cuts to oil production increased prices. Lake Resources (ASX:LKE) was the best-performing stock with a 7.9 per cent surge, followed by Karoon Energy (ASX:KAR) and Santos (ASX:STO) with jumps of 6.5 per cent and 2.5 per cent respectively. Brent crude futures rose by 4.7 per cent to US$83.53 per barrel. On the other hand, Netwealth Group (ASX:NWL) was the worst-performing stock, falling by 7.5 per cent, while Syrah Resources (ASX:SYR) dropped by 5.2 per cent. The materials sector also declined, with BHP Group (ASX:BHP) shares falling by 0.6 per cent.


The Dow Jones futures are pointing to a rise of 13 points.
The S&P 500 futures are pointing to a fall of 11.75 points.
The Nasdaq futures are pointing to a fall of 84.25 points.
The SPI futures are pointing to a rise of 57 points when the market next opens.

Best and worst performers

The best-performing sector was Energy, up 2.25 per cent. The worst-performing sector was Materials, down 0.7 per cent.

The best-performing large cap was Lynas Rare Earths (ASX:LYC), closing 4.42 per cent higher at $6.62. It was followed by shares in Seven Group Holdings (ASX:SVW) and IDP Education (ASX:IEL).

The worst-performing large cap was Pilbara Minerals (ASX:PLS), closing 3.55 per cent lower at $3.80. It was followed by shares in Infratil (ASX:IFT) and EBOS Group (ASX:EBO).

Asian markets

Japan's Nikkei has gained 0.52 per cent.
Hong Kong's Hang Seng has lost 0.57 per cent.
China's Shanghai Composite has gained 1.73 per cent.

Company news

icetana (ASX:ICE) has secured a 600 camera expansion order for its AI video analytics solution from a large shopping mall client in Kuwait, valued at US$138,000 over the first 12 months. icetana CEO Matt Macfarlane commented: “We are always pleased to secure long term expansion contracts with our existing customers, this can only be achieved when our value proposition is strong and measurable.” Shares closed flat at 3.4 cents.

Lake Resources (ASX:LKE) announced an independent verification of high-grade lithium carbonate from the Kachi Demonstration Plant. In response, the Company said, “we have been quite confident in the process but are thrilled to have 3rd party validation confirm our ability to produce high purity, environmentally friendly lithium.” Shares closed 7.87 per cent higher at 48 cents.

Continuing on the lithium theme, Olympio Metals (ASX:OLY) announced that it has agreed terms with Liontown Resources (ASX:LTR) for Liontown to farm into Olympio’s Mulline and Mulwarrie lithium projects in the Eastern Goldfields of Western Australia. Olympio’s Managing Director, Sean Delaney, commented: “Importantly, Olympio retains significant exposure to discovery success with the ability to contribute to funding and remain at 49 per cent once Liontown has completed the Stage 1 farm in.” Shares closed 68.2 per cent higher at 18.5 cents.

Electro Optic Systems Holdings (ASX:EOS) announces today that it has secured a conditional contract to supply Remote Weapon Systems to Ukraine, valued at up to US$80m (or approximately A$120m). The contract is conditional on demonstration testing over the coming weeks, and subject to other customary terms for military contracts. Shares closed 26.4 per cent higher at 57.5 cents.

Commodities and the dollar

Gold is trading at US$1,968.60 an ounce.
Iron ore is 0.5 per cent lower at US$127.30 a tonne.
Iron ore futures are pointing to a 1.7 per cent fall.
Light crude is trading $3.56 higher at US$79.23 a barrel.
One Australian dollar is buying 66.65 US cents.

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