ASX200 futures indicate potential for record-high opening on Monday
\nSafe havens could be sought following the attempted assassination of Donald Trump
\nMorningstar has released its Q3 outlook report<\/p>\n
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The ASX200 index could hit hit the 8,000 mark for the first time ever when the market opens on Monday. At 8am AEST, the ASX200 futures contract was pointing up by +0.6%.<\/p>\n
The expected rally follows a strong lead on Wall Street last Friday where the S&P 500 reached another record high and the Dow Jones surpassed the 40,000 mark.<\/p>\n
Analysts, however, predict that traders will flock to safe-haven asses and reassess investments closely tied to former Donald Trump\u2019<\/strong>s candidacy following the news of him being clipped by a bullet to the ear at a rally on Sunday AEST.<\/p>\n Investors are likely to seek safe havens such as gold. Bitcoin has already responded positively to the news given Trump\u2019s recent pro-crypto stance.<\/p>\n \u201cCurrencies will be the first major market on Monday in Asia to react to the weekend\u2019s shooting,\u201d says Garfield Reynolds at Bloomberg.<\/p>\n Nick Twidale at ATFX added,\u201d I\u2019d suspect gold could test all-time highs, we will see the yen getting bought and the dollar, and flows into Treasuries too.\u201d<\/p>\n Trump said he was shot in the right ear, and according to a statement from his campaign, he is \u201cfine\u201d. The shooter, Thomas Crooks, was shot and killed.<\/p>\n To stocks, US Big Tech stocks were mixed following Thursday\u2019s sell-off where the entire \u201cMagnificent 7\u201d group of stocks had their worst day in nearly a year.<\/p>\n Meta<\/strong> dropped another -3% on Friday, Amazon was down -0.3%, but Tesla and Nvidia rallied by +3% and +2% respectively.<\/p>\n JP Morgan<\/strong> slipped over -1.2% despite the bank reporting a 25% increase in profit in Q2 driven by higher investment banking fees and an US$7.9 billion one-time gain from the sale of its stake in Visa.<\/p>\n Wells Fargo<\/strong>, however, sank by -6% after the bank reported a decline in profit and failed to meet estimates for interest income.<\/p>\n And Novo Nordisk<\/strong> rose by +1\/3% following an Oxford study that revealed the Danish company\u2019s diabetes drug, Ozempic, was associated with reduced rates of dementia and various mental health issues.<\/p>\n \u00a0<\/p>\n Morningstar has just released its Australia and New Zealand Equity Market Outlook for Q3 2024.<\/p>\n Australian and New Zealand stocks traded lower in the June quarter on weaker commodity prices and concerns about sticky inflation.<\/p>\n There has been a large divergence between sectors since late last year \u2013 with those likely to benefit from lower interest rates such as consumer cyclical, financial, real estate, and technology outperforming, while basic materials, consumer defensive, and healthcare have struggled.<\/p>\n Morningstar says it sees most 4- and 5-star-rated opportunities in healthcare, real estate, communications services, and energy in the quarter ahead.<\/p>\n The upcoming August 2024 reporting season is set to close off a difficult year for Australian retailing, which navigated soft demand and soaring labour costs, the research company added.<\/p>\n The Australian technology sector has performed well so far in 2024 and now screens as fairly valued, on average.<\/p>\n In the mining space, Morningstar says the sector is overvalued on average, but there is some value on offer.<\/p>\n \u201cMinerals sands miner Iluka Resources (ASX:ILU)<\/a><\/strong> is materially undervalued, driven by the cyclical downturn in property markets in China and elsewhere.<\/p>\n \u201cGold miner Newmont (ASX:NEM)<\/a><\/strong> is also cheap. Its shares should benefit from higher gold prices along with rising production and lower costs. Iron ore miners BHP (ASX:BHP)<\/a><\/strong> and Rio Tinto (ASX:RIO) <\/a><\/strong>are close to fairly valued, while Fortescue (ASX:FMG)<\/a><\/strong> is materially overvalued.<\/p>\n \u00a0<\/p>\n Gold price<\/strong> fell by around -0.2% to US$2,411.10 an ounce, but could rally when the market opens later, driven by Trump\u2019s shooting.<\/p>\n Oil prices <\/strong> were down -0.5%, with Brent crude now trading at US$85.03 a barrel.<\/p>\n The benchmark 10-year US Treasury yield<\/strong> ticked lower by around 3 basis points (bond prices higher) to 4.19%.<\/p>\n The Aussie dollar<\/strong> gained +0.3% to 67.85 cents.<\/p>\n The iron ore price<\/strong>\u00a0slipped by -0.2% to US$107.80 a tonne.<\/p>\n Bitcoin<\/strong> meanwhile rose by +2% in the last 24 hours to US$59,778 while Ethereum<\/strong> rose +1% to US$3,195.<\/p>\n \u00a0<\/p>\n Kinatico (ASX:KYP)<\/a><\/strong> Top End Energy (ASX:TEE)<\/a><\/strong> Metalicity (ASX:MCT)<\/a><\/strong> Singular Health Group (ASX:SHG)<\/a><\/strong> Attura (ASX:ATA)<\/a><\/strong> The post Market Highlights: Gold, Bitcoin in play after Trump shooting, and ASX to hit 8,000 points<\/a> appeared first on Stockhead<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"Morningstar\u2019s Q3 prediction<\/h2>\n
Back to markets<\/h2>\n
5 ASX small caps to watch today<\/h2>\n
\nDuring Q4 of FY24, Kinatico earned $2.8m in SaaS revenue, an increase of 43% on the pcp. SaaS revenue for the quarter comprised 38% of Kinatico\u2019s total Q4 revenue of $7.3m. Profit for the full FY24 was $0.8m, up 225% from $0.2m in FY23. As at 30 June 2024, Kinatico\u2019s closing cash and cash equivalents, inclusive of long-term deposits, was $10.1m.<\/p>\n
\nTEE announced preliminary results from the geophysical and geological evaluation of its newly acquired Exploration Permit (EP) 144 in the South Nicholson Basin, Northern Territory. Highlights include identifying a significant gas play fairway on EP 144, the NDI Carrara-1 well intercepting multiple source rock intervals with high organic carbon content, and the permit\u2019s proximity to the Northern Gas Pipeline, offering access to the East Coast gas market. The NDI Carrara-1 well also indicated the presence of hydrogen and helium. Top End holds a 100% interest in EP 144, the only granted permit in the South Nicholson Basin.<\/p>\n
\nFirst assays from the recent RC drilling programme at the Yundamindra Gold Project have been returned with multiple impressive gold intersections and high grades. Significant intercepts include: 14m@3.13g\/tAu from 28m, and 1m@15.72g\/t Au. Importantly, MCT says mineralised intercepts correlate with historical drill intercepts, providing validation and encouragement for further drilling and potential resource estimation.<\/p>\n
\nSHG has expanded its 3Dicom for Veterans initiative from Miami-Dade County to Austin, Texas, after receiving an order for 5,000 additional annual licenses from TechWorks4Good. This expansion will allow at least 5,000 veterans in Austin to access their medical imaging records, reducing duplicate imaging and delays in care. Positive results in Florida, following the launch of the 3Dicom online viewer and technical improvements, have supported this expansion.<\/p>\n
\nIT firms\u2019 Atturra\u2019s unaudited FY24 revenue is expected to exceed $240 million, a 35% increase from the previous year. The company anticipates an underlying EBITDA of $25-$26 million, up 19% on pcp. Over 40 new federal government contracts, including ones with the Departments of Defence, Home Affairs, and Treasury, have boosted performance. Atturra is also performing well in the education, mining, and local government sectors and expects continued strong revenue growth in FY25 while maintaining its EBITDA targets.<\/p>\n