The ASX has made a happy and healthy start to December, lifting nicely as the market gets set to kick its shoes off and relax when Christmas rolls round in a few weeks\u2019 time.<\/p>\n
The benchmark\u2019s performance has been anything but consistent, though \u2013 several critical data points came from the stats departments both here in Oz, and from overseas, which gave investors a few choice morsels to masticate while ruminating on which way their money should jump.<\/p>\n
Locally, it was the RBA\u2019s decision on interest rates that dominated brain space early in the week, with speculation ending with a bit of a fizzer when The Board paused momentarily from its trough-snuffling luncheon to inform the masses that rates shall remain unchanged this month.<\/p>\n
It\u2019s an indication that the RBA\u2019s war on inflation might have sidled a step closer to being winnable \u2013 but there\u2019s still the board\u2019s unwholesome desire to see more Aussies out of work to contend with, before the inflation dragon can be slayed.<\/p>\n
The other highly significant motivator for local markets this week was some pretty serious volatility in several commodity markets.<\/p>\n
Things started looking unusual late last week, when gold pushed through US$2,000\/oz to hit a record high water mark, which in turn sparked a run on local goldies that continued through the front half of this week.<\/p>\n
Mid-week, China\u2019s ongoing attack of the macro-economic sads burped out more sorry data that knocked pretty much every possible bit of breath out of the global oil market, sending crude prices tumbling fast.<\/p>\n
That put a lot of pressure on the local Energy sector, but there was something of a lifeline in the latter stages of the week, when coal prices went through the roof, jumping close to 5% overnight on Thursday, local time.<\/p>\n
The end result was an Energy sector being pulled in one direction while being pushed in another altogether, which \u2013 as anyone who\u2019s ever tried to eject a drunk person from a waterbed will tell you \u2013 never ends well.<\/p>\n
The ructions left Energy and Utilities in the red for the week, down 1.2% and 1.5% respectively \u2013\u00a0and that\u2019s the bad news.<\/p>\n
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Chart via Marketindex.com.au<\/p>\n
The decent news is that the rest of the market\u2019s sectors posted some pretty healthy gains for the week.<\/p>\n
Real Estate was well out in front, Health Care and Materials tied for second place while Consumer Staples rolled into a not-too-distant fourth.<\/p>\n
Looking on a more granular level, the week\u2019s best performers turned out to be the banks, helped along by the RBA\u2019s hold on interest rates, a move that tends to precipitate a push by borrowers to get into a predictable market.<\/p>\n
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Chart via Marketindex.com.au<\/p>\n
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The XBK ASX 200 Banks Index finished the week on +1.95%, with the next best sector index \u2013 the XJR ASX 200 Resources \u2013 about 0.5% behind that mark.<\/p>\n
Of course, it wouldn\u2019t be a week on the ASX without a proper head-scratcher showing up in the end of week results, so here it is\u2026 with gold hitting record highs, and keeping above the psychologically significant US$2,000\/oz mark, you\u2019ll be forgiven for being surprised to learn that the XGD All Ords Gold Index actually fell for the week.<\/p>\n
As Friday\u2019s session winds to a close, it\u2019s hanging around -2.75% for the week \u2013 a chunk of which could easily be put down to profit taking by the more nimble investment market, of course, but still\u2026 that\u2019s a significant dip with prices for the metal set to stick where they are for now.<\/p>\n
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WINNERS<\/strong><\/p>\n WordPress Tables Plugin<\/a><\/p>\n \u00a0<\/p>\n Leading the Small Caps winners list for the week are a smattering of little guys that didn\u2019t need to move far to hit triple-digit returns.<\/p>\n Both First Au (ASX:FAU)<\/strong><\/a> \u00a0and TALi Digital (ASX:TD1)<\/strong><\/a> doubled up over the course of the week, which looks great on paper but isn\u2019t quite as impressive when we\u2019re talking in fractions of a cent per share.<\/p>\n Making more significant headway this week was Lanthanein Resources (ASX:LNR)<\/strong><\/a> , which stacked on a beefy +83% on news that it\u2019s set to acquire a 70% interest in the Lady Grey lithium-tantalum project<\/a>, which is just 400m west of the massive Earl Grey lithium mine at Mount Holland, WA.<\/p>\n To help drive home just how big a deal this is for Lanthanein, it should be noted that the neighbouring Earl Grey \u2013 owned by Covalent Lithium, a joint venture between SQM and Wesfarmers (ASX:WES)<\/strong><\/a> \u2013 has a resource of 189Mt grading 1.53% Li2O and is hosted in the proven world-class Forrestania Greenstone Belt.<\/p>\n Alterity Therapeutics (ASX:ATH)<\/strong><\/a> had a solid run early in the week, after presenting a really promising tranche of new research data on the effect of the company\u2019s ATH434 drug in a Parkinson\u2019s disease primate model.<\/p>\n Local investors do enjoy having a punt on hone-grown med-techs, especially when it looks like things are shaping up nicely on the research front \u2013 and Alterity turned out to be no exception, bagging am 86% boost for the week.<\/p>\n \u00a0<\/p>\n LOSERS<\/strong><\/p>\n WordPress Tables Plugin<\/a><\/p>\n \u00a0<\/p>\n \u00a0<\/p>\n Monday 04 December, 2023<\/p>\n Smashing Monday open was the Aussie medical device company Compumedics (ASX:CMP)<\/a>, which has been cleared by the US FDA to go get its flagship Somfit sleep aid device marketed in the USA.<\/p>\n Compumedics can now begin its commercialisation activities in the key USA market, following initial commencement of sales activities for Somfit in the Australian market since the beginning of FY24.<\/p>\n In Australia, sales of Somfit generated $1.2m of orders taken to date since the launch in July.<\/p>\n CMP and clearly many, many punters reckon there\u2019s a significant poorly-rested market in the US worth circa US$110m-180m in potential revenue, from which the company \u2018will target 10% to 30% within the next 24 months\u2019.<\/p>\n Base and precious metals explorer Boab Metals (ASX:BML)<\/a> had been absolutely hectic upon the small caps greatest hits charts, clocking about +60% before the ASX cops pulled the shares over for a glance under the hood.<\/p>\n Erstwhile lover of numbers, Stockhead\u2019s Rob Badman<\/a> says BML\u2019s now up more than 90% over the past 30 days, although YTD it\u2019s still down about 33%.<\/p>\n The WA company\u2019s last piece of major news came almost a month ago, on November 8, when it made significant intercepts at the Keep Seismic prospect within its 75% owned Sorby Hills lead-silver-zinc project in the Kimberley region of WA.<\/p>\n Helium is a noble gas and Noble Helium (ASX:NHE)<\/a> could very well have more of it.<\/p>\n The Tanzania-focused explorer yesterday reported it has successfully completed wireline logging and sampling at the Mbelele-2 well, at the company\u2019s 100% owned North Rukwa Helium Project in Tanzania.<\/p>\n CEO Justyn Wood called the maiden drilling program \u201can incredible success\u2026 both operationally and in confirming the potential for a significant helium resource at Mbelele.\u201d<\/p>\n \u00a0<\/p>\n Tuesday 05 December, 2023<\/p>\n Tuesday\u2019s all-you-can-buy stock was Atlas Pearls (ASX:ATP)<\/a>, which noted that at its recently completed auction in Kobe, Japan, the company sold 130,000 loose pearls for total revenue of $14.81 million.<\/p>\n ATP\u2019s total revenue from loose pearl sales for the five months ended 30 November 2023 is now just below the comparable revenue for all of FY2023.<\/p>\n \u201cThe sales outcome underlined the continuing strength in the global market for south sea pearls with strong demand for the company\u2019s offering from both Chinese and Japanese buyers,\u201d said an understandably happy Atlas Pearls\u2019 CEO, Michael Ricci.<\/p>\n Reward Minerals (ASX:RWD)<\/a>\u00a0entered into a binding share sale agreement with the receivers at Kalium Lakes, to acquire the $400m Beyondie sulphate of potash (SOP) project for $20 million.<\/p>\n That\u2019s a WA project, about 160km SE of Newman and SOP is a compound commonly used in agriculture \u2013 in fertilisers.<\/p>\n We recently reported this acquisition was on the table as a potential outcome, after the company entered into an exclusivity deed with Kalium and its receivers.<\/p>\n This share sale agreement now represents the next step in an acquisition that\u2019s looking pretty likely.<\/p>\n \u00a0<\/p>\n Wednesday 06 December, 2023<\/p>\n Lanthanein Resources (ASX:LNR)<\/a> was way out in front of the rest of the market most of the day, sailing on news that the company has inked a farm-in agreement that will see it earn up to a 70% interest in WA\u2019s Lady Grey lithium project.<\/p>\n It\u2019s a strategically important patch of land, some 360km east of Perth, which is literally over the fence from\u00a0 Covalent Lithium\u2019s fully-operational Earl Grey Mine, which boasts a resource of 189Mt @1.53% Li2O at Mount Holland in the Forrestania Greenstone Belt.<\/p>\n \u201cThis transaction positions Lanthanein with a prospective lithium project in one of the most desired jurisdictions for lithium explorers in Western Australia,\u201d Lanthanein technical director Brian Thomas said.<\/p>\n Lanthanein says it is looking to have the drills spinning on site in early 2024.<\/p>\n Desert Metals (ASX:DM1)<\/a> was also doing well on news that the company has received commitments of $3.75 million through a heavily over-subscribed conditional share placement, with bids reportedly topping $6 million.<\/p>\n The $3.75 million is set to arrive via the issue of approximately 115.4 million fully paid ordinary shares at an issue price of $0.0325 a pop, with the money earmarked to drive drilling and exploration in C\u00f4te d\u2019Ivoire and to continue exploration on the company\u2019s Western Australian portfolio.<\/p>\n Earlier in the day, the gainers list included the likes of 88 Energy (ASX:88E)<\/a>, which brought some momentum into the market on the heels of an options prospectus delivered after market close the day before.<\/p>\n And Noble Helium (ASX:NHE)<\/a> made back some of its losses from recent days, after releasing a clarification statement on drilling results from its North Rukwa Helium Project in Tanzania.<\/p>\n \u00a0<\/p>\n Thursday 07 December, 2023<\/p>\n The board of Whitebark Energy (ASX:WBE)<\/a> took decisive action on Thursday saying they no longer need their interim CEO.<\/p>\n \u201cThe board remains focused on delivering a positive outcome for shareholders under its strategic review process and will consider the requirements for a replacement CEO. The company will continue to update the market when this process is complete.\u201d<\/p>\n So\u2026 they might\u2019ve found a CEO, or no longer need a CEO\u2026 either way, shareholders liked it.\u00a0 Up +32%.<\/p>\n Redcastle Resources (ASX:RC1)<\/a> also did good on Thursday.<\/p>\n The $3.7m market capper completed an RC drilling campaign at its 100% owned Queen Alexandra prospect that involved drilling 37 holes, totalling 1,937m, on an area of 20m x 20m.<\/p>\n Samples were then sent off to a Kalgoorlie lab to ascertain gold content, and assays indeed confirm the presence of consistent, shallow gold mineralisation.<\/p>\n As Robert Badman mused: High-fives all round \u2013 they\u2019re definitely not out there wasting their time.<\/p>\n Also out in front of the pack yesterday was\u00a0 microcap gold explorer Emu (ASX:EMU)<\/a>, which announced the results of its maiden reconnaissance field survey conducted during July and August 2023 at the Georgetown Project in Queensland.<\/p>\n It\u2019s early doors, of course, but the results look promising, with the company laying claim to 15.4g\/t gold assay results recorded from its first reconnaissance rock samples in the NE Dagworth area, ~19km east from Camp Oven Creek.<\/p>\n The company also reports rock samples returned 36.1g\/t gold and 25.6g\/t gold respectively from the Sandy Creek prospect, just south of Georgetown.<\/p>\n Invictus Energy (ASX:IVZ)<\/a> flew high on news of a solid find, reporting that four hydrocarbon samples have been returned to surface in the Mukuyu-2 well at its 80% owned and operated Cabora Bassa Project in Zimbabwe.<\/p>\n \u201cThe Mukuyu-2 discovery, 7km away and 450 meters updip of the Mukuyu-1 well, which can subsequently be classified as a discovery, provides confirmation of the large potential of the Mukuyu field which has a structural closure of over 200km2,\u201d Invictus MD Scott Macmillan said.<\/p>\n \u00a0<\/p>\n Friday 08 December, 2023<\/p>\n There was a lot of microcap movement on Friday, with a number of the ASX\u2019s smaller companies posting some healthy percentage gains \u2013 most of them without any news or definitive announcements to pin it on.<\/p>\n 92 Energy (ASX:92E)<\/a> is moving well this morning, and it definitely has news for investors, as it\u2019s now part of a three-way takeover deal with Canadian-listed resources company ATHA.<\/p>\n ATHA has inked a deal with 92 Energy to snap up 100% of the company, at a whopping 78% premium to the local explorer\u2019s closing price of recent times \u2013 shareholders are set to pocket 0.5834 ATHA shares for every 92E share held, giving an implied value of around $0.65 a pop.<\/p>\n It\u2019s not the only shopping that the Canadian firm has been doing, though \u2013 it\u2019s also buying up all of the issued and outstanding shares of Latitude Uranium, by way of a Canadian court-approved plan of arrangement.<\/p>\n Holista CollTech (ASX:HCT)<\/a> is up this morning as well, following news that the judge overseeing the Federal Court stoush between the company and the Australian Securities and Investments Commission pulled the pin on proceedings a day earlier than expected. No decision has been announced.<\/p>\n First Au (ASX:FAU)<\/a> is moving in the right direction, off the back of a fancy-lookin\u2019 investor presentation that the company released yesterday.<\/p>\n Other big movers included Latin Resources (ASX:LRS)<\/a>, which made a mighty 21%-plus leap after revealing a 56% boost to the company\u2019s global resource, bring the combined total of its JORC-compliant MRE to more than 70Mt.<\/p>\n \u00a0<\/p>\n Nothing launched this week, but there are a couple on the list for between now and the end of the year.<\/p>\n \u00a0<\/p>\n Expected listing: December 11 LTR Pharma is a clinical stage, biotech company pioneering a novel intranasal technology \u2013 SPONTAN \u2013 designed to treat erectile dysfunction in 10 minutes or less.<\/p>\n SPONTAN is said to provide on-demand delivery and faster effect. A lower dose provides less systematic exposure and reduced side effects.<\/p>\n According to LTP, benefits of SPONTAN include enhanced trans mucosal absorption, increased bioavailability and lower drug dose.<\/p>\n Erectile Dysfunction (ED) is a condition in which you are unable to get or keep an erection firm enough for satisfactory sexual intercourse. ED can be a short-term or long-term problem.<\/p>\n LTP is targeting a US FDA New Drug Application (NDA) filing for SPONTAN, which is expected to be completed by the end of the first quarter of 2025 under the 505(b)(2) approval pathway regulatory strategy.<\/p>\n \u00a0<\/p>\n Expected listing: December 18 Enlitic is a healthcare IT company that harnesses AI to manage medical imaging data in radiology, such as MRI, CT, X-ray and ultrasound images.<\/p>\n The Enlitic platform standardises, protects, and analyses data to create a database that improves clinical workflows, increases efficiencies, and expands capacity.<\/p>\n The company says it owns the industry\u2019s first localised real-world medical imaging database that unlocks the value of historical diagnostic images, aligned with real-time diagnostics, and linkage to real-world data across any critical care solutions.<\/p>\n Health care providers using the Enlitic platform would have their productivity increased, and have their costs decreased, says the company.<\/p>\n \u00a0<\/p>\n Expected listing: December 18 Fuse has three ongoing minerals exploration projects \u2013\u00a0 Mt Sydney and Mt Sandman in WA, and Eastern Isaac in Queensland.<\/p>\n The flagship Mt Sydney Project covers a strategic landholding (100%-ownership) of 1119km2, and is located on the under-explored Pilbara Craton-Paterson Province margin in WA.<\/p>\n Fuse\u2019s work on the Mt Sydney Project to date shows VHMS gossans high-grade polymetallic vein outcrops mineralised breccia, and magmatic copper-nickel drill targets across this very large area of tenure.<\/p>\n The project has\u00a0 limited past exploration, with only 1106m of drilling over 484km2.<\/p>\n The Mt Sandman Project is situated on the complex boundary of two major tectonic units of WA \u2013 the Proterozoic Gascoyne Province and the Palaeozoic Carnarvon Basin.<\/p>\n Rock chipping has confirmed base metal association with barite and carbonate rocks up to 6g\/t Ag >1% Pb & 0.3% Zn.<\/p>\n The Eastern Isaac Project in Qld meanwhile is a 25% ownership project, with the option to earn up to 80%.<\/p>\n The Project comprises three copper\/gold project areas totalling 637km2: Gotthardt of 93km2, Valkyrie of 254km2, and Hamilton Park of 290km2.<\/p>\n <\/span><\/p>\n The post ASX Small Caps and IPO Weekly Wrap: Benchmark lands at +1.5pc for Week 1 of the run towards Xmas<\/a> appeared first on Stockhead<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"HOW THE WEEK SHOOK OUT<\/h2>\n
WHAT ABOUT THE IPOs?<\/h2>\n
LTR Pharma (ASX:LTP)<\/h2>\n
\n IPO: $7m at $0.20<\/p>\nEnlitic (ASX:ENL)<\/h2>\n
\n IPO: $35m at $0.83<\/p>\nFuse Minerals (ASX:FSE)<\/h2>\n
\n IPO: $10m at $0.20<\/p>\n