ASX to rise at the open after a Wall Street rally
\nCrypto related stocks fell as Bitcoin slipped 7pc,
\nAn expert\u2019s view on the economic and geopolitical situation going into 2024<\/p>\n
\u00a0<\/p>\n
Aussie shares are poised to open higher on Tuesday after a rally on Wall Street. At 8am AEDT, the ASX 200 index futures was pointing up by +0.1%.<\/p>\n
Overnight, the S&P 500 rose by +0.32%, the blue chips Dow Jones index was up by +0.32% and the tech-heavy Nasdaq lifted by +0.12%.<\/p>\n
Traders began the US week on a cautious note ahead of the US CPI release tomorrow, and the Fed\u2019s last scheduled rates decision of 2023 on Wednesday (US time).<\/p>\n
The market expects the Fed to pause this week, but commence cutting rates by mid next year.<\/p>\n
\u201cThe biggest risk to \u2018risk-on\u2019 is the fact that the Fed does not do what the market is telling it that it is going to do, which is slash interest rates over the course of 2024,\u201d \u00a0David Neuhauser, chief investment officer of Livermore Partners, told CNBC.<\/p>\n
To stocks, Nike<\/strong> rose 2.3% after analysts at Citigroup say \u201cbuy\u201d.<\/p>\n Department store Macy\u2019s<\/strong> surged almost 20% as exisiting shareholders, Arkhouse Management<\/em> and Brigade Capital,<\/em> combined to lob a US $5.8bn takeover offer that could take the iconic retail brand from the stock market.<\/p>\n Most crypto related stocks like Coinbase<\/strong> and Riot Platforms<\/strong> fell after Bitcoin plunged more than 7% in the last 24 hours to US$40,600.<\/p>\n Cathy Wood\u2019s ARK fund<\/em> has been consistently selling Coinbase <\/strong>shares over the past couple of weeks.<\/p>\n Back home, there will be lots of data to chew on today.<\/p>\n RBA boss Michelle Bullock<\/strong> will be speaking in Sydney, while Westpac consumer sentiment index<\/strong> and NAB business confidence survey<\/strong> will be released.<\/p>\n Also check out: Traders\u2019 Diary: Everything you need to know before the ASX opens<\/a><\/strong><\/em><\/p>\n \u00a0<\/p>\n Economic background is fundamental to any investor \u2013 short or long term focused.<\/p>\n Hani\u00a0Abuagla<\/strong>, a\u00a0senior\u00a0market\u00a0analyst\u00a0at\u00a0XTB\u00a0MENA<\/strong> breaks down the catalysts for the stock market over the next year and beyond.<\/p>\n In the US, Abuagla said there were initial fears the Fed\u2019s monetary tightening could lead to a recession.<\/p>\n \u201cHowever, so far the economic slowdown has been limited and some indicators suggest that a \u2026 slowdown is already behind us.\u201d<\/p>\n \u201cBut while the US economy seems to be holding up, Europe might be poised for some kind of a recession and its severity will be decided by the global environment,\u201d Abuagla said.<\/p>\n We also now live in a world where geopolitical tensions have become a part of the picture.<\/p>\n \u201cIt looks like both countries [US and China] are on the collision course regardless of what the leaders are saying,\u201d said Abuagla.<\/p>\n To gold, and from a fundamental standpoint, the demand for gold has been relatively muted over the past year.<\/p>\n \u201cHowever, a weaker dollar, coupled with a stronger Chinese yuan and Indian rupee, could change this situation.\u201d<\/p>\n And in 2023, the oil market managed to maintain relative stability, in spite of two production cuts implemented by OPEC+.<\/p>\n \u201cThe key question for 2024 is whether OPEC+ countries, particularly Saudi Arabia and Russia, will choose to restore a portion of their normal production, potentially resulting in a more balanced market,\u201d said Abuagla.<\/p>\n \u201cDespite China\u2019s rise to becoming the world\u2019s leading oil importer, investors are unsure if the increased demand from China and India will be sufficient to catalyse a significant rebound in oil prices.\u201d<\/p>\n \u00a0<\/p>\n Gold price<\/strong> fell by -1.2% to US$1,980.83 an ounce.<\/p>\n Oil prices<\/strong> gained 0.5%, with Brent now trading at US$76.27 a barrel.<\/p>\n US 10-year Treasury yield<\/strong> traded flat at 4.24%.<\/p>\n Iron ore futures<\/strong> was down -0.2% to US$135.16a tonne.<\/p>\n The Aussie dollar<\/strong> fell by -0.16% to US6566c.<\/p>\n Meanwhile, Bitcoin<\/strong> tumbled by -7% in the last 24 hours to US$40,600.<\/p>\n \u00a0<\/p>\n Armada Metals (ASX:AMM)<\/a><\/strong> Cycliq Group (ASX:CYQ)<\/a><\/strong> Kula Gold (ASX:KGD)<\/a><\/strong> Critical Resources (ASX:CRR)<\/a><\/strong> Spartan Resources\u00a0(ASX:SPR)<\/a><\/strong> \u00a0<\/p>\n At Stockhead we tell it like it is. While Kula Gold and Spartan Resources are Stockhead advertisers, they did not sponsor this article.<\/em><\/p>\n <\/span><\/p>\n The post Market Highlights: Cryptos hammered, an expert\u2019s view on 2024, and 5 ASX small caps to watch today<\/a> appeared first on Stockhead<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"How economics and geopolitics could impact 2024<\/h2>\n
In other markets \u2026<\/h2>\n
5 ASX small caps to watch today<\/h2>\n
\nAssays have been received for the first two diamond drill holes from the Phase 1 drilling program at the Bend Nickel Project. Significant results (using a 0.4% Ni lower cut-off) include: Hole BNDDD002 \u2013 0.76m @ 10.33% Ni, 2.24% Cu and 0.1% Co from 379.38m, and Hole BNDDD001 \u2013 16.65m @ 0.64% Ni, 0.07% Cu and 0.013% Co from 118.4m.<\/p>\n
\nCycling company Cycliq announced a successful Black Friday campaign. This Black Friday showed that the core Cycliq offering remains an essential cycling purchase as demonstrated by a strong increase in the number of individual orders (total order count increased by 29%) and $1.2 million in unaudited gross revenue for the month of November.<\/p>\n
\nKula reported that drill hole logging at the Cobra Lithium Prospect has been successful in intersecting pegmatites over multiple intervals to 210m down hole depth. Eleven holes were logged with visual pegmatites in multiple intervals varying from 3m to interpreted 55m thick. Recent rock chipping and mapping has increased the strike of the Cobra Lithium Prospect to 4.2km. Drill programme is now completed to 1,860m, while assay results are in progress.<\/p>\n
\nProject development activities continue on multiple fronts to advance the Mavis Lake Lithium Project. Environmental monitoring and characterisation work streams have advanced towards their second-year of data collection, while engagement with the First Nations community continues. A full work program has been developed for 2024, and is scheduled to commence in early Q1 2024.<\/p>\n
\nSpartan reported another batch of good assay rounds. At the Never Never Gold Deposit, new gold intercepts include: 18.38m @ 6.10g\/t gold from 453.0m down-hole. At the Four Pillars Gold Prospect, new gold intercepts include: 11.0m @ 2.44g\/t gold from 162.0m down-hole. And at the West Winds Gold Prospect, new gold intercepts include: 61.0m @ 2.13g\/t gold from 85.0m down-hole.<\/p>\n