AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
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POL
BRA
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RUS
CHN
UAE
Highlights:
- ASX Futures Down: ASX futures are down 33 points (-0.4%) following Wall Street's reversal of early gains after a poorly received 10-year Treasury note auction.
- Earnings Highlights: Key earnings reports include AMP's 5.4% rise in net profit, Transurban's forecasted higher dividend, and IGO's consideration of divesting nickel assets due to sector downturn.
- Market Outlook: Volatility remains high, with strategists predicting a focus on upcoming US CPI and retail sales data as markets recover from the recent sell-off.
The Australian sharemarket is poised to edge down following Wall Street's reversal of early gains after a poorly received auction of 10-year Treasury notes. ASX futures were down 33 points, or 0.4%, to 7598 near 7 am AEST. All three major US benchmarks closed lower, led by the tech-heavy Nasdaq.
An early-afternoon auction of $US42 billion in benchmark 10-year securities yielded results well above the pre-sale indicative level, according to Bloomberg. Strategists predict that markets may need “several weeks” to recover from the Monday sell-off. Comments from a key Bank of Japan official have begun aiding the "healing" process.
Michael Brown, a market analyst at Pepperstone, stated that “volatility will likely now remain elevated for some time,” though he views pullbacks as buying opportunities. He expects the focus to shift to next week’s key US CPI data and retail sales, emphasizing the latter given recent concerns about economic growth following a softer-than-expected jobs report.
Stocks in Focus:
- AMP (ASX:AMP): Half-year results show net profit rose 5.4% to $118 million, with a statutory net profit of $103 million. AMP declared an interim partially franked dividend of 2¢ per share.
- Transurban (ASX:TCL): Forecasts a higher dividend next year after annual net profit more than quadrupled to $376 million, driven by lower construction and finance costs.
- IGO (ASX:IGO): Considering divesting some nickel assets due to sector downturn, with an agreement signed with Medallion Metals potentially involving the sale of the Cosmic Boy processing facility and associated infrastructure at IGO’s Forrestania nickel project.
- Light & Wonder (ASX:LNW): Reported growing revenue in its latest quarterly report, with gaming revenue increasing to $US539 million, up 14% year-over-year.
- Myer (ASX:MYR): Expects net profit between $50 million and $54 million in FY24, down from $71.1 million the prior year, citing challenging trading conditions and inflationary pressures.
- Mirvac (ASX:MGR): Forecasts lower earnings and distributions in FY25 due to higher costs impacting margins on apartment projects.
