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FIVE at FIVE AU: ASX recovers in afternoon trade

Published 02/05/2024, 04:04 pm
Updated 02/05/2024, 04:30 pm
© Reuters.  FIVE at FIVE AU: ASX recovers in afternoon trade
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The ASX 200 recovered from early session falls to end the day 0.35% higher. The Tech and Financials sectors led the gains, while Consumer Staples ended the day lower.

Gold prices and the Australian dollar also rebounded today after US Federal Reserve chairman Jerome Powell said, “It’s unlikely that the next policy rate move will be a hike,” when speaking at a press conference following the Fed’s policy meeting, where it decided to leave rates in the 5.25% to 5.5% range.

Fed fund futures now imply an 88% chance of a US rate cut in November, compared with 58% on Tuesday, and remain fully priced for rate relief by Christmas.

However, in Australia, markets have pushed back the timing for the Reserve Bank of Australia’s first cash rate cut until after the next federal election.

Local traders are still wagering that the next move by the Reserve Bank will be up, not down, with markets pricing in a 46% chance of a rate increase (to 4.6%) before Christmas.

Leading the company news today, NAB reported its half-year profit, which fell 11.9% due to intense competition in the lending industry.

Five at five:

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Lindian Resources Ltd (ASX:LIN, OTC:LINIF) has delivered an updated mineral resource estimate (MRE) from the phase 3 drilling campaign at the Kangankunde Rare Earths Project in Malawi, greatly enhancing its status as one the world’s largest and most strategically significant rare earths deposits.

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Kingfisher (LON:KGF) Mining makes high-grade Gascoyne Region rare earth discoveries during March quarter

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Brookside Energy begins casing intermediate section of Fleury Well

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Novo Resources to drill test significant gold targets in follow-up Nunyerry North campaign

Novo Resources Corp (TSX:NVO, OTCQX:NSRPF, ASX:NVO) is set to start follow-up drilling at Nunyerry North in the southern Egina Gold Camp (EGC) in Western Australia, while maiden drilling is planned to test three significant gold and gold-copper targets in the Karratha District.

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Walkabout Resources begins ore concentrating with Lindi Jumbo Graphite Mine on brink of full production

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On your six

Bitcoin plummets to two-month lows, ETF demand stagnates

Bitcoin flopped 5% against the US dollar on Tuesday and continued to march another 4% lower today, bringing the world’s largest cryptocurrency to a two-month low of US$58,131.

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One to Watch

Alligator Energy discovers high-grade uranium at Samphire, plans extended drilling

Alligator Energy Ltd (ASX:AGE, OTC:ALGEF) CEO Greg Hall sits down with Jonathan Jackson in the Proactive studio to talk about significant uranium discoveries following resource extension drilling at the Samphire Uranium Project near Whyalla, South Australia.

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