The Australian sharemarket was trending lower today, sliding 55.6 points or 0.67% to 8,362 after setting a new 52-week high.
Languishing at the bottom of the bourse just after midday today were Karoon Energy Ltd and Spark New Zealand Ltd, down 4.36% and 4.20% respectively.
Over the last five days, the index is virtually unchanged but is currently about 0.89% below its 52-week high.
Consumer Staples escaped the general drag on sectors today, up 1.18%, while Real Estate was also in the green (up 0.64%).
Energy and Financials were pointing in the other direction at lunchtime, down 2.11% and 1.39% respectively.
Bessant bump
The week got off to a relatively good start with news about the Trump pick for Treasury Secretary, Scott Bessant, who is seen as a nod to Wall Street from the new administration that, at least on some fronts, it will be business as usual.
“Bessant is seen as an antidote to Trump’s most extreme economic views,” XTB research director Kathleen Brooks said.
“He is considered a fiscal hawk and he is in favour of less government spending.
“Trump’s election pledges were expected to boost the US deficit more than Kamala Harris’s, and a key plank of the Trump trade was to sell bonds.
“In the last three months, the two-year Treasury yield is higher by 45bps and the 10-year yield is higher by 60bps. US bonds have underperformed European bonds in the past three months, as the market has anticipated a surge in the deficit under a Trump presidency.
“Thus, we may see a reversal in the bond market sell-off at the start of this week and US Treasury yields could benefit from the ‘Scott Bessant’ effect.
“Ten-year yields are currently trading around 4.32% and there is a risk that the US yield curve could disinvert on the back of a move in the Treasury market.
“Bessant is also expected to advocate a slow and steady approach to tariffs, which could boost global risk sentiment, and we may see Chinese shares rise on the back of this news, although they were slightly lower on Monday,” Brooks said.
Small cap moves
Element 25 Ltd (ASX:E25, OTCQX:ELMTF) was among the small cap gainers today with shares as much as 12.97% higher to $0.305 and QMines Ltd (ASX:QML) had a similar gain, up 12.9% to a daily high of $0.07.
Other increases in the sector were Infinity Lithium Corporation Ltd (ASX:INF), which hit $0.033, a rise of 10% on the previous close, Evolution Energy Minerals Ltd (ASX:EV1) was as much as 7.69% higher at $0.028, Solis Minerals Ltd (ASX:SLM, TSX-V:SLMN, OTCQB:SLMFF) reached $0.092, a lift of 5.75%, and Nova Minerals Ltd (ASX:NVA, NASDAQ:NVA) increased up to 4.64% to $0.225.
The five at five
Ionic Rare Earths raises $1.65 million to fund magnet and rare earths recycling
Ionic Rare Earths Ltd (ASX:ASX:IXR, OTC:IXRRF) has received firm commitments to raise $1.65 million in a share placement, offering more than 235 million shares at $0.007 each, and has launched a security purchase plan (SPP) to raise up to $500,000.
Read more
Altech Batteries executes second CERENERGY® offtake LOI with RefLau
Altech Batteries Ltd (ASX:ATC, OTC:ALTHF) has executed a second offtake letter of intent (LOI) with Referenzkraftwerk Lausitz GmbH (RefLau), under which RefLau will purchase 30 MWh of CERENERGY® energy storage capacity in the first year, then 32 MWh per year thereafter for the next four years of production.
Read more
Recce Pharmaceuticals secures Australian patent for anti-infectives; covered in all major markets
An Australian patent has formally been granted for the new class of synthetic anti-infectives Recce Pharmaceuticals Ltd has been working to bring to market.
Read more
Titan Minerals picks up diamond drilling pace at Linderos copper JV
Titan Minerals Ltd (ASX:TTM, OTC:TTTNF) has the diamond drill spinning in a 10,000-metre campaign at the Linderos Copper Project in Ecuador as earn-in partner Hanrine, a wholly owned subsidiary of Hancock Prospecting, marches toward a 30% interest and eventually 80%.
Read more
Aldoro Resources on track for maiden 2,000-metre Kameelburg drill program
Aldoro Resources Ltd (ASX:ARN) is maintaining a solid pace with preparations for a maiden 2,000-metre drilling program at the Kameelburg REE and Niobium Project in Namibia which is expected to begin in the next two weeks.
Read more
On your six
Heatwave pressures NSW power grid amid coal and transmission outages
New South Wales is bracing for electricity supply challenges as a heatwave drives demand for energy, combined with coal generation and transmission infrastructure outages.
Read more
The one to watch
Polymetals Resources to launch drilling at Carpark Prospect in January
Polymetals Resources Ltd (ASX:POL) executive chairman Dave Sproule joins Proactive’s Tylah Tully to discuss the company’s recently announced exploration update for the Endeavor Project in central NSW.
Watch