The ASX was as high as 0.5% today, before falling back to a more modest gain.
The S&P/ASX200 is up just 2.90 points today to 7,312.10. The index has lost 1.86% for the last five days but sits 3.38% below its 52-week high.
Top-performing stocks in this index are James Hardie Industries and Reece Ltd (ASX:REH), up 14.08% and 3.98% respectively.
It was a mixed bag for the sectors today, with Consumer Staples the worst performed down 0.33%, followed by Real Estate which lost 0.23%. The biggest winner was Health Care which gained 0.46%, with Information Technology the next best sector at 0.15% higher.
The market continues to fluctuate but remains resilient.
Tiger Brokers highlights the growth of stock markets in FY23.
Does an interest rate rise loom?
Yes. According to UBS Australia chief economist, George Tharenou who pointed to NAB's monthly business survey, which shows a worrying spike in labour costs and selling prices last month.
A concern for the RBA is labour costs, which already surged in June on news of the minimum wage decision on 2nd June," Tharenou said. "In July, labour costs lifted even further to imply a wages bill of about 15% annualised, up from a prior trend of about 9%."
"Furthermore, selling prices also almost doubled, to be consistent with annualised inflation of about 8% year-on-year; which is now well above the monthly inflation indicator in June-23 which slowed sharply to 5.4% year-on-year.
"Meanwhile, employment intentions remain historically consistent with positive employment growth of about 2% year-on-year."
If any rate hike occurs, November is the likely date and the RBA will factor in the halving of the rate of increase in household spending from May to June.
Cost of living pressures are now starting to bite.
The latest Australian Bureau of Statistics show household spending increased by 1.8% in June, a decline from 3.4% in May and 4.7% in April.
Clothing and footwear spend declined by 7.1% in June, while recreation and culture dropped by 3.4%.
Spending on miscellaneous goods and services increased by 8.4%; hotels, cafes and restaurants climbed by 4.2% in June.
Five at five
The S&P/ASX Small Ordinaries dropped 0.64% today to 2,834.70. The fall didn’t stop a raft of small cap companies releasing some solid news today.
Auric Mining becomes producer; gold from first ore parcel delivered to Perth Mint
Auric Mining Ltd (ASX:AWJ) has transitioned to a gold producer after completing the first toll milling and processing of its first parcel of gold ore from Jeffrey’s Find.
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Hawsons Iron hits mineable near-surface magnetite at namesake project; shares jump
Hawsons Iron Ltd (ASX:HIO) is trading higher on identifying mineable near-surface magnetite mineralisation at targeted grades, paving the way for a strategic shift in the company's mining approach that could potentially expedite the full production phase of the Hawsons Iron Project in Far West New South Wales.
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Emyria launches ketamine-assisted therapy program; taps expert Dr Ben Sessa to lead
Emyria Ltd (ASX:EMD) is hopeful of treating severe and treatment-resistant depression with its unique ketamine-assisted therapy (KAT) program and has tapped KAT expert Dr Ben Sessa to lead as scientific advisor based at its subsidiary the Pax Centre.
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Golden Rim Resources hits more broad high-grade gold in Kada drilling; Massan resource update on track
West African gold explorer Golden Rim Resources Ltd (ASX:GMR, OTC:GMRMF) is on track with a mineral resource estimate (MRE) update for the Massan prospect within its flagship Kada Gold Project in Guinea in the next quarter after fielding new broad assays of up to 64 metres at 1.1 g/t gold.
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Recce Pharmaceuticals welcomes positive case studies and research data for R327 gel formulation; shares up
Recce Pharmaceuticals Ltd (ASX:RCE, OTC:RECEF) has welcomed positive clinical responses to a new gel formulation of its R327® drug candidate, covered by the Therapeutic Goods Administration’s (TGA) Special Access Scheme (SAS).
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On your six
Australia's human rights watch dog recommends use of generative AI in educational system despite potential risks
Generative AI, when ethically deployed, had the potential to dramatically transform learning experiences and improve educational outcomes, said AHRC.
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The one to watch
Green Technology Metals pleased with consistent high-grade lithium
Green Technology Metals Ltd (ASX:GT1) CEO Luke Cox tells Proactive the Root Bay lithium deposit continues to impress following the latest batch of high-grade lithium hits from infill diamond drilling.
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