The market is down 33. The SFE Futures were down 3 this morning.
Wall St. closed down 9 on Friday. The Dow was up 50 at best and down 72 at worst. The S&P 500 is now down 12% from its April 23 high. US markets had their biggest weekly drop last week thanks to disappointing housing numbers and concerns about European growth. 3Q US GDP was also revised down to 2.7% from 3.0%. Oil price went up $2.35 to $78.86 (Tropical Storm in Gulf of Mexico), Gold put on $10.30 to $1256.20 and the Aussie dollar also went up — now at 87.38c.
There was a massive spike in the S&P/ASX 200 earlier this morning with the index shooting up 600 points to 5012 from 4425. Still trying to establish what happened.
In other news today…
- Wattyl (WYL) has told investors to accept the $142m all cash takeover offer from The Valspar Corp in the absence of a superior bid. Valspar is offering 167c a share. WYL up 27% to 161c.
- Front page of the AFR tells us Boral’s (BLD) new CEO Mark Selway is looking to divest struggling or loss making businesses under the Boral banner in an attempt to develop a more efficient manufacturing pipeline and expand into fast growing regions like Asia. BLD down 8c to 498c.
- Talk is that Bright Food executives and CSR’s management cannot agree on a price for CSR’s sugar division. Bright Food want to cut their takeover offer from $1.75bn to $1.65bn after sugar prices fell from unusually high levels. FGL down 5c to 564c.
- The number of stocks in uptrend in the ASX 300 fell by 27 to 194 on Friday. 52 stocks have moved into downtrend from uptrend in the last 3 days.
- Bauxite Resources (BAU) down 17% to 17c after IMF Australia (IMF) announced they would fund claims that current and former shareholders may have against BAU.
- Elders (ELD) up 5.5% to 38.5c after they announced they will focus on cost cutting and increasing revenue. ELD up 6.8% to 39c. They fell 55% last week.
- Gindalbie Metals (GBG) announced their Karara Project will initially generate around $1bn worth of annual export revenues and eventually build revenues of around $3bn annually. GBG down 4c to 116.5c.
- WorleyParsons (WOR) has been awarded a services contract for S11D Project with Vale in Brazil. WOR up 1.8% to 2221c
- § Stocks hitting fresh 52 week lows include: Bendigo Mining (BDG), Crane Group (CRG), Icon Energy (ICN), Nufarm (NUF), Primary Health Care (PRY), Sims Metal Management (SGM), Toro Energy (TOE) and Transpacific Industries (TPI).
MARCUS PADLEY is the Author of the MARCUS TODAY Daily Stockmarket Newsletter.
For a free 5 day obligation free trial of the MARCUS TODAY newsletter (and no we won’t ask for a credit card number) please Click Here — you will receive our renowned and popular Daily email about the stockmarket with all the stuff you need to know ahead of the trading day including overnight developments, news, comments, rumours, broker stuff and Ideas from Marcus and his Team. You will also be given a password to the MARCUS TODAY website including access to our Recommended Portfolio which is actively managed on behalf of subscribers … no “set & forget”. Everything you need to effortlessly managed your own long term investment portfolio.
It includes an Income Portfolio. And for the traders we monitor short and medium term trades on top of the portfolio. Members also get access to our Database — all the numbers with comments on the ASX 200 stocks and more. Members also get access to our Educational section which includes an archive of Marcus’s Educational and Entertaining articles. We are sure you will enjoy and profit from what we offer. Thousands of subscribers enjoy and profit from our services every day. We have one of the highest re-subscription rates in the financial newsletter industry.
For your FREE TRIAL — Click here
To Subscribe to MARCUS TODAY — Click Here
We also offer a FREE END OF DAY EMAIL — Click here — A free summary of the day in the market.
To buy MARCUS’S BOOK “Stock Market Secrets” — Click here