Marcus Today End Of Day Report

Today’s Headlines

ASX 200 up 17 to 5995 in quiet thin trade.
High 6012 Low 5980.
Up 5 points for the week.
Banks firm on WBC’s AGM.
Miners weak on metal and iron ore prices.
Energy in focus.
TLS continues rally.
AUD rallies to 75.13c
US futures up 35.
Bitcoin surging in volatile trading again to over US$16,400. CME futures start December 18th.
Asian markets make headway China CSI 300 up 0.25%. HK up 0.86% and Nikkei up 1.16%

MT Stuff

MARCUS CALL – There is Fundamental Analysis and there is Technical Analysis – but there is another body of analysis you need to learn.
SMALL STOCK PORTFOLIO – An update on our portfolio. LYC has its last day of trading on a deferred basis.
SMALL CAP STOCK OF THE DAY – Exposing ourselves to the tourism theme – this time via Experience Co (EXP).
INSIDERS – Two new insights today. A Buy on MOD Resources and a sell on EUR. Thank you Monty and Shadowfax.
RETIREMENT TODAY – The self-accepting inevitability of retirement and how to draw positives. Harold reflects on the last few decades.
CONNECT WITH US – We invite you to send us your own stock ideas. We also have the facility for you to email us any questions. Click on the "Ask Marcus Today" button in the newsletter or below – Ask us anything:

POINTS

ADVANCED EDUCATION COURSE – "Stock Picking for the Active Investor with Marcus Padley" – Click on the links below to book current events. These are close to selling out as well. The demand for stock market education is healthy. We are in the middle of adding numbers to the Melbourne events and launching our beginners course in Melbourne and Sydney. We are also adding a Perth Advanced course. Just have to lock in dates with the venue hire people.

Friday February 23^rd 2018 – MELBOURNE (SOLD OUT)
Friday March 2^nd 2018 – MELBOURNE (1 place left)
Friday March 16^th 2018 – SYDNEY (SOLD OUT)
Saturday March 17^th – SYDNEY (11 places left)
Wednesday April 18th 2018 – GOLD COAST (20 places left)
Friday 20th April 2018 – BRISBANE (12 places left)

The BEGINNERS EDUCATION COURSE – An Introduction to financial concepts, your investment options, where you are with Super, and an introduction to the stock market.

Friday 9th March 2017 – MELBOURNE
Thursday March 15th – SYDNEY

Movers and Shakers

AGL +1.45% broker upgrade.
ORG +1.33% upgraded by Goldman.
APA -5.44% broker downgrade.
AWE +10.61% Chinese launch all-cash takeover at 73c.
PLS +7.34% addition to index.
GXY +2.97% ORE +2.89% lithium back in favour. Broker upgrade.
ALQ +4.42% on directors buying.
CCL +2.05% beverage MD appointment.
LOV +2.95% finding friends.
YOJ +9.09% broker support.
MYO -0.83% Bain sells large parcel.
BIG -6.08% goes small on profit-taking.
ASX -1.88% after blockchain CHESS announcement.
SBM -4.13% $5m placement form CYL.
EUR -10.20% as placement weighs.
FSF -3.40% milk powder weakness.
BPT +5.29% monthly drilling report.
FXJ +5.67% short covering DHG +4.44% on substantial notice from FIL.
GSW – Launches $100m issue.
WGN +25.46% new IPO jumps on debut.
Speculative stock of the day: Bioxyne (BXN) +39.53% after launching a NZ dairy formula product in SE Asia. 16k cans of BK18 ordered and weight loss and beauty products launched.
Biggest risers – PLS, BPT, BIN, VOC, GXY and FXJ.
Biggest fallers – CLQ, APA, BIG, YAL, CGF and NST.

FUTURES AND HIGHS AND LOWS

TODAY

Mesoblast (MSB) +1.13% Named global technology leader in Cell Therapy industry by Frost and Sullivan.
IAG (IAG) +0.28% improves its capital efficiency and reduces earnings volatility. From 1st January three reinsurers will receive 12.5% of IAG’s consolidated gross earnings premium and pay 12.5% of claims and expenses.
AWE (AWE) +10.61% Chinese CERCG back with a 73c cash bid.
Senex (SXY) +5.88% The company has announced approvals milestones for the Surat Basin. The company has now got environmental approvals to develop up to 425 wells.
MYOB (MYO) –0.83% Looks like a block of stock has gone through the market this morning at 360c. Worth around $350 it appears to be part of Bain Capital’s $900m stake. JP Morgan has placed the stock with a range of institutional investors. Bain last sold shares in February when it sold 100m shares at 355c.
NBN delay could result in $500m in lost revenue. Singaporean new kid, MyRepublic stands to miss out on new HFC cable orders to the tune of 22%. Currently has 3% of the market. TLS cut earnings by $600m on the delay. MyRepublic is an IPO hopeful. Very hopeful.
Index changes coming on December 18. In are LYC, PLS, WTC and out are FXL, JHC, and REG.

ANNOUNCEMENTS

ECONOMIC NEWS

Australian Housing finance: Occupied housing finance -0.6%. Total Dwellings up 0.6%. Investment housing up 1.6%. AUD relatively unchanged at 75.03c
In trend terms, the number of commitments for owner occupied housing finance rose 0.3% in October 2017.
In trend terms, commitments for the purchase of new dwellings rose 1.0% and commitments for the purchase of established dwellings rose 0.3% while the commitments for the construction of dwellings fell 0.5%.

BOND MARKET

ASIAN NEWS

Chinese exports jumped 10.3% in November. Imports increased 15.6% Trade surplus of US$40bn.
Asian LNG prices at a three year high as China battle pollution.
Japanese 3Q GDP rose 2.5%. Estimates were for 1.5%.

Galaxy Entertainment is planning to develop a resort in the Philippines as casino operators seek out new markets for growth. Will open a US$300m-US$500m on the island of Boracay. Melco Resorts is the only Macau-based operator that has a footprint in the Philippines.
South Korean frenzy on Bitcoin buying continues.

EUROPE AND US MORNING HEADLINES

EU is expecting UK PM May to sign an agreement on Friday. Irish issues sorted?
US has averted a 8 December shutdown with a two-week extension.
Ladbrokes Coral is in play with a GBP3.9bn deal with GVC. Implications for our gaming stocks perhaps.
Chemical giant BASF agreed to merge its oil and gas unit Wintershall with DEA, a vehicle of Russian billionaire Mikhail Fridman, to create one of the largest independent oil and gas firms in Europe. The new company will produce around 590,000 barrels per day and proven reserves of 2.1bn barrels of oil equivalent. BASF will control 67% of the new firm while Fridman’s LetterOne will own the remaining 33%.

MARKET MAP