Australia….1 Hour In….ASX200 Up 28 Points

By Scott Phillips | More Articles by Scott Phillips

ASX200 up 28 points (0.5%) to 5246.

– Alumina (+3%); aluminium giant Alcoa suspends guidance and cuts output capacity.

– AMP (+0.8%); said FUM declined 13.5% in 1Q, blaming the virus.

– Carsales.com (+3%); unable to provide guidance.

– Evolution Mining (+1.2%); guidance unchanged.

– Galaxy Resources (+8%); said it remains on track to meet FY20 goals.

– Infomedia (TH); trading halt pending a capital raising. Re-affirmed FY20 outlook.

– Flexigroup (+2.8%); defers payment, accelerates cost cutting and said business is tracking along “ok”.

– Lynas (+17%); after market closed yesterday Lynas said it has been awarded a Phase I contract for a US based Heavy Rare Earth separation facility from the US Department of Defense.

– Qantas (+0.7%); press speculation continues that Qantas will be the next major company to raise equity.

– Santos (+6%); 1Q sales revenue fell by 14% on a weaker Oil price. CEO Kevin Gallagher said the company had performed strongly in the quarter in spite of challenges including the coronavirus pandemic and low oil prices.

– Virgin (TH); press speculation saying (1) Melbourne Airport pitches to become Virgin’s home base and (2) AustralianSuper rumoured to join BGH Capital in making a rescue offer…….as I said, press speculation.

….and Melbourne brewery Moon Dog has had to close its two breweries thanks to COVID so it’s come up with a great idea to get its beer out to customers. It will be hosting a competition to find Australia’s best mullet. The winner gets free beer for a year. And just for trying, every entrant gets a free 4-pack. How good is that?

Scott Phillips

About Scott Phillips

Scott has over 35 years experience in Australian equities, starting as a “chalkie” and trader on the Stock Exchange Trading Floor and spending the last 25 years advising and trading for International Institutions. He has been an Executive Director at JPMorgan and Nomura, a Governor of the Australian Stock Exchange and was recently awarded a Lifetime Achievment award by the Australian Stockbrokers Association. Now at Ascot Securities, Scott focuses on advising Family Offices, offshore Soveriegn Funds as well as a growing book of domestic Professional Investors.

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