ASX 200 Live Today - Wednesday, 11th June

Welcome to our live ASX coverage for Wednesday, June 11. We’re excited to be trialing this new format. Expect a high volume of posts pre-market and more periodic updates throughout the day. Be sure to refresh manually for the latest updates — and let us know how we can make it even better.

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Another record close, but well-off best levels

[4:45 pm] Signing off – The S&P/ASX 200 logged a second straight record high, up 0.06% but well-off session highs of 0.60%. Clearly, the market is showing some signs of fatigue, closing below the key 8,600 level.

Sector performance and breadth was mixed, with 97 S&P/ASX 200 constituents closing higher (48.5%), driven largely by Real Estate, Resources and Staples.

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Playside Studios rallies on yesterday's news

[3:55 pm] Playside Studios announced on Tuesday that its "Game of Thrones: War for Westeros" PC game will be globally available in 2026. The market didn't think much of the news, with the stock up 7.4% to 14.5%.

Today, Playside shares have spent most of the day trending higher, set to close 44.8% higher.

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Capricorn Metals now fully unhedged

[3:35 pm] Capricorn Metals has closed its final remaining gold hedges, 16,700-ounce call option maturing on 30 June 2025 with a strike price of US$2,260 per ounce.

"The cost of the closure and purchase of put options (at a spot price of $5,072 per ounce) was $50.0 million, paid out of Capricorn’s cash and bullion holdings of $404.6 million (31 March 2025)," the company said in a statement.

To add some perspective, Capricorn has an FY25 guidance of 110-120,000 ounces.

Overall, this results in a short-term financial hit but now leaves the company with full leverage to gold prices.

Source: ASX Announcement | Company page: Capricorn Metals (CMM)

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Pilbara Minerals fades early spike

[2:55 pm] Pilbara Minerals is currently up 4.8% to $1.41, down from earlier gains of 10.3%.

As the company reported this morning:

• Contained lithium oxide in the total Measured, Indicated and Inferred Mineral Resource up 23% due to a 10% increase in tonnage and 12% improvement in grade.

• Significant exploration potential remains at the Pilgangoora Operation with mineralisation remaining open along strike.

• Exploration activities moderated from the end of March 2025 as part of ongoing cost reduction initiatives.

• This resource upgrade could provide a slight upside to analyst price targets, with Macquarie's latest coverage (Feb-25) valuing the company's resource base at approximately 20 cents per share.

Pilbara is now up around 25% since its 3-Jun close of $1.13. It remains the fifth most shorted stock on the market, with 12.45% short interest.

Lithium prices have shown some signs of stabilising, with Chinese lithium carbonate futures sitting around 61,240 yuan a tonne, up from late-May lows of 58,460 yuan a tonne.

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Fortescue hits three-week high

[2:00 pm] Fortescue is on track to log its best day since 29 April, currently up 3.3% to $16.20.

Singapore iron ore futures are up 0.4% to US$95.8 a tonne, relatively steady for the month but down around 5% year-to-date. Meanwhile, the most active iron ore contracts on China's Dalian Commodity Exchange is up 0.9% to 706 yuan a tonne.

The slight uplift is largely driven by US-China trade talks, where the two countries agreed on a framework to ease trade tensions after two days of negotiation in London.

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Commodity check-in: Aluminium hits two-month high, copper and gold edge higher

[12:00 pm] Commodity prices are trading broadly higher on Wednesday. Here's how key commodities are performing at noon.

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Service Stream secures further NBN upgrade works

[12:00 pm] Network services company Service Stream has secured an agreement with NBN Co to continue NBN upgrade works.

Under a new agreement valued at approximately $440 million over an initial 3.5-year term, Service Stream will deliver specialist design and construction services to support the progressive rollout of NBN Fibre to the Premises (FTTP) technology to eligible premises. The contract also includes a 2-year extension option at NBN's discretion.

Service Stream shares are trading flat at the time of writing.

Source: ASX Announcement | Company page: Service Stream (SSM)

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Small caps making moves

[11:00 am] Here are the top small caps ($200m to $1bn market cap) winners and losers as at 11:00 am.

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Gold stocks smashed

[10:50 am] Its a sea of red for gold miners, despite gold prices trading 0.3% higher to US$3,332/oz this morning. The weakness may be attributed to US-China trade progress.

Most names are down around 1-6%, with notable bleeders including Perseus Mining (-6.1%), Ramelius Resources (-3.9%), Bellevue Gold (-3.7%), Spartan Resources (-3.2%), Vault Minerals (-3.1%) and Regis Resource (-3.0%).

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Top gainers and losers at open

[10:35 am] Here are the top S&P/ASX 200 gainers and losers as at 10:33 am.

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Lynas tumbles on US-China in-principle agreement

[10:20 am] The US and China reached a framework deal on implementing the Geneva consensus after nearly 20 hours of negotiations in London, marking a de-escalation in trade tensions, according to Bloomberg.

US negotiators expressed confidence that disputes over rare earth mineral and magnet shipments will be resolved under the new framework implementation. Both delegations will take the proposal back to their respective leaders for approval before implementation can begin.

The US indicated it will reciprocally reduce export controls and other measures once China approves licenses for rare earth shipments, following Trump's "balanced" approach

Lynas shares are down 6% in early trade, though the stock remains up about 7% since last Wednesday, when rare earth tensions first flared.

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Qantas to close Jetstar Asia, launches strategic restructure

[9:55 am] Major update from Qantas, covering the closure of Jetstar Asia, recycling of Jetstar Asia's fleet capital, financial impact and a 2H25 update. Here are the key takeaways

• Jetstar Asia closure: Qantas is shutting down its loss-making Singapore subsidiary ($3m EBIT loss expected this year) on 31 July, freeing up $500m in fleet capital for redeployment to core Australian and New Zealand markets.

• Fleet recycling opportunity: The 13 mid-life A320 aircraft will support fleet renewal and growth in core markets, coinciding with the arrival of new A321XLR and A350-1000ULR aircraft for long-haul expansion.

• Financial hit: One-off closure costs of ~$175m (spanning FY25-FY26) including redundancies, restructuring, and asset write-downs, with direct cash impact of ~$160m.

• H2 operational challenges: Cyclone Alfred caused $30m in earnings impact and reduced domestic capacity growth, while industrial action affected international capacity expansion through the Finnair wet lease arrangement

• Underlying demand remains strong: Despite operational disruptions, the group continues to see robust demand across domestic and international markets with unit revenue and capex on track with guidance.

Qantas also noted the following capacity guidance, which includes the closure of Jetstar Asia.

Source: Qantas

There is limited recent analyst coverage addressing these specific developments. The closure could be viewed positively as it eliminates a loss-making operation and frees up $500m in fleet capital for higher-return opportunities, though the market reception of the revised capacity guidance remains to be seen.

Source: ASX Announcement | Company page: Qantas (QAN)

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Johns Lyng Group confirms non-binding offer

[9:45 am] Shares in Johns Lyng Group was halted on Tuesday after the AFR said the company had been approached by Pacific Equity Partners for a potential public-to-private buyout.

The company confirmed that after market close on 16 May, it received a non-binding indicative offer proposal from Pacific Equity Partners (PEP) to acquire 100% of the company.

An Independent Board Committee has granted PEP exclusivity until 11 July 2025 to complete confirmatory due diligence and submit a binding offer.

Source: ASX Announcement | Company page: Johns Lyng Group (JLG)

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Austin Engineering mixed FY25 guidance update

[9:40 am] Global engineering company Austin Engineering upgraded its FY25 revenue guidance but slashed its EBIT outlook due to short-term headwinds.

• FY25 revenue upgraded to approximately $370m (vs. prior forecast of $350m) or ~18% year-on-year growth

• FY25 underlying EBIT slashed to $41m (from prior $50m) or 8% year-on-year growth

• Group total order book sits at over $200m, up 5% year-on-year

The company attributed the downgrade to:

• A major multi-year contract in Chile proved more challenging than expected, with unsuccessful price variation discussions and operational strain from the demanding ramp-up requirements

• The Chile facility capacity was stretched by the contract demands, forcing the company to redirect significant production to its Batam facility to improve project margins

• While the operational changes are expected to improve margins over time, the short-term disruption and transition costs impacted immediate profitability forecasts

• Despite strong revenue growth in the Americas (+18% vs FY24), the margin pressures from the Chile contract execution offset some of the profit benefits

Austin Engineering shares performed strongly between November 2023 and July 2024, but have been in a downward spiral since then, falling 27% year-to-date and 30% over the past twelve months.

Source: ASX Announcement | Company page: Austin Engineering (ANG)

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Analysts take on Metcash guidance

[9:30 am] Metcash shares rallied 3.5% on Tuesday to close at the highest level since 22 October, 2024. This was in response to a guidance and strategy update, which noted:

• FY25 underlying NPAT to be between $273-277m vs. $272m consensus (1.1% beat vs. consensus at the midpoint)

• Group EBIT of $504-508m (Goldman Sachs forecasted FY25 EBIT of $492.1m in Dec-24 or a 2.8% beat)

• Merger of Independent Hardware Group and Total Tools under a single Hardware division

Here are the key analyst updates from this morning:

• JPMorgan retained Overweight and raised its target to $4.40 from $4.20, citing the merger's long-term procurement and labour benefits and expected rate cut support for housing recovery, though noted food earnings were dragged by tobacco-related traffic decline and liquor margins remained under competitive pressure.

• UBS retained Buy and lifted its target to $4.00 from $3.50, viewing hardware recovery as a multi-year opportunity with structural simplification being prudent in challenging markets, despite food and liquor tracking below internal forecasts.

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Helia Group CEO to step down

[9:25 am] Helia Group's CEO Pauline Blight-Johnston will stand down from the position after more than five years in the role, with CFO Michael Cant assuming the interim CEO role from 1 July.

The company attributed the leadership change to shifts in the Lenders' Mortgage Insurance industry outlook and its customer portfolio, stating that both Blight-Johnston and the board believe "it is appropriate for a change in the scope of the CEO and Managing Director role."

The timing raises questions given recent developments:

• Blight-Johnston sold around 393,000 shares ($2.3m) across seven transactions in March, almost halving her stake to 420,630 shares

• The selldown came after a ~30% rally between 24 February and 3 March following the company's stronger-than-expected first-half FY25 result and special dividend announcement

• On 24 March, Helia disclosed that major client CBA had begun exclusive talks with an alternative LMI services provider, potentially jeopardising a contract representing 44% of FY24 gross written premiums and set to expire on 31 December 2025. The stock plummeted 25% at the session's open following this disclosure.

Source: ASX Announcement | Company page: Helia (HLI)

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Perseus issues 5-year gold production outlook

[9:20 am] Perseus provided a total gold production and all-in site cost (AISC) outlook for FY26-30 for its portfolio of mines located in Ghana, Côte d’Ivoire and Tanzania. Here are the key numbers:

• Expects average gold production of 515-535,000/oz per annum over FY26-30

• Production breakdown includes Yaouré (34%), Edikan (28%), Sissingué (10%) and Nyanzaga (28%, with first gold pour expected Jan-27)

• A weighted average AISC over the five-year period of US$1,400-1,500/oz with no more than +/-10% change year-on-year over the period

• Total development capital of US$878m has been allocated to the operating assets

• At a long-term gold price of US$2,400/oz, Perseus' cash operating margin is expected to consistently exceed US$500/oz at all mines

This five-year outlook is interesting relative to analyst forecasts. Macquarie (30-Apr) modelled FY26-29 average gold production 475,900/oz, which suggests the above guidance is 10.3% above their estimates (though missing FY30). Macquarie also guided to US$852 in total capex between FY26-28.

Source: ASX Announcement | Company page: Perseus Mining (PRU)

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Articore to conduct comprehensive review

[9:10 am] Redbubble.com owner Articore reaffirmed its FY25 guidance and announced a strategic review to "evaluate options to optimise shareholder value and accelerate future growth."

The key guidance numbers include:

• Group GPAPA margin of 25-27%

• Operating expenditure between $89-92m

• Positive underlying cash flow

The stock is down 33% year-to-date and down a further 55% in the past twelve months. Not a whole lot to see here.

Source: ASX Announcement | Company page: Articore (ATG)

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Zip upgrades FY25 guidance

[9:00 am] Zip upgraded its FY25 cash EBTDA to "at least $160 million" compared to prior guidance of at least $153 million (4.5% upgrade).

“Zip’s momentum has continued throughout May, particularly in the US where TTV has continued to grow above 40% year on year, reflecting the resilience of our business model and disciplined execution of our strategy," said CEO Cynthia Scott.

The announcement should attract modest analyst upgrades, as most of them have cash EBTDA forecasts around the prior guidance ($153m). Short sellers have continued to linger around Zip, with approximately 5.08% short interest.

Source: ASX Announcement | Company page: Zip (ZIP)

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Pilbara Minerals lifts Pilgangoora MRE

[8:45 am] Pilbara Minerals upgraded the Mineral Resource Estimate of its Pilgangoora Operation. The key outcomes following 104,672m of drilling include:

• Increased total Measured, Indicated and Inferred Mineral Resource by 9.6% to 446Mt at 1.28% lithium oxide (Li20), 122ppm tantalum pentoxide (Ta2O5) and 0.59% iron oxide (Fe2O3)

• Contained lithium oxide in the total Measured, Indicated and Inferred Mineral Resource up 23% due to a 10% increase in tonnage and 12% improvement in grade

• Significant exploration potential remains at the Pilgangoora Operation with mineralisation remaining open along strike

• Exploration activities moderated from the end of March 2025 as part of ongoing cost reduction initiatives

This resource upgrade could provide a slight upside to analyst price targets, with Macquarie's latest coverage (Feb-25) valuing the company's resource base at approximately 20 cents per share.

Source: ASX Announcement | Company page: Pilbara Minerals (PLS)

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World Bank cuts 2025 global forecast

[8:40 am] The World Bank cut its 2025 global growth forecast to 2.3% from 2.7%, the slowest pace since 2008 excluding recessions. Here are the key takeaways from the report.

• Trade uncertainty is the primary driver of the downgrade, disrupting global economic stability and policy predictability.

• US growth outlook slashed by 0.9 percentage points to 1.4%; Euro area cut by 0.3 points to 0.7%.

• Escalating trade tensions could further weaken growth, while tariff-reducing trade deals could lift growth by 0.2 percentage points over 2025–2026.

• Ongoing US trade negotiations with China and the EU may influence future outcomes — recent talks have led to temporary tariff reductions.

• The World Bank's downgrade follows similar moves by the OECD, which lowered its 2025 global growth forecast to 2.9%, down from 3.1%.

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What's driving stocks?

[8:35 am] Major US benchmarks were broadly higher overnight, with ten out of eleven S&P 500 sectors higher. Breadth was solid, as the Equal-weight S&P 500 performed in-line with the official benchmark. In terms of catalysts and headlines, it was a pretty quiet session:

• US-China trade talks continued for a second day and light on details. Commerce Secretary Lutnick said they are going well and could end tonight, but team will remain tomorrow if necessary.

• US and India reportedly nearing an interim deal

• US inflation data on Wednesday night, with the market expecting annualised headline CPI to fall to 2.3% in May, from 2.5% in the prior month

• Market also focused on the 30-year bond sale set for Friday

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Good morning!

[8:30 am] S&P/ASX 200 futures are pointing to a 24 point gain (+0.27%). This follows a fresh all-time high on Tuesday, where the market rallied 0.84% or 0.37% above its 14-Feb record.

If you’re new to the blog – catch up quick via today’s Morning Wrap.