Market Wraps

Evening Wrap: ASX 200 bounces, ResMed misses estimates, Mesoblast shares sink 57%

Fri 04 Aug 23, 5:15pm (AEST)

The S&P/ASX 200 closed 14 points higher, up 0.19%. 

The Index finished the week down 1.06%, the RBA downgrades its near-term forecasts but expects inflation to fall to 2.75% by the December quarter 2025, Mesoblast shares tank more than 50% after the US FDA delays its stem cell approval and City Chic shares rally more than 20% as it plans to exit Europe.

Let's dive in.


Today in Review

Fri 04 Aug 23, 4:45pm (AEDT)

Name Value % Chg
Major Indices
ASX 200 7,325.4 +0.19%
All Ords 7,535.9 +0.18%
Small Ords 2,850.6 +0.04%
All Tech 2,569.1 +0.31%
Emerging Companies 2,133.8 +0.38%
Currency
AUD/USD 0.6568 +0.26%
US Futures
S&P 500 $4,542.5 +0.46%
Dow Jones $35,397.0 +0.24%
Nasdaq $15,543.0 +0.68%
Name Value % Chg
Sector
Information Technology 1,916.3 +1.25%
Energy 11,780.3 +1.09%
Consumer Discretionary 3,059.6 +0.78%
Materials 18,117.0 +0.52%
Industrials 6,872.3 +0.35%
Consumer Staples 13,203.0 +0.34%
Financials 6,408.4 +0.17%
Communication Services 1,572.2 -0.22%
Real Estate 3,085.4 -0.64%
Utilities 8,815.2 -0.71%
Health Care 39,859.3 -1.20%

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ASX 200 Session Chart

S&P ASX 200 (LIVE DATA) Share Prices & Charts - Market Index
ASX 200 bounces intraday to finish in positive territory (Source: Market Index)

Markets

Happy Friday! A little bit of a short one today.

The ASX 200 finished the volatile week on a more positive note, rallying in the last hour of trade to finish the session in positive territory. The session was led by the usual suspects (aka those that have been outperforming in recent weeks) including Tech, Energy, Discretionary and Materials. The market is still working its way through the tail end of US earning season, which has been pretty positive (albeit a relatively low bar). One of the near-term headwinds for markets is the resurgence in bond yields. The US 10-year yield trading close to 4.2%, the highest since November 2007 and the yield curve (10-year minus 2-year) reaching the steepest level since May. Friday finished on an encouraging note, so let's see if the market can stabilise more next week.

From a technical perspective, it's found a little bounce off the previous trendline.

XJO
ASX 200 daily chart (Source: TradingView)

Economy

A few highlights from the RBA’s Statement of Monetary Policy: 

  • Downgraded near-term GDP growth forecasts by 0.25%

  • Expects headline inflation to fall from 6.0% in 2Q23 to 2.75% in 4Q25 

  • Repeated tightening bias and dependency on trends in household spending, the outlook for inflation and the labour market


Latest news


Interesting news and movers

Trading higher

  • +28.1% City Chic Collective (CCX) - Sale of Evans

  • +22.7% Azure Minerals (AZS)

  • +10.5% Latin Resources (LRS)

  • +7.9% Ansarada (AND)

  • +7.0% Australian Strategic Metals (ASM) – Continuation rally

  • +7.0% IVE Group (IGL) – Initiated Buy by UBS

  • +5.4% Myer (MYR)

  • +4.7% Dicker Data (DDR) – Trading update

Trading lower

  • -56.9% Mesoblast (MSB) – FDA response to licence

  • -9.3% Resmed (RMD) – Earnings

  • -8.8% Argosy Minerals (AGY)

  • -5.8% Block (SQ2) – Earnings 

  • -5.4% EML Payments (EML)

  • -4.6% Vulcan Energy (VUL)

  • -2.7% Lindian Resources (LIN) – Maiden MRE (Thu)


Broker notes

Brokers notes are unavailable today.


Scans 

Top Gainers

Code Company Last % Chg
RDN Raiden Resources Ltd $0.012 +50.00%
ERW Errawarra Resourc... $0.115 +41.98%
KNB Koonenberry Gold Ltd $0.044 +41.94%
AHI Advanced Health I... $0.24 +37.14%
VMM Viridis Mining an... $0.60 +30.44%
View all top gainers

Top Fallers

Code Company Last % Chg
MSB Mesoblast Ltd $0.47 -56.88%
GBE Globe Metals & Mi... $0.042 -39.13%
NGY Nuenergy Gas Ltd $0.021 -25.00%
NYM Narryer Metals Ltd $0.135 -20.59%
H2G GREENHY2 Ltd $0.012 -20.00%
View all top fallers

52 Week Highs

Code Company Last % Chg
BIO Biome Australia Ltd $0.125 +25.00%
AZS AZURE Minerals Ltd $2.66 +22.58%
IXU Ixup Ltd $0.068 +15.25%
MRL Mayur Resources Ltd $0.25 +13.64%
EZZ EZZ Life Science ... $0.685 +10.48%
View all 52 week highs

52 Week Lows

Code Company Last % Chg
MSB Mesoblast Ltd $0.47 -56.88%
GBE Globe Metals & Mi... $0.042 -39.13%
H2G GREENHY2 Ltd $0.012 -20.00%
MEL Metgasco Ltd $0.012 -14.29%
8VI 8VI Holdings Ltd $0.16 -13.51%
View all 52 week lows

Near Highs

Code Company Last % Chg
AN3PI Australia and New... $104.567 +0.54%
PCI Perpetual Credit ... $1.025 +0.49%
WVOL Ishares Edge MSCI... $36.45 -0.87%
WBCPI Westpac Banking C... $103.799 +0.19%
GCI Gryphon Capital I... $1.97 -0.25%
View all near highs

Relative Strength Index (RSI) Oversold

Code Company Last % Chg
SBM ST Barbara Ltd $0.235 -2.08%
STA Strandline Resour... $0.17 -5.56%
LNK Link Administrati... $1.45 -0.34%
GLN Galan Lithium Ltd $0.775 +3.33%
ABPDA Abacus Property G... $1.25 -1.19%
View all RSI oversold

Written By

Kerry Sun

Content Strategist

Kerry holds a Bachelor of Commerce from Monash University. He is an avid swing trader, focused on technical set ups and breakouts. Outside of writing and trading, Kerry is a big UFC fan, loves poker and training Muay Thai. Connect via LinkedIn or email.

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