Market Wraps

Morning Wrap: ASX 200 to open at record levels, S&P 500 higher + Cuscal IPO

Mon 25 Nov 24, 8:36am (AEDT)

ASX 200 futures are trading 52 points higher, up 0.61%, as of 8:30 am AEDT.

Major US benchmarks finished higher amid a notable rotation into Trump-related themes as well as small caps and cyclicals, the US Dollar Index soared for an eighth straight week, Bitcoin is trading within an arms reach of US$100,000, US business activity soars to the highest level since April 2022 and fintech company Cuscal is set to make its ASX debut at 12:00 pm.

Let's dive in.

Overnight Summary

Mon 25 Nov 24, 8:24am (AEDT)

Name Value % Chg
Major Indices
S&P 500 5,969 +0.35%
Dow Jones 44,297 +0.97%
NASDAQ Comp 19,004 +0.16%
Russell 2000 2,407 +1.80%
Country Indices
Canada 25,444 +0.21%
China 3,267 -3.06%
Germany 19,323 +0.92%
Hong Kong 19,230 -1.89%
India 79,117 +2.54%
Japan 38,284 +0.68%
United Kingdom 8,262 +1.38%
Name Value % Chg
Commodities (USD)
Gold 2,712.2 +1.49%
Iron Ore 101.95 -
Copper 4.086 -0.61%
WTI Oil 71.24 +1.50%
Currency
AUD/USD 0.6502 -0.18%
Cryptocurrency
Bitcoin (USD) 96,859 -0.82%
Ethereum (AUD) 5,114 -1.98%
Miscellaneous
US 10 Yr T-bond 4.41 -0.50%
VIX 15.24 -9.66%

US Sectors

Mon 25 Nov 24, 8:24am (AEDT)

SECTOR % CHG
Energy +2.30%
Utilities +1.44%
Health Care +1.34%
Industrials +1.16%
Financials +1.15%
ASX 200 +0.85%
Materials +0.84%
Real Estate +0.78%
All Ords +0.77%
Consumer Staples +0.77%
SECTOR % CHG
Small Ords +0.75%
Consumer Discretionary +0.65%
Emerging Companies +0.61%
AUD/USD +0.52%
Nasdaq +0.14%
Dow Jones +0.12%
S&P 500 +0.07%
Communication Services +0.06%
All Tech -1.02%
Information Technology -4.45%

S&P 500 SESSION CHART

S&P 500 intraday
S&P 500 higher amid a relatively choppy session (Source: TradingView)

OVERNIGHT MARKETS

  • Major US benchmarks finished higher, finished near best levels

  • Rotation was a big theme in the overnight session, with Trump themes, small caps and cyclicals among the standouts while Big Tech lagged

  • US weekly recap – Russell 2000 (+4.46%), Dow (+1.96%), Nasdaq (+1.73%), S&P 500 (+1.68%)

  • US Dollar Index marks eighth straight week of gains, highest level since November 2022

  • Bullish talking points – Nvidia reported another beat and “staggering” Blackwell demand, Walmart beat and raised guidance, US services PMI highest since March 2022, Putin open to ceasefire talks with Trump, more signs of FOMO with seventh straight week of inflows to US equities

  • Bearish talking points – Target flags notable Q3 miss and Q4 downgrade, Lowe’s flagged continued affordability challenges, geopolitical tensions ratcheted higher as Ukraine carried out first strike in Russian territory while Russia updated its nuclear doctrine, US tariff risks and uptick in inflation expectations 

  • Trump's policies could boost US stocks' dominance over global rivals, despite potential risks (RT)

  • Global equity funds' weekly inflows slow on geopolitical tensions between Russia and Ukraine, Fed rate outlook (RT)

  • Nasdaq 100 nears key level that could spark shift away from US stocks, warns BofA (BBG)

  • Euro slides to lowest level in two years on ramping up of bets of more aggressive ECB rate cuts (BBG)

  • Bitcoin above US$99,000, striking distance of $100,000 and up 45% since Trump's election win (RT)

  • China stocks slump Friday after as disappointing tech earnings hurt sentiment already weakened Trump return worries (BBG)

STOCKS

  • Apple developing version of Siri that uses more advanced LLMs allowing it to engage in conversations (BBG)

  • Gap raises annual sales target on strong holiday demand (RT)

  • Stellantis reportedly open to push into lower-cost countries including Mexico, contingent on Trump tariffs (BBG)

  • European companies freeze hiring or cut jobs on difficult economic conditions and persistently weak demand (RT)

CENTRAL BANKS

  • ECB's De Guindos says size of December rate cut less important that trajectory of monetary policy (BBG)

  • BOJ to hike rates in December as yen weakens and Trump returns (RT)

  • RBNZ to cut another 50 bps this week, according to Reuters poll (RT)

POLITICS & GEOPOLITICS

  • China willing to engage in "positive dialogue" on trade with a Trump administration (FT)

  • Iran says will increase its nuclear fuel-making capacity after it was censured by the UN atomic watchdog (FT)

  • Israeli PM Netanyahu severely criticises ICC decision; says he won't be deterred from continuing war against Hamas (BBG)

ECONOMY

  • US manufacturing and services PMI rises to 55.3 in November, the highest since April 2022 amid hopes of lower rates and business friendly policies (RT)

  • Eurozone November PMI signals weak growth ahead, with trade risks, politics weighing (BBG)

  • Germany Q3 GDP growth revised lower, with strong chance of winter recession (BBG)

  • UK November PMIs show first contraction in output since 2023 (RT)

  • UK retail sales slump in October as Budget uncertainty weighs on consumers (FT)

  • Japan core inflation slows by less than forecast, services inflation strengthens (BBG)

Industry ETFs

Mon 25 Nov 24, 8:23am (AEDT)

Name Value % Chg
Commodities
Silver 28.47 +1.53%
Steel 70.8891 +0.65%
Gold Miners 38.28 +0.37%
Uranium 33.12 +0.06%
Copper Miners 42.59 -0.47%
Strategic Metals 46.1 -0.99%
Lithium & Battery Tech 44.97 -1.32%
Industrials
Construction 86.0495 +1.25%
Aerospace & Defense 154.51 +1.04%
Global Jets 24.18 +0.88%
Agriculture 26.51 +0.76%
Healthcare
Biotechnology 137.96 +1.37%
Name Value % Chg
Cryptocurrency
Bitcoin 26.69 +0.98%
Renewables
Hydrogen 23.52 +2.26%
CleanTech 7.11 +1.64%
Solar 34.64 +0.90%
Technology
Cloud Computing 24.5 +1.53%
FinTech 33.55 +0.87%
Robotics & AI 33.41 +0.66%
Video Games/eSports 82.87 +0.64%
Electric Vehicles 23.56 +0.60%
Sports Betting/Gaming 20.08 +0.54%
Cybersecurity 33.52 +0.48%
Semiconductor 216.17 +0.04%
E-commerce 28.11 -0.50%

ASX TODAY

  • Euroz Hartley’s says “the first four months of this financial year have started well. July and August were particularly strong trading months for us while September and October were somewhat quieter,” guides to unaudited NPAT of ~$5m for first four months to 31-Oct (EZL)

  • Evolution could soon place its Mungari gold mine up for sale, valued between $600m to $1bn (The Aus)

  • Duratec guides to FY25 revenue $600-640m vs. prior guidance of “solid revenue growth” and $617m consensus, EBITDA $52-56m vs. $53.7m consensus, order book currently $409m with tenders of $1.5bn (DUR)

  • Ramsay investors push for shake-up of failed overseas expansion, starting with its controlling stake in Ramsay Sante (AFR)

  • SG Fleet Group in negotiations with Pacific Equity Partners, talks “well-advanced” for a $1bn-plus buyout though terms haven’t been agreed to yet (AFR)

  • Spartan Resources receives DEMIRS and DWER approvals for mining and processing of underground ores at Dalgaranga Gold Project (SPR)

WHAT TO WATCH TODAY

  • Cuscal IPO: Set to be one of the largest IPOs of the year. Cuscal locked in demand for its $336.8m IPO relatively quickly, with approximately half from cornerstone commitments, according to The Australian. The company provides payment services to banks, offering B2B services for institutional clients such as corporates, banks, super funds etc. IPO offer price was $2.50 a piece.

  • Gold: Gold prices rallied another 1.7% overnight, now up almost 6% in the last five sessions. Interestingly, the strong overnight move did not warrant much of a bid for gold equities, with the Gold Miners ETF (GDX) up just 0.3%.

BROKER MOVES

  • HealthCo Healthcare & Wellness REIT initiated Overweight with $1.40 target (JPM)

  • Megaport downgraded to Hold from Buy; target cut to $8.40 from $11.10 (JEF)

Key Events

Stocks trading ex-dividend: 

  • Mon 25 Nov: None

  • Tue 26 Nov:  Newmont Corporation (NEM) – 0.39%

  • Wed 27 Nov: ALS (ALQ) – 1.17%, Graincorp (GNC) – 3.03%, Whitefield Industrials (WHF) – 1.83%

  • Thu 28 Nov: Red Hill Minerals (RHI) – 6.90%, Technology One (TNE) – 0.57%

  • Fri 29 Nov: Aristocrat Leisure (ALL) – 0.63%, Pengana International Equities (PIA) – 1.15%

Other ASX corporate actions today: 

  • Dividends paid: None

  • Listing: Cuscal (CCL) at 12:00 pm 

  • Earnings: Select Harvest (SHV), Webjet Group (WJL)

  • AGMs: Integrated Research (IRI), Pro Medicus (PME)

Economic calendar (AEDT):

No major economic announcements.

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.

Get the latest news and insights direct to your inbox

Subscribe free