Between the Bells

The local market closed lower on Friday but gained 0.2% for the week to notch out a fourth straight week of gains. The energy sector defied the broader market sell-off on Friday, boosted by an almost 4% rise for Woodside Energy Group (ASX:WDS).

New Hope Corporation (ASX:NHC) and Beach Energy (ASX:BPT) also jumped more than 3% on Friday as investors piled into energy stocks amid rising energy prices. On the energy front, we will be keeping an eye on the sector this coming week following the passing of the Inflation Reduction Act in the US House over the weekend which includes US$369bn for energy security. On the losing front from Friday’s session, Lake Resources fell almost 13.5%, as some investors took profit from the company’s surge of 73% earlier in the week, while Novonix and Telix Pharmaceuticals also lost more than 8% and 7% respectively.

The most traded stocks by Bell Direct clients last week were Lake Resources (ASX:LKE), Core Lithium (ASX:CXO) and Orora (ASX:ORA).

All three key US market indices closed higher on Friday as investor beliefs that inflation may have reached its peak were strengthened on Thursday with inflation data coming in below analysts’ expectations. Consumer discretionary stocks led the charge in the US on Friday with the sector adding more than 2.3% while technology stocks were pushed higher by Meta jumping over 1% on reports of a new delivery partnership with DoorDash. The market rally extended into Europe on Friday with the Stoxx, FTSE and DAX each closing in the green as investors digested an array of economic data released including the UK economy contracting in the second quarter of 2022 as the country’s cost of living crisis worsened.

What to watch today:

• Following a strong session for the US to close out last week, the Australian market is set to open higher this morning.
• Reporting season remains the key focus of trading this week with Beach Energy (ASX:BPT), Bendigo and Adelaide Bank (ASX:BEN), Bluescope Steel (ASX:BSL), G.U.D Holdings (ASX:GUD), GPT Group (ASX:GPT) and tech giant JB Hi-Fi (ASX:JBH) releasing results today.
• Taking a look at the commodities, crude oil continues to decline from highs back in March on the back of OPEC lowering its demand forecast for the year ahead amid growing signs that a slowdown in global economic growth will curb oil demand. Iron ore is down almost half a percent, and natural gas prices have pulled back from a high on Friday, but gold is trading just under 1% higher.
• This week, we will be keeping a close eye on several economic data releases including the RBA’s meeting minutes for August, Australia’s Wage Price Index, US retail sales and Australia’s unemployment rate later in the week.

Trading Ideas:

• Trading Central have identified a bearish signal on Northern Star Resources (ASX:NST) through a ‘Continuation Wedge’ chart pattern forming, indicating the stock price may fall from the close range of $8.26 to $6.60-$6.90. The pattern formed over a 17-day period which is roughly the period of time in which the target price range may be achieved, according to standard principles of technical analysis.
• Trading Central has also identified a bullish signal on Clean Seas Seafood (ASX:CSS) on the basis of a ‘bottom triangle’ chart pattern forming over 33-days, indicating the stock price may rise from the close of 60 cents per share to between 73 – 77 cents per share. The chart pattern forming over 33-days is roughly the period of time in which the target price range may be achieved, according to standard principles of technical analysis.

The Aussie share market advanced 0.8% this week (Mon-Thu), with reporting season in full swing. 70% of companies either beat or reported earnings in line with expectations.
 
 In this week’s wrap, Sophia covers:

• (0:32) Where to consider investing now
• (1:47) Why lithium shares soared this week
• (2:33) OZ Minerals (ASX:OZL) jumping 35% after rejecting takeover offer
• (3:00) The most traded stocks & ETFs by Bell Direct clients
• (3:37) Two economic news items to watch out for

Yesterday, our local market ended its three-day winning streak, declining 0.5% with nearly all sectors posting losses, except for the utilities and financial sector. The biggest laggard on the market was the tech sector, which follows the 1.2% tumble seen over in Wall Street for its Nasdaq index on Tuesday. 

The biggest gainer yesterday was Imugene (ASX:IMU), which rose 9.3% after the company provided an update on its clinical trial, which is currently in its first Phase, recruiting patients with triple negative breast cancer. Meanwhile the worst performer was St Barbara (ASX:SBM), which issued its financial year 2023 guidance, entailing higher gold production however at higher costs compared to financial year 2022. The gold miner will postpone its full-year results presentation to the 31st of August. 

The most traded stocks by Bell Direct clients yesterday included the BetaShares Australian Strong Bear Hedge Fund (ASX:BBOZ), Mineral Resources (ASX:MIN) and BHP Group (ASX:BHP).

In the US, all three benchmarks rallied after a key inflation reading showed a better-than-expected slowdown for rising prices. The headline CPI for July lifted 8.5% year over year, whereas economists were expecting increases of 8.7%. And it was flat compared to June. So now the Fed will take this report into consideration along with other key economic data, ahead of its September meeting where it’s expected to lift interest rates again. And major tech stocks outperformed the market with Netflix up 6% and Meta up 5.8%. 

What to watch today:

• Our market is expected to follow the US and open 1% higher if you go by the SPI futures. 
• Reporting wise, some companies announcing their earnings today include AMP (ASX:AMP), Mirvac Group (ASX:MGR), QBE Insurance Group (ASX:QBE), ResMed (ASX:RMD), Arena REIT (ASX:ARF) and Telstra (ASX:TLS). 
• In terms of forecast expectations:
• Citi is expecting ResMed to deliver $US827m NPAT. 
• While consensus expects Telstra to deliver $2.085b NPAT 
• And Mirvac Group, Citi is expecting the property developer to deliver NPAT of $615m, while consensus is less modest at $576.4m. 
• In commodities:
• Oil prices were trading higher at about US$91 a barrel, following renewed gasoline demand and a cooler-than-expected inflation reading that drove investors into riskier assets.
• The gold price was also up, given the tame inflation report may mean the Fed may not opt for aggressive rate hikes. 
• The spot iron ore price trades at US$111 a tonne.
• Rio Tinto (ASX:RIO) and SSR Mining (ASX:SSR) are set to go ex-dividend today.
• Online foreign exchange company OFX Group (ASX:OFX) will be holding its AGM today. 

Trading Ideas:

• Citi have decided to maintain its Sell rating on Commonwealth Bank (ASX:CBA) with a price target of $90.75. Citi believe CBA’s results were in line with expectations and expect the focus to remain on the core earnings outlook where CBA has provided very little detail, instead referencing that medium term outlook on NIM, net interest margin (from Feb) is unchanged. What did other brokers think? Well Macquarie also have an Underperform rating with a less modest price target of $78. 
• Trading Central has a bearish signal on Metcash (ASX:MTS) indicating that the stock price may fall from the close of $4.13 to the range of $3.00 - $3.20 in the next 65 days according to standard principals of technical analysis.  

Our local market closed 0.13% higher yesterday as communication services and tech stocks advanced the most. Energy stocks also rallied yesterday, following the news that OZ Minerals (ASX:OZL) rejected BHP’s takeover bid. Copper and lithium stocks also gained, with Lake Resources (ASX:LKE) closing the trading session more than 15% higher. LKE was followed by Megaport (ASX:MP1), which released solid full-year results. Meanwhile, Imugene (ASX:IMU) and NAB declined the most.

The major miners were the most traded stocks by Bell Direct clients. These were Lake Resources (ASX:LKE), BHP Group (ASX:BHP), Fortescue Metals (ASX:FMG) and Pilbara Minerals (ASX:PLS). 

In global markets, investors are trading cautiously as we wait on US inflation data. July’s US consumer price index data will be released at 10:30pm AEST today. European and US equities closed lower as investors assess the potential pace of the US Fed’s monetary policy tightening. The next Fed meeting isn’t until September; however tonight’s inflation figures will give us an indication of what to expect. In Europe, the STOXX 600 ended 0.6% lower with tech stocks leading the losses. And over in New York, the Dow Jones was down 0.2%, the S&P500 down 0.4% and the Nasdaq down 1.2%. 

What to watch today:

• The Australian market is set to fall 0.56% at the open this morning, going by the SPI futures.  
• In commodities, 
  • Oil is trading in the red, around US$90 per barrel, as investors weigh the potential for additional supply from Iran against the suspension of Russian oil exports. So as oil softens, watch energy producers such as Beach Energy (ASX:BPT) and Santos (ASX:STO). 
  • The price of gold however is trading higher, as investors continue to bid on the safe-haven metal as concerns around a US recession and geopolitical tensions weigh on the market. Some gold stocks to watch include Evolution Mining (ASX:EVN) and Northern Star Resources (ASX:NST). 
  • Iron ore is also higher, around US$113 a tonne. The price has rebounded after hitting its seven-month low at US$100.  
• Commonwealth Bank (ASX:CBA), Computershare (ASX:CPU), Dexus (ASX:DXI) and Mineral Resources (ASX:MIN) will be releasing their results today. 
  • For CBA, Citi are expecting NPAT to be $9,578 million while consensus is lower at $9,282 million. Currently, Citi have a Sell rating on CBA with a price target of $90.75, and Morgan Stanley came out yesterday with an Underweight rating and a price target of $82. And watch out for Bell Direct’s coverage on CBA’s results later today. 

Trading Ideas:

• Bell Potter maintain a Buy rating on Coronado Global Resources (ASX:CRN) after the company reported its half-year results yesterday. NPAT came in at US$562 million, above Bell Potter’s estimate of $522 million. The company also declared an ordinary interim dividend of US 7.5cps, higher than Bell Potter’s estimated US 6cps. CRN also maintained their guidance outlook, which includes a strong half in coal output. The broker increased their price target from $1.95 to $2.05, and at CRN’s current share price of $1.60, this implies 28.1% share price growth in a year. 
• Trading Central have identified a bearish signal in AGL Energy (ASX:AGL), indicating that the stock price may fall from the close of $8.47 to the range of $7.75 to $7.90 over 17 days, according to the standard principles of technical analysis. 

Yesterday, the Aussie share market started the new trading week in the green, with a very small gain of 0.1%. Leading the market was the energy, materials, and utilities sectors, all up over 1.4%. Weighing on the market however was the consumer discretionary, real estate and industrials sectors, which were all down more than 1%. 

Looking at the ASX200 leaderboard, OZ Minerals (ASX:OZL) jumped 35.3% following BHP’s takeover bid, which OZL rejected as its board believes the offer significantly undervalues the company. Lake Resources (ASX:LKE) continues to rise, up nearly 16% yesterday, despite no news out from the company. Supportive factors include that the price of lithium still trades near record highs. The biggest decliners yesterday included Suncorp (ASX:SUN), Magellan Financial Group (ASX:MFG) and Credit Corp Group (ASX:CCP). 

The most traded stocks by Bell Direct clients yesterday included Lake Resources (ASX:LKE), Sayona Mining (ASX:SYA), Zip Co (ASX:ZIP), as well as OZ Minerals (ASX:OZL).

Moving to the US, the market was mixed. The Dow Jones managed to post a small gain of 0.09%, while the S&P500 and Nasdaq were both down around 0.1%. Putting pressure on the market was  tech company, Nvidia, which announced weaker-than-expected revenue for the second quarter, which consequently impacted semiconductor stocks. And some clean energy shares lifted after the Senate passed the Inflation Reduction Act, which includes billions of dollars aimed at addressing climate change. 

What to watch today:

• Our local market is expected to open lower, down 0.12%, in line with the mixed US session.
• In economic news, both the NAB business confidence for July and the Westpac consumer confidence for August will be released today.
• In company reports, today we’ll hear from Megaport (ASX:MP1), Coronado Global Resources (ASX:CRN), News Corp (ASX:NWS) and REA Group (ASX:REA). Bell Potter forecasts REA’s NPAT to come in at $404 million, while consensus is a bit more modest at $411.2m, and consensus expects CRN’s NPAT to come in at $430m. Keep watch of these stocks today to see if their results are in line with expectations. Keep watch of NAB today as the company will be releasing a third quarter trading update. 
• Moving to commodities, oil prices lifted after positive economic data was released out of China. The gold price also gained following a pullback in the US dollar and US Treasury Yields, while the spot iron ore price traded slightly lower at US$112 a tonne. 

Trading Ideas:

• Bell Potter have downgraded its rating on OZ Minerals (ASX:OZL) from a Buy to a Hold. Bell Potter views BHP’s proposal to takeover OZ Minerals (ASX:OZL) as offering competitive value but likely to be improved. However, the risk-adjusted potential upside is insufficient for Bell Potter to maintain a Buy rating, therefore the downgrade to a Hold, with a strategy to see through to the completion of an all-cash acquisition of OZL at the current offer price or higher. Bell Potter has made no changes to their earnings forecasts and have increased their price target by 2% to match the current offer price of $25.00 per share. 
• Trading Central has a bearish signal on Data3 (ASX:DTL) indicating that the stock price may fall from the close of $6.21 to the range of $4.40 - $4.70 in the next 19 days according to standard principals of technical analysis.  

Our local market closed 0.6% higher on Friday, with materials advancing the most as gold miners extended gains, while energy stocks fell alongside a drop in the oil price. 

NOVONIX (ASX:NVX) jumped 13.7% and was followed by miners including Liontown Resources (ASX:LTR), Ramelius Resources (ASX:RMS), Silver Lake Resources (ASX:SLR) and Core Lithium (ASX:CXO). Stocks that declined the most on Friday were Megaport (ASX:MP1) and Block (ASX:SQ2).

The most traded stocks by Bell Direct clients on Friday were BHP Group (ASX:BHP), Lake Resources (ASX:LKE) and Whitehaven Coal (ASX:WHC). 

European stocks closed lower with the STOXX 600 closing down 0.8%. Most sectors were in negative territory, with tech stocks down the most, falling 2.4%. A strong US jobs report came in in the US, however it wasn’t quite enough to pull markets higher, as the three major benchmarks closed mixed. The labour market added more jobs in July than was expected, and the US unemployment rate dropped to 3.5%, while wage growth rose 5.2% higher than a year ago, signalling that high inflation is still a key concern. The Dow Jones closed just 0.2% higher, while the S&P500 fell 0.2%, and the Nasdaq dropped 0.5%. 

What to watch today:

• Following the US, the Australian market is set to open flat this morning. 
• OZ Minerals (ASX:OZL) rejected a takeover proposal by BHP for $8.34 billion, undervaluing the gold and copper miner. The offer was made on Friday – it was a $25 per share offer which was a 32% premium to the stock’s last close. So, watch the share price movements of BHP and OZL today.  
• Reporting season is picking up this week with quite a few companies releasing their earnings results. This morning, rail freight operator Aurizon Holdings (ASX:AZJ) and Suncorp (ASX:SUN) both published their full year results. 
  • SUN delivered group NPAT of $681 million, down 34%, impacted by volatile investment markets and elevated natural hazard costs. Home lending was up 9% or $4.1 billion. And SUN announced a final fully franked ordinary dividend of 17 cents per share, representing a 75% payout ratio. 
  • AZJ’s underlying EBITDA was only 1% lower than the prior comparable period. Cashflow increased 13%, and AZJ announced a final dividend of 10.9 cents per share fully franked. 
• In commodities, the price of oil is lower, heading for an over 9% weekly loss and wiping out the gains triggered by Russia’s invasion of Ukraine. Gold is also trading lower as markets react to a strong payroll report in the US. And iron ore continues to drop around worries of China’s ropery crisis and steel production cuts. 

Trading Ideas:

• Citi have a Buy rating on City Chic Collective (ASX:CCX) with a price target of $3.00. They see potential for long duration international growth underpinned by market share gains. The expected share price return is 35.7%. 
• Trading Central have identified a bullish signal in Resolute Mining (ASX:RSG), indicating that the stock price may rise from the close of $0.30 to the range of $0.34 - $0.35 over 41 days, according to the standard principles of technical analysis. 

The Aussie share market lifted 0.4% this week (Mon-Thu), with tech shares outperforming. Reporting season will be in full swing next week, with a number of well-known companies reporting to the ASX. 
 
 In this week’s wrap, Sophia covers:

• (0:35) Five external factors that will impact company earnings
• (1:22) Bell Potter and Citi's forecasts for next week's company results
• (2:53) Tech shares soaring after strong US earnings reports
• (4:25) The most traded stocks & ETFs by Bell Direct clients
• (5:08) Three economic news items to watch out for

Yesterday, the Aussie share market started the trading session in negative territory, down about 1% in the morning, but fought back in the afternoon to close 0.3% lower. 

The tech sector was the top performing sector, up 2.2%. Materials also managed to post a small gain of 0.35%. However, the rest of the sectors were in the red. 

Looking at the ASX200 leaderboard, Pinnacle Investment Management (ASX:PNI) jumped 12.2% after its strong full-year results, which showed profits had grown in financial year 2022. Zip (ASX:ZIP) was up 8.6%, continuing to lift since its quarterly report a couple of weeks ago. And some other tech shares like NOVONIX (ASX:NVX), EML Payments (ASX:EML) and Megaport (ASX:MP1) were amongst the top gainers for the day. On the flip side, the worst performers yesterday included Centuria Industrial REIT (ASX:CIP), Star Entertainment Group (ASX:SGR) and City Chic Collective (ASX:CCX).

The most traded stocks by Bell Direct clients yesterday included Lake Resources (ASX:LKE), telehealth company ResApp (ASX:RAP), as well as Zip (ASX:ZIP). 

Moving to the US, stocks rallied off the back of better-than-expected economic data and a rebound in tech stocks. The positive July services PMI helped investors shake off worries of a recession and sent traders back to beaten-down tech stocks. The Dow Jones was up more than 400 points, the S&P500 lifted 1.6% and the Nasdaq jumped 2.6%, boosted by solid gains from Apple, Amazon, and Microsoft. European markets also closed higher after the strong US data reported. 

What to watch today:

• In line with the positive session seen in the US and in Europe, the ASX200 is expected to rise 0.47% at the open if you go by the SPI futures.
• In economic news, balance of trade data for June will be released. Australia's trade surplus lifted to a record high of $15.97 billion in May 2022, easily beating market forecasts of a surplus of $10.73 billion, as exports rose more than imports, amid solid global demand and soaring commodity prices. Today’s reading is expected to come in at $14 billion, so stay tuned at 11:30am AEST.
• Moving to commodities, oil prices have fallen after a surprise increase in US crude and gasoline inventories weighed on prices. The WTI oil price is trading at around US$90 a barrel. The gold price was pressured by a stronger dollar and Treasury yields and currently trades at US$1,763 an ounce, and the spot iron ore price trades slightly down, at US$117 a tonne.
• If you hold Arena REIT (ASX:ARF), Prospect Resources (ASX:PSC) or Uniti Group (ASX:UWL), you will receive your dividend payment today. 

Trading Ideas:

• Bell Potter have maintained its Buy rating on Technology One (ASX:TNE) with an increased price target from $12.50 to $14.25. Bell Potter forecast double digit underlying EPS growth in each of the next three years. TNE also recently reported a strong result which was generated by an increase in the average number of products per customer, a large number of Software as a Service (SaaS) flips and also CPI increased for those customers in Australia who renewed contracts in the first half of FY22. At its current share price of $12.30, this implies about 16% share price growth in a year.   
• Trading Central has a bullish signal on Fletcher Building (ASX:FBU) indicating that the stock price may rise from the close of $4.77 to the range of $5.55 - $5.70 in the next 71 days according to standard principals of technical analysis.  

The ASX200 closed just 0.07% in the green, after earnings results from Appen (ASX:APX) and Credit Corp (ASX:CCP) disappointed investors. APX’s shares dropped after reporting a worse half than forecasts, as underlying earnings and revenue fell, while CCP’s shares dropped after reporting “challenging conditions”. Also yesterday, the RBA announced a further 50 basis point rise to the cash rate, now at 1.85%. This was in line with expectations, so we didn’t see any large impacts from the announcement. The market was trading a little lower leading up to the RBA’s announcement at 2:30pm, but then rose in afternoon trade, following the news. 

The consumer discretionary sector, consumer staples and tech advanced the most, while real estate and materials declined.

The best performing stock was BNPL company Zip (ASX:ZIP) which gained 15% yesterday, and it was followed by the a2 Milk Company (ASX:A2M) and St Barbara (ASX:SBM). The worst performing stock was United Malt Group (ASX:UMG), after the company downgraded its FY22 guidance.  

The most traded stocks by Bell Direct client yesterday were the BetaShares Australian Strong Bear Hedge Fund (ASX:BBOZ), Whitehaven Coal (ASX:WHC) and Rio Tinto (ASX:RIO).

European shares were in the red, as investors track risk-off sentiment globally and whether last month’s rally has any further to go. Corporate earnings also remained a core driver of individual share price movement with shares such as BP and Ferrari publishing results. The STOXX 600 closed 0.2% lower, with financial services stocks falling 1.7%. Most sectors were in negative territory, however we did see oil and gas stocks gain.

US equities were also lower, for the second day, amid more hawkish commentary from the Federal Reserve. The Dow Jones fell 1.2% or just over 400 points, weighed down by disappointing earnings from Caterpillar. The S&P500 closed 0.7% lower. And the Nasdaq fell 0.2%, however the index did see a 19% jump in Uber shares following its corporate earnings release. Stocks were also reacting to comments made by the Chicago Fed President Charles Evans, who said he hopes the central bank can raise its benchmark interest rate by half a percent. So note, there is no Fed meeting in August – the next Fed interest rate decision will be at the end of September.

What to watch today:

• Following the negative run the US, the Australian market is set to fall 0.16% at the open this morning, going by the SPI futures.
• In commodities, oil is trading lower with continued worries around tight supply, that has more than offset worries over an economic slowdown. Investors are also awaiting OPEC’s meeting, for any indication of a further boost in crude supply. Gold is currently falling, however did see a big jump, hovering at its highest levels in four weeks, as a falling dollar and Treasury yields supported bullion demand. And iron ore is recovering from what was a seven-month low of US$100 a tonne, after news of declining steel inventories in China.
• Watch the share price movements of BWP Trust (ASX:BWP), SSR Mining (ASX:SSR), Pinnacle Investment Management Group (ASX:PNI), and Genworth Mortgage Insurance Australia (ASX:GMA). Those companies will be reporting their earnings results today.

Trading Ideas:

• Bell Potter maintain a Buy rating on United Malt Group (ASX:UMG), after the company downgraded its FY22 guidance. Estimated EBITDA guidance has been downgraded from $115-140 million to $100-108 million, and the main drivers of this are in the processing division, with continued margin pressure from higher barley prices and continued delays in customer shipments. Bell Potter say the export data demonstrated a recovery in malt trade flows from the largest producing regions and a general bottoming in implied malt-barley premiums, and that they view these as precursors to a recovery in earnings. The broker has also relooked at their

The Aussie share market started the new trading week with a gain of 0.7%, supported by gains in utility, energy, and healthcare stocks. While three sectors posted losses: tech, consumer discretionary and real estate.  

Looking at the ASX200 leaderboard, the top performer was Allkem (ASX:AKE) up 4.5%, despite any news out from the company. It seems the gain could be attributed to the longer-term uptick spurred by the company’s recent record quarterly revenue report. Agricultural business Elders (ASX:ELD) was also up after Goldman Sachs indicated that the company was a strong buy, with a price target of $21, which at its current share price of $11.75, implies about 80% share price growth in a year. Meanwhile, the biggest decliner was United Malt Group (ASX:UMG), which fell a massive 17.2% after the company cut its guidance for the second time this year.  

The most traded stocks by Bell Direct clients yesterday included ANZ (ASX:ANZ), Lake Resources (ASX:LKE) and the Magellan Infrastructure Fund (ASX:MICH). 

Moving to the US, equities fell, as investors question whether the recent rally has further to run. All three of the major indexes snapped their three-day winning streaks. The Dow Jones was down close to 50 points, the S&P500 dropped 0.3% and the Nasdaq was down about 0.2%. 

What to watch today:

• In line with the negative session in the US and in Europe, the ASX200 is expected to fall 0.3% at the open if you go by the SPI futures.
• In economic news, the RBA will announce its next cash rate decision this afternoon. The central bank is tipped to lift the official cash rate by 50 basis points to 1.85%, and this would mark the third consecutive increase of this magnitude, which has never happened in Australia. Despite last week’s headline inflation coming in less than expected, the door still remains open for a larger-than-expected rate hike as the country’s core inflation reading actually came in higher than the market expected, and this is used as the basis for RBA monetary policy.
• Reporting wise, it’s a light week of results. Today, debt collector, Credit Corp Group (ASX:CCP) and Centuria Office REIT (ASX:COF) will announce their earnings results. And Virgin Money UK (ASX:VUK) will be releasing its Q3 trading update. 
• In commodities: 
  • The gold price nearly hit a one-month high off the back of a weaker US dollar. The gold price is currently trading at around US$1,771 an ounce.
  • Oil prices dropped significantly, after weak manufacturing data from China and Europe weighed on the demand outlook. Investors are also bracing for this week’s OPEC meeting on supply. The WTI crude oil price trades at US$94 a barrel.
  • The spot iron ore price trades slightly down, at US$117 a tonne.

Trading Ideas:

• Bell Potter have maintained its Buy rating on Janus Henderson (ASX:JHG) with a price target of $43.50 (that’s 4.4% lower than its previous price target of A$45.50). JHG reported worse than expected Q2 results. Bell Potter forecasted assets under management (or AUM) of US$319b, however JHG reported AUM of US$299b, well below Bell Potter’s expectations. Despite the miss, Bell Potter believes JHG is still worth considering given markets should start to recover, JHG has a new direction with its newly appointed CEO and the business is still the prospect of merger and acquisition. At its current share price of $36.78, this implies about 18% share price growth in a year.   
• Trading Central has a bullish signal on AMP (ASX:AMP) indicating that the stock price may rise from the close of $1.10 to the range of $1.15 - $1.17 in the next 28 days according to standard principals of technical analysis.