Between the Bells

Morning Bell 11 October


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The Aussie share market is set to open lower, with the futures suggesting a fall of 0.1%. 

 

What to watch today: 

  • Oil stocks were some of the best performers in the US and the same may occur on the ASX. The oil price rose to US$80 a barrel for the first time since 2014, as oil demand rebounds and supply remains low. The oil price has gained 60% this year and the market expects tight supply to remain for 6 months. 
  • The iron ore price rose 5.4% to US$123.30 in China. This helped BHP in New York rise over 1%. Expect iron ore stocks like BHP (ASX:BHP), Fortescue Metals (ASX:FMG), Rio Tinto (ASX:RIO) and Mineral Resources (ASX:MIN) to follow. 
  • Travel, tourism and food and beverage stocks are on watch ahead of NSW reopening its economy. Keep your eye on Australia’s biggest pub owner Charter Hall (ASX:CLW), as well as travel stocks that will likely see increased bookings. 
  • In economic news, employment data will be released on Thursday for September. 
  • Companies going ex-dividend today include Qualitas Real Estate Income Fund (ASX:QRI). RECHARGE FPO (ASX:REC) is due to list today. 

 

Trading Idea: 

  • Bell Potter reiterated its BUY rating on Mineral Resources (ASX:MIN), however slashed its price targe to $54.25 (previously $61.85), accounting for the drop in iron ore prices. 
  • Bullish charting signals have been seen in Vimy Resources (ASX:VMY), Westgold Resources (ASX:WGX) and Calix (ASX:CXL) according to Trading Central. 
...more
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Between the BellsBy Bell Direct


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