Between the Bells

Morning Bell 29 September


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The US 10-year bond yield continued to climb overnight, hitting 1.5%, its highest level since June. As a result, an interest rate sell off was reignited. 

The Aussie share market is set to open lower, with the futures suggesting a fall of 1.1%. 

What to watch today: 

  • Keep an eye on retail stocks, after data released yesterday saw retail sales in August fell 1.7%. In addition, the Federal Government announced it will stop the $750 per week payments, once the country reaches 80% double dose vaccinations. 
  • Also keep a look out for long-term potential buying opportunities in clean energy and lithium stocks, as the NSW Government has committed to reducing emissions by 50% by 2030. 
  • The oil price fell 0.2% overnight to US$75.29, nearing October 2018 levels, amid restricted supply. Meanwhile, the coal price rose to a brand new record high overnight, taking its monthly gain to 20%. This is again amid tighter supply as China cut back on coal production in a bid to be carbon neutral by 2060. 
  • There are over 40 listed stocks and ETFs going ex-dividend today, transferring dividend rights to shareholders, which often causes shares to fall amid profit taking. Companies going ex-dividend today include: TPG Telcom (ASX:TPG), Centuria Industrial REIT (ASX:CIP), and Charter Hall (ASX:CLW), as well as ETFs including the ASX200 ETF (ASX:STW) and fixed income ETFs Australian Bond (ASX:BOND) and Australian Government Bond (ASX:GOVT). 

Trading Ideas: 

  • Bell Potter have increased its price target on oil producer Beach Energy, (ASX:BPT) from $1.60 to $1.62, implying 19% share price growth in a year. Yesterday BPT upgraded its production by 13%, and Bell Potter believes the company has a strong, fully funded energy production growth outlook, while production growth is diversified across five energy basins and four separate gas markets, including global LNG trade. 
  • Bullish charting signals have been seen in Aeris Resources (ASX:AIS), Gale Pacific (ASX:GAP), and Ambertech (ASX:AMO), according to Trading Central
...more
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Between the BellsBy Bell Direct


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