While the market closed in the red on a down day for the ASX, it wasn’t as bad as futures had predicted after the bourse pared intraday losses.
All eyes will be on the US tonight. At 10:30 PM Sydney time, the US will release data on manufacturing orders, month-on-month Gross Domestic Product, and final quarterly GDP growth for the world’s largest economy. We’ll also see US jobless claims and quarterly real consumer spending figures.
If the data is better than expected, it may help shake ASX traders out of an inflation scare panic.
The Liberal National Party used a press conference to suggest that rising inflation is due to Federal Budget spending measures and a reckless Treasurer. However, as Wednesday’s data showed, it’s housing, electricity costs, and automotive fuel that remain key pressures on the Australian consumer.
Property prices are expected to jump further in 2024, while rents continue to surge upward, placing pressure on both sides of Australia’s ‘property divide.’
In the Green
Encounter Resources (ASX:ENR) reclaimed its number one spot among top gainers today after highlighting high-grade niobium intercepts earlier in the week.
Niobium has become of increasing interest to ASX traders recently, prompted by WA1 Resources’ journey from micro-cap to a miner with shares valued around $20.
Niobium is typically used as an alloy in aerospace but has other applications.
WA1 landed on the map by discovering Australia’s first mammoth resource of this critical mineral.
ENR is up 12.5%, closing the day at 63 cents.
Sheffield Resources (ASX:SFX) shot up 9.7% on increased production and shipments from the Kimberley Mineral Sands (KMS) owned Thunderbird Mineral Sands Mine in Western Australia.
In June 2024, 825,000 tonnes of ore were mined, and annual shipments are expected to reach 1.1 million tonnes.
SFX closed the day at 34 cents.
Ramelius Resources (ASX:RMS) is up 0.5% after acquiring a stake in WA gold explorer and developer Spartan Resources (ASX:SPR).
Ramelius bought up 98.5 million shares in Spartan, around 8.9% of the company’s shares.
The investment represents a strategic addition to Ramelius’ gold asset portfolio within the state, as Spartan looks to re-develop its Dalgaranga Gold Project.
RMS closed the day at $1.88.
In the Red
Immutep (ASX:IMM) was the day’s biggest faller in the last half-hour of trades as the market balked at what the company called “positive results” from a cancer trial.
Eligible patients clocked a 30% response rate to the company’s drug combination, implying that 70% of such a population would not show any response to the treatment.
IMM fell 22.5%, closing at 33.8 cents.
Deep Yellow (ASX:DYL) shares slid nearly 1.1% as the price of uranium hit its lowest point in 2024, just above US$83 per pound.
While producers Paladin (ASX:PDN) and Boss Energy (ASX:BOE) both posted gains despite a red Thursday, household name uranium miner Deep Yellow wasn’t able to stay afloat as traders sold off.
DYL closed at $1.32.
And, Tamboran Resources (ASX:TBN) fell 2.8% despite announcing it will list on the New York Stock Exchange at US$24 a share to fund the development of the Beetaloo Basin in the Northern Territory, which could potentially become Australia’s next major gas field.
The NT government has been very supportive of efforts to get the basin into production, given the significant flowbacks to the territory.
TBN closed the day at 17.5 cents.