ASX Market Close: Biggest nosedive in more than four years – Index down 3.7% | August 5, 2024

It’s been a day the market dived…and The ASX200 closed down 3.7% to 7,649 points marking the worst two consecutive sessions in two years.

IT stumbled more than 6 .5 per cent and financials and Real Estate both nearly 5 per cent. This came as Australia’s largest mining event Diggers & Dealers got underway here in Kalgoorlie – and even the host of company announcements timed to align with this –  weren’t enough to stop the bloodshed.

No doubt eyes will be on Wall Street tonight, which is no doubt the key driver, but of course there’s an interest rates decision here tomorrow where the consensus remains that the RBA will keep rates on hold.

In the Green

To company news, Horizon Minerals (ASX:HRZ) shot up nearly 18% today as investors made a move to that good old safehaven gold – and it’s a company focussed on work here in the Kalgoorlie and Coolgardie region.

It posted a presentation for Diggers & Dealers to the ASX, ahead of MD and CEO Grant Haywood’s speaker slot scheduled for late tomorrow afternoon.

Horizon Minerals closed at 4.5 cents.

And it would seem Diggers & Dealers may be making quite an impact, as Focus Minerals (ASX:FML) also closed up 12.5% without market news. It’s a gold company that also has operations within the WA Goldfields.

Last quarter, the company sold more than 6,600 ounces of gold at above $3,540 an ounce.

Focus Minerals closed at 13.5c.

And, Buru Energy (ASX:BRU) closed up nearly 9.5% after entering into a Farm-in Agreement (FIA) with Sabre Energy (Sabre) for the drilling of an oil target in Western Australia’s onshore Canning Basin.

Sabre will carry Buru for A$6 million of the costs for drilling and testing of the Rafael shallow well to earn a 50% interest in a discovery and Production Licence.

BRU finished the day at 9.3 cents

In the Red

Woodside Energy (ASX:WDS) closed down more than 3.5% after the WA environmental regulator said the company’s Browse gas project poses “unacceptable” risks to the surrounding environment.

The ruling – focussed on the risk to marine species – could yet be overturned. It came as the company announced a binding agreement to acquire OCI Clean Ammonia Holding in Texas for $2.3 billion.

Woodside closed at $26.59

Wildcat Resources (ASX:WC8) has been sold off more than 12% on the back of lithium grades.

The best result from the Leia project released today was 67 metres at 1.9% lithium oxide, but from nearly 340 metres deep, where it recorded 46 metres at 2.5% lithium.

Wildcat Resources closed at 21.5 cents.

And Lynas Rare Earths (ASX:LYC) closed down more than 3.2%.

Lynas was mentioned in former Labor leader Kim Beazley’s keynote speech here in Kalgoorlie this morning where he claimed Lynas was, and I quote “kept going by the Japanese”.

The company’s resource update didn’t stop the fall. It posted a 92% increase in Mineral Resource and a 63% increase in Mt Weld Ore Reserves, with a significant increase in Heavy Rare Earth mineralisation.

Lynas Rare Earths closed at $5.91.

Well that’s day one from our team at Diggers and Dealers in Kalgoorlie, you can see our news and interviews on HotCopper and The Market Online.

It’s interest rates day tomorrow… we’ll cover that news as soon as it happens.