ASX Market Open: Australian market to trade lower as US stocks stage recovery from slump

The ASX200 is set to trade lower today with futures predicting a fall of 0.27% near 8.30am AEDT on Wednesday, as US markets began to recover from significant losses earlier in the week and European markets experienced a choppy night.

US equities bounced back on Tuesday following a three-day slump that had erased much of the market’s 2024 gains. The S&P 500 and the Nasdaq were both up 1%, and the Dow Jones increased by 293 points as investor fears of a recession appeared to soften. There was also some lift from Japanese stocks, which jumped up 10.2% – their best performance since October 2008. European stocks ended on a mixed note – as the STOXX 50 fell 0.1% and the STOXX 600 moved only 0.2% higher following a short-lived rebound in the morning trade, driven by persistent concerns about the economic outlook.

Yesterday, the Reserve Bank of Australia chose to leave the cash rate on hold at 4.35%, a highly anticipated move.

Over on the ASX, Adavale Resources Ltd (ASX:ADD) has secured an additional $82,000 following a previous placement which raised $550,000 to fund exploration activity at McDonnell and George Creek prospects and the Maree Embayment project in South Australia.

Meanwhile, medical technology company LBT Innovations Limited (ASX: LBT) has scored a contract worth up to A$4 million to deliver five APAS® Independence (Automated Plate Assessment System) instruments to AstraZeneca AB and to provide annual maintenance and support services over seven years.

The company – which specialises in AI-driven microbiology automation – has signed an agreement valued between USD 2.2 million to 2.7 million, equivalent to AU$3.4 million to AU$4.1 million.

And Horizon Minerals Ltd (ASX:HRZ) is set to commence mining at its Philips Find in Western Australia.

The company has finalised a Joint Venture agreement with BML Ventures Pty Limited to develop and mine two open pits at the gold project near Coolgardie, with first production planned for the December 2024 quarter.

In forex, the AUD is buying 65 US cents.

In commodities, brent crude is down 0.30% at $76.07 per barrel; gold is down 0.68% at $2,388 per ounce, iron ore is up 0.17% at $104.18 per tonne in Singapore and US natgas futures are up 4.03% at $2.02 per gigajoule – all those prices in USD.