AU Morning Wrap: ASX Bounces Off 12-month Lows; Inghams Jumps 10%

Moomoo News AU wrote a column · Oct 30, 2023 18:43

G'day, mooers! Check out the latest news on today's stock market!
• US stocks bounce back ahead of packed week of economic news
• Inghams jumps 10%; St Barbara tumbles
• Stocks to watch: Origin, Liontown, St Barbara
- Moomoo News AU

AU Morning Wrap: ASX Bounces Off 12-month Lows; Inghams Jumps 10%

Wall Street Summary

Stocks posted solid gains Monday ahead of this week's central-bank meetings, jobs data and a highly anticipated borrowing announcement from the Treasury Department.

Bouncing back from a difficult week when the S&P 500 and Nasdaq Composite entered into corrections -- or declines of 10% from their recent peaks -- all three major indexes gained more than 1%, powered in large part by a rebound in shares of large technology companies.

The $Dow Jones Industrial Average(.DJI.US)$ led the way, rising 1.6%, or 511 points. The $S&P 500 Index(.SPX.US)$ and $Nasdaq Composite Index(.IXIC.US)$ both advanced 1.2%.

AU Market Watch

The Australian sharemarket rose on Tuesday, tracking gains overnight on Wall Street. Wall Street was bolstered by a rebound in blue-chip tech stocks.

The benchmark $S&P/ASX 200(.XJO.AU)$ added 0.6 per cent or 39.8 points to 6812.7 at market open, buoyed by gains in 10 out of the 11 sectors.

Stocks to Watch

$Inghams Group Ltd(ING.AU)$: Poultry company Inghams surged 11 per cent and was the best performing stock on the ASX 200. It expects $247 million in statutory earnings before interest, tax and amortisation in the first half of 2024.

$Treasury Wine Estates Ltd(TWE.AU)$: Treasury Wine Estate is in a trading halt. The Penfold’s owner is buying high-end Californian wine group Daou Vineyards in a deal worth up to $US1 billion ($1.6 billion) as it steps up expansion in the United States luxury wine market.

$Origin Energy Ltd(ORG.AU)$: Origin Energy shares dropped 0.8 per cent after AustralianSuper rejected Brookfield and EIG's bid for Origin.

$Liontown Resources Ltd(LTR.AU)$: Liontown Resources added 1.8 per cent following a trading update that it said Kathleen Valley project is more than 50 per cent complete and that it expects first production in mid-2024.

The lithium play provided an updated estimate of the Kathleen Valley Project capital cost (including pre-production mining) to first production of $951 million.

$St Barbara Ltd(SBM.AU)$: Gold miner St Barbara tumbled over 5 per cent after it posted higher all in sustaining costs at both its mines in Papua New Guinea and Canada.

Its Simberi project in PNG booked AISC at $4548 an ounce, because of lower gold production and grade, and two plant shutdowns.

St Barbara's Atlantic project in Canada also recorded a higher AISC at $2994 an ounce for the quarter as a result of lower overall production.