Markets at a glance 11 November

Leah Gibbons | nabtrade

Around the grounds

The Australian share market has started the week on the back foot, as gains in financials were countered by losses in commodities, while investors remained cautious ahead of local jobs data on Friday.

Breaking down the detail across the sectors, Australian listed miners are under pressure falling to an over one-month low. It comes amid a fall in the price of iron ore, as investors sit on the sidelines ahead of top buy China unveiling another round of fiscal stimulus.

Gold and energy plays are also lower, as both bullion and oil prices fall.

Elsewhere, concerns over what a Trump Presidency may mean for Australia continue to be in focus, with Federal Treasurer Jim Chalmers saying the country is not immune from repercussions of the President-elects trade policies if they trigger a trade war.

In the news

Let’s get a check in on some of the stocks to watch in today’s trade. Shares of Resolute Mining (ASX: RSG) have tumbled the most in 16 years as the company confirms CEO Terry Holohan and two other employees have been detained by the military controlled government of Mali. The gold miner said they were addressing claims and discussing business practices and working with the government on a resolution.

The stock is up over 11% year to date, including today’s move.

A similar story for shares of Endeavour Group (ASX: EDV), as the stock tumbles to a record low after reporting first quarter sales of AU$3.11 billion, flat on a year ago. Shares are down over 13% YTD.

Australian listed shares of Liontown Resources (ASX: LTR) have taken a hit as the company trims its production plans for the flagship Kathleen Valley lithium project and flagged cost cuts to adapt to low metal prices.

Elsewhere, Infomedia (ASX: IFM) has sunk after the software firm cut revenue guidance for FY-25 citing losses of existing customers of about AU$4 million in October, and delays in its dealer management system. The stock is down 3.5% YTD.

On the flip side, shares of Silk Logistics Holdings (ASX: SLH) have surged more than 42%, eyeing the best day ever, as the freight and logistics service provider sets to be acquired by private firm DP World Australia in an all-cash deal valued at AU$174.5 million. SLH shares are up over 12% YTD, including today’s move.

Going global

Rounding things out on the global stage, Japanese stocks are lower, dragged by falls in machinery and brokerage stocks as the initial euphoria over Donald Trump’s election victory begins to wane. Elsewhere, moves are minor with U.S. bond markets on holiday though stocks and futures are open, pointing to a positive start to the Wall Street session.

Finally, turning to the days currency plays. The big dollar has started the week with a cautious tone as markets brace for key U.S. inflation data and a deluge of commentary from Federal Reserve members.

The euro is under pressure amid uncertainty over President-elect Donald Trump’s proposals for tariffs on imports, which could hurt European exports and risk a global trade war.  The Australian dollar meantime has drifted higher after a sharp 1.4% drop last week, though upside is likely limited as negative China sentiment weighs.

The yen meantime is continuing to nurse a hangover from Beijing’s latest underwhelming stimulus package, while fresh data out of China over the weekend showed consumer prices rose at the slowest pace in four months and producer price deflation deepened. Looking ahead, reports on retail sales and industrial output due at the end of the week should give a clearer picture on whether Beijing’s various attempts at stimulus are having any meaningful impact on demand.

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