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10 September 2019 06:50 AM
Overseas Market ReportCurrent
PreviousChangeDaily %
Monthly %
Dow Jones Industrial Average26,83626,79738.000.142.08
S&P 5002,9782,9790.00-0.012.05
FTSE 100 Index7,2367,282-47.00-0.64-0.25
DAX 3012,226034.000.284.55
CAC 40 Index5,5895,604-15.00-0.274.90
Nikkei 225 (Japan)21,31821,200119.000.563.06
SSE Composite Index3,0253,00025.000.849.01
S&P/TSX Composite Index16,49516,535-40.00-0.240.94
NZ 5011,18611,203-17.00-0.152.87
US Volatility (Vix)15
Overseas Market Report

US sharemarkets were mixed on Monday. Financials rose by 1.5% with banks up 3.15%. Technology lagged with shares in Microsoft down 1.1%. But shares in Apple rose 0.4% ahead of the launch of new products on Tuesday. The energy sector rose 1.8% in response to higher oil prices. The Dow Jones rose by 38 points or 0.1%. The S&P500 index fell by 0.3 points or less than 0.1% and the Nasdaq lost almost 16 points or 0.2%. 

Global oil prices rose by up to 2.4% on Monday. Reuters reported that "The new Saudi energy minister, Prince Abdulaziz bin Salman, confirmed expectations that he would stick with his country's policy of limiting crude output to support prices." Ahead, the OPEC+ deal's joint ministerial monitoring committee meets on Thursday in Abu Dhabi. The UAE energy minister said the OPEC and non-OPEC producers were "committed" to achieving oil market balance. Also data showed that China's crude oil imports rose by 3% in August. The Brent crude price rose by US$1.05 or 1.7% to US$62.59 a barrel. And the US Nymex price rose by US$1.33 or 2.4% to US$56.52 a barrel.

Base metal prices were mixed on the London Metals Exchange on Monday. Zinc, copper and tin fell up to 0.8% and other metals rose up to 2.0% with nickel up the most.

The gold futures price fell by US$4.40 or 0.3% to US$1,511.10 an ounce. The spot gold price was trading near US$1,499 an ounce in late US trade. Iron ore rose by US$3.85 or 4.4% to US$91.95 a tonne.

PreviousChangeDaily %
Monthly %
Oil Brent62.5961.541.051.716.94
Oil - West Texas crude58.1557.850.300.526.70
Gold Spot $/OZ1,499.001,499.00-0.10-0.010.45
Silver Spot $/OZ18.0018.000.00-0.225.95
Iron Ore92.7093.60-0.90-0.96-9.13
Thermal Coal Newcastle65.5066.20-0.70-1.06-3.39
APAC Hard Coking Coal FOB151.50155.00-3.50-2.26-3.50
Aluminium ($US/t)1,7741,7649.000.521.82
Copper Mar-18 ($US/lb)2.612.62-0.50-0.190.83
Lead ($US/t)2,1082,08623.001.101.33
Nickel ($US/t)18,10217,743359.002.0216.69
Zinc ($US/t)2,3142,333-20.00-0.853.98
Tin ($US/t)17,32917,417-88.00-0.512.24
Uranium ($US/lb)25.0025.000.00-0.20-0.59
Australian Market ReportCurrent
PreviousChangeDaily %
Monthly %
ASX All Ords6,7606,7537.000.111.45
S&P/ASX 2006,6486,6471.000.010.96
ASX 24 Futures6,632
Australian Market Report

Monday 9 September - close. The Australian share market has had a flat start to the trading week, as concerns about global growth balanced easing US-China trade tensions. The benchmark S&P/ASX200 index closed on Monday up 0.7 points to 6,648, while the broader All Ordinaries was up 7.4 points, or 0.11 per cent, to 6,760.1 points.

Ashanti Headlines

Cassini Resources Ltd (CZI.ASX, 8.1cps, m.cap A$33.7m with 415.5m SOI, Cash cA$8.1m, Base Metals Explorer)

  • Ashanti has published an update note on the back of the PFS update. We believe there is a strong case for share price appreciation in the coming 6 months:
  • The scope of the West Musgrave PFS has been widened to capture several opportunities, extending the delivery of the PFS to Q1 2020. This will provide the first economic update on the WMP since the Further Scoping Study released in November 2017. We expect (at a minimum) that the PFS will confirm a longer mine life with capital and operating costs relatively in line with the FSS, which will confirm the WMP’s attractive economics.
  • Nebo-Babel Maiden Reserve Estimate guided to be released alongside the PFS announcement.
  • A Commitment to the DFS seems the logical extension of work completed to date. OZ Minerals will have spent >$50M by the announcement of the PFS. We believe that a financial commitment to the DFS provides further endorsement that the WMP will be built in line with current forecasts (mid-2023).
  • Base Metals Price Improvements; the recent improvement in nickel pricing has surprised many, as has the decline in the copper price. As always, whilst these are out of Cassini’s control, any further improvement in commodity prices will create positive momentum for CZI’s share price. We believe that Cassini is a sleeper in a rising nickel market, particularly due to its large nickel sulphide resource.
  • Ben Pates is our analyst +61 8 6319 7801 or Please contact Ben should you wish to receive a copy of the report.

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