Market Update & Important Indicators
Stocks pushed higher, as better-than-expected earnings from Citigroup Inc. helped major benchmarks recover from last week's falls. The Dow Jones Industrial Average climbed 112 points, or 0.7%, to 17055. The blue-chip index forged a record in intraday trading though fell short of closing at a record high. The S&P 500 index tacked on 10 points, or 0.5%, to 1,977. The Nasdaq Composite Index added 25 points, or 0.6%, to 4,440.
Shares in Portuguese lender Banco Esprito Santo continued to tumble Monday after the firm's troubled parent trimmed its stake in the bank. But there was little spillover into wider European markets, with investors growing increasingly confident that the problems at the bank won't reignite the region's sovereign debt crisis. The Stoxx Europe 600 index closed 0.9% higher, clawing back part of last week's losses. The FTSE 100 index added 0.8% to 6,746, France's CAC 40 index gained 0.8% to 4,350, and Germany's DAX 30 index rallied 1.2% to 9,783, a day after the country won the World Cup title in soccer against Argentina.
The Nikkei Share Average rose 0.9% to 15,297, breaking a five-session losing streak that saw the index decline every day last week. Elsewhere in Asia, stocks edged higher as the region awaited a flurry of economic data due this week. Regional sentiment was also supported by gains on Wall Street on Friday. In particular focus was Chinese growth data, due Wednesday, which will provide an update on the health of Asia's largest economy. The country's gross domestic product likely grew 7.4% in the second quarter, a result that would put it in line with the first quarter's expansion. In China, Hong Kong's Hang Seng Index rose by 0.5% to 23,347 and the Shanghai Composite was 1% higher at 2,067. South Korea's Kospi rose 0.3% to 1,994.
Gold dropped sharply overnight, losing 2.4% to $1,307/oz. Base metals were mixed on the LME, with copper and nickel declining, and lead, tin and zinc gaining. WTI crude was little changed at $100.91/bbl.
In This Issue
Sirius Resources (SIR)
Sirius Resources (SIR) released a DFS on the Nova/Bollinger project largely confirming outcomes of the PFS. Capex and opex were in line at $473m and $1.66/lb (100% payabiity) respectively (PFS $471m and $1.75/lb). The development timeline is outlined with first construction in Q1 CY15, first ore in Q2 CY16, plant ramp-up commencing Q3 CY16 and first sales in Q1 CY17. This path is subject to achieving required approvals, predicated by a Native Title agreement with the Ngadju people (traditional owners).
Argonaut’s Stock Coverage & Recommendations
Recent Contacts & Presentations
Red 5 (RED), Northern Star (NST), Doray (DRM), Saracen (SAR), Troy (TRY), Drake (DRK), Nido Petroleum (NDO), Azonto Petroleum (APY), Sun Resources (SUR), Empired (EPD), Matrix (MCE), Austal (ASB), SCEE (SXE), Austin Engineering (ANG), Fleetwood (FWD), Gage Roads (GRB), Apollo Minerals (AON), Rampart Energy (RTD), OBJ Limited (OBJ)
Upcoming Conferences & Roadshows
Australian Uranium Conference 16 -17 July 2014
Diggers and Dealers 4 – 6 August 2014