Market Update & Important Indicators
U.S. stocks drifted lower Monday, pulling back from records as a decline in oil prices weighed on energy stocks, dragging S&P 500 energy stocks down 0.6%. The Dow dropped 24 points, or 0.1%, to 18,117. The dollar rose against the euro and edged higher against other currencies on Monday ahead of testimony Federal Reserve Chairwoman Janet Yellen will provide to Congress on the U.S. economy and interest rates. The euro slid 0.3% to $1.1347. The Wall Street Journal Dollar Index, which weighs the dollar against a basket of highly traded currencies rose 0.2% to 85.57, its highest level since 11 February.
European stocks marked a fresh seven-year high Monday, buoyed by an agreement reached Friday to extend Greece's bailout. Investors are now awaiting a list of reform proposals from Athens, which was a part of a pact struck late Friday to extend Greece's bailout for four months. The proposals are expected to be reviewed by the European Commission, the ECB and the IMF. The Stoxx Europe 600 rose 0.7% to 385, a fifth consecutive session of gains that also marked the index's highest close since November 2007.
Most Asian markets edged up Monday after Greece tentatively secured an extension for its bailout package, with Japan stocks hitting a fresh 15-year high. The Nikkei Stock Average ended up 0.7% at 18,467, helped by a relatively stable dollar ahead of U.S. Federal Reserve Chairwoman Janet Yellen's speech later in the week, which investors will parse for clues about the timing of an interest-rate increase in the U.S. Markets in mainland China and Taiwan remain closed for the Lunar New Year.
Copper closed 0.4% lower on the LME overnight, Brent crude dropped 2.0% to $59.01/bbl and gold lost 0.1% to $1,202/oz.
In This Issue
GR Engineering (GNG)
Stronger revenue and excellent cash flow in the half were key positives in the face of lower margins. A net cash position of $50.4m and an impressive dividend yield remain key attractions. So too does a decent order book and a team that has a strong reputation in the delivery of EPC projects.
Recent Contacts & Presentations
Northern Star (NST), Saracen (SAR), Doray (DRM), Resolute (RSG), Gold Road (GOR), Regis (RRL), Independence Group (IGO), Energia Minerals (EMX), OBJ Limited (OBJ), Gage Roads (GRB), Rewardle (RXH), Doray (DRM), Alexium (AJX), Orbital (OEC), IMF Bentham (IMF), Metals X (MLX), Pura Vida (PVD), Image Resources (IMA), Tangiers (TPT), ABM Resources (ABU), Centaurus (CTM), Imdex (IMD), Rox (RXL)
Please read Argonaut's Important Disclaimers & disclosures
Log in to the client area below to download the full Morning Note PDF