Morning Notes

07/08/2017 Argonaut Morning Note

Market Update & Important Indicators
The Dow Jones Industrial Average ended the week a fresh record, buoyed by a jobs report that showed employers continued hiring at a healthy rate in July. Corporate earnings that have shown broad strength across industries and a brighter global economic outlook have kept stocks climbing in the second half of the year. Gains in multinationals that reported strong quarterly results, including Apple and Boeing, helped lift the Dow industrials over 22000 for the first time Wednesday. The Dow Jones Industrial Average added 66.71 points, or 0.3%, to 22092.81-its eighth straight closing record. The blue-chip index added 1.2% on the week. Gains in shares of financial companies helped the S&P 500 eke out a gain. The S&P 500 rose 4.67 points, or 0.2%, to 2476.83 and finished up 0.2% from the previous Friday, led by a 1.8% weekly gain in its financial sector. The Nasdaq Composite added 11.22 points, or 0.2%, to 6351.56, but ended down 0.4% on the week. The U.S. gold price felon Friday night, closing down 0.7% to finish at 1,258.40 US$/oz.

European stocks rallied on Friday as a jump in bank shares helped the regional benchmark overcome losses in shares of Swiss Re and British home builders. The Stoxx Europe 600 index leaped 1% to end at 382.53, the biggest percentage rise since July 14, FactSet data showed. The benchmark finished at its highest level since July 26, with all sectors ending higher, led by consumer goods, industrial and telecom shares. The surge guided the Stoxx 600 to a weekly rise of 1.1%, marking its first win in three weeks. The U.S. Labor Department said the U.S. economy added 209,000 jobs in July, while wage growth met expectations with a 0.3% rate. The euro and the British pound, which had been gaining against the greenback this week, dropped after the report.

In Asian trading Friday, Japan's Nikkei closed down 0.4%, with energy and utility firms dragging down the index. The Shanghai Composite Index ended down 0.3% at 3262.08.

Allegations that Australia's largest bank failed in its money-laundering reporting obligations cast a heavy shadow over stocks there Friday. The S&P/ASX 200 logged a 3rd-straight decline in falling 0.3% to 5720.6, paring the week's advance to 0.3%. Commonwealth Bank skidded 3.9%, its worst day in 18 months, on the lawsuit filed by the country's financial-intelligence agency. CBA says it will file a statement of defense, although the case has reinvigorated opposition lawmakers' calls for an inquiry into the industry. Peers' stocks were little changed Friday, with NAB finishing up slightly on an upgrade.

The London Metal Exchange's three-month copper contract closed higher on Friday, finishing up 0.3% at $6,372/t. The other base metals were mixed. Nickel prices lost 1.2% to 10,210/t, whilst lead prices fell just 0.1% to 2,342/t. Tin prices also weakened, closing down 0.7% at 20,630/t. Aluminium prices shed 0.3% to 1,889/t, but bucking the trend zinc prices closed higher by 0.7% at 2,802/t.

Recent Contacts & Presentations
Rift Valley Resources Ltd (RVY), Panoramic Resources Ltd (PAN), Doray Minerals Ltd (DRM), Wellard Limited (WLD), Bryah Resources Ltd (BYH), Auris Minerals Ltd (AUR), Gage Roads Brewing Co Ltd (GRB), Stavely Minerals Ltd (SVY), Orbital Corporation Ltd (OEC), 4DS Memory Ltd (4DS), Kin Mining NL (KIN), Pharmaust Limited (PAA), Botanix Pharmaceuticals Ltd (BOT), Dimerix Ltd (DXB), Metro Mining Ltd (MMI), Paringa Resources Ltd (PNL), Independence Group NL (IGO), MZI Resources Ltd (MZI), Transerv Energy Ltd (TSV), Emmerson Resources Ltd (ERM), Antipa Minerals Ltd (AZY), Echo Resources Ltd (EAR), Sovereign Metals Ltd (SVM), Calidus Resources Ltd (CAI), Great Boulder Resources Ltd (GBR), Finders Resources Ltd (FND)

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