The market is down 2. SFE futures were down 3 this morning.
US market closed for the Martin Luther King Jnr public holiday.
European markets up — UK FTSE up 0.43%, German DAX up 0.61%, France up 0.57%, Spain 0.72%, Italy up 0.44%. The Stoxx Europe 600 index up 0.3% with Utilities (+1.1%), Basic Materials (+1.0%), Technology (+0.5%), Industrials (+0.5%) and Telecoms (+0.5%) sectors.
Metals mixed — Copper down 0.11%, Nickel down 0.87%, Aluminium down 0.12%, Lead up 0.11%. Spot iron ore up 80c to $145.90.
- NAB — Santander denial — Down 0.6% after being up 1.9% yesterday as Spanish bank Santander denies speculation that they are interested in buying NAB’s British banking assets. A spokesman for Santander has downplayed the report and said Santander was not in talks with NAB and instead was focused on organic growth for their British operations.
- Talk of a Westpac Hybrid issue on Australia Day and NAB also expected to issue something.
- Australian Pharmaceutical (API) — AGM today.
- Goldman Sachs has a SELL recommendation on Western Areas (WSA) after production numbers yesterday and a 251c target price which is 43% below the current share price. Their valuation and target price is low mainly thanks to their nickel price forecast.
- Mount Gibson (MGX) — 4th Quarter production — Shipments up 52% on quarter at 2.7 million tonnes. MGX says they are on track to meeting their FY13 guidance of 8-8.5m tonnes. MGX is up 4.27% to 85.5c.
- Mirabela Nickel (MBN) — 4th Quarter production — In the year to December production was 19,253 dry metric tonnes of nickel in concentrate which the group said was within guidance. Mirabela is expecting to achieve a production goal of between 22,000 to 24,000 of nickel in concentrate for the year ahead. Patersons retains their Hold recommendation with a 52c price target. MBN is down 2.73% to 53.5c.
- Macmahon Holdings (MAH) — Has been awarded their largest single mining contract; a $1.8 billion, five year contract to deliver open cut mining services as part of the Christmas Creek Mine expansion for Fortescue Metals Group (FMG). This brings MAH’s mining order book to $3.6 billion. MAH is up 8.82% to 27.75c.
- Orocobre (ORE) — Investor update — The Olaroz project is on budget and on schedule becoming cash flow positive over the next 18 months with commercial production in Q2 2014. Patersons upgrades to a BUY recommendation with a 240c price target. ORE is down 1.35% to 146c.
- Downer EDI (DOW) — Wins new rail infrastructure work in NSW worth $90 million.
- Share buybacks — QAN, CGF, GPG, NWS.
- All eyes on the Bank of Japan Policy Meeting with an announcement due today — With the new PM there is talk of a joint BoJ and Government stimulus announcement worth 10 trillion Yen and a 2% inflation target set.
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