The Week Ahead
Key market and corporate announcements
Monday
AGM: Pro Medicus Limited
Tuesday
Economic: S&P Global PMIs (Aus), RBA Governor Philip Lowe speech at annual CEDA dinner (Aus), US FOMC Minutes (US)
AGMs: BlueScope Steel Limited, Brickworks Limited, Fortescue Metals Group Ltd, Liontown Resources Limited, Monadelphous Group Limited, The Star Entertainment Group Limited
Wednesday
Economic: National Skills Commission Skilled Job Vacancies (Aus), RBNZ interest rate decision (NZ)
AGMs: Abacus Group Holdings, Austal Limited, Hills Limited, Integrated Research Limited, Mesoblast Limited, Netwealth Group Limited, Shopping Centres Australasia Property Group, WiseTech Global
Thursday
AGMs: Arena REIT, Evolution Mining Limited, Hansen Technologies Limited, Harvey Norman Holdings Limited, Karoon Energy Australia Ltd, Kogan.com Ltd, New Hope Corporation Limited, Nick Scali Limited, Qube Holdings Limited, Ramelius Resources Limited, Regis Resources Limited, Ridley Corporation Limited
Public holiday: Thanksgiving Day (US)
Friday
Economic: GDP Growth Rate Q3 (Singapore)
AGMs: Beston Global Food Company Limited, EML Payments Limited, Silver Lake Resources, Westgold Resources Limited
Graph of the Week:
The Australian Dollar has historically played the role of an economic ‘shock absorber’
The A$ has not bottomed. While the currency has already fallen around 15% against the US$ year to date, widening differentials between Australian and US interest rates are likely to remain a strong headwind for any sustained upside. In addition, a reset in expectations for a Chinese economic rebound are also likely to weigh on the commodity price outlook (iron ore prices have come back sharply) and reduce the A$ tailwind.
The Weekly Wrap
Some economic news from last week
- Australia's unemployment rate decreased to 3.4%, participation rate remained at 66.6% and employment increased to 13,623,700.
- Reuters reports that signs of weakness are emerging across the Chinese economy - exports have declined, new bank lending is down and inflation has slowed. This is despite authorities bucking the global trend so far this year by deploying monetary and fiscal easing.
- Regulators around the world opened investigations into ftx, after the crypto exchange and its sprawling network of affiliated firms filed for bankruptcy protection. Traders withdrew $6bn from the platform in just 72 hours amid claims that it had mishandled customers’ investments. ftx could owe money to as many as 1m people.
Some corporate highlights from last week
Education
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Partners Group has put its Australian childcare business Guardian Childcare and Education in next year’s M&A pipeline, with expectations brewing of a potential $1 billion exit (15 November 2022).
Energy & Resources
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Manganese hopeful Element 25 Ltd, pitched as a battery metals play, has raised $30 million at $1.12 a share in a deal via Petra Capital and Blackwood Capital (15 November 2022).
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Junior explorer WA1 Resources was fronting investors with a cash call of $7 million to $10 million via a single-tranche share placement (16 November 2022).
Financial Services
Healthcare
Infrastructure & Construction
Real estate
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Property investor Haben has secured a $270 million deal to buy Blackstone’s Forest Hill Chase shopping centre in Melbourne’s east, and has now turned to investors to fund it (16 November 2022).
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Link has sold a 4.3% stake in electronic property settlements business Pexa in a block trade worth about $105 million (18 November 2022).
Other news of interest