ASX firmly posts fourth consecutive day of gains: Aus shares close 0.9% higher

The Australian share market has closed higher in Tuesday trading, extending momentum from the previous session on the back of gains in energy, mining and utility stocks.

Solid gains in the energy and materials sectors, thanks to a rebound in commodities prices, helped offset weakness in financial, technology and consumer-related stocks.

At the closing bell, the benchmark S&P/ASX 200 index posted its fourth consecutive day of gains, rising 57.60 points or 0.9 per cent to 6763.6.

The broader All Ordinaries rose 59.8 points, or 0.87 per cent, to 6,953.4.

Company news

Sayona Mining (ASX:SYA) and Piedmont Lithium (ASX:PLL) formally approved their North American Lithium (NAL) operation, with a budget of approximately C$98 million. NAL is on track for resumption of spodumene concentrate production in first quarter 2023, becoming the first North American local supplier of lithium concentrates. SYA and PLL both closed the day up 25 per cent and 2.44 per cent respectively.

ASX-listed natural products player BWX (ASX:BWX) has announced a fully underwritten $23.2 million capital raise. The raise comprises a $13.5 million placement to sophisticated and professional investors and a $9.7 million “1 for 10” traditional non-renounceable entitlement offer. The placement of new fully paid ordinary shares is fully underwritten at 60 cents per share, representing a 48.7 per cent discount to the last closing price of $1.17 per BWX share on 23 June 2022. BWX shares closed down 40.6 per cent at $0.695.

Macquarie Group (ASX:MQG) is to raise $400 million in debt via the issue of capital notes to be listed on the ASX. The offer is to open on July 6 and will be available to retail and institutional investors. Macquarie has also slashed its dividend ratio to between 50 and 70 per cent of earnings and launched a $1.5 billion institutional share placement in November 2021 as it looks to secure cash. MQG shares closed up 0.58 per cent at $167.23.

Tasmanian salmon farming company Tassal (ASX:TGR) has rejected a third buyout proposal from Canadian aquaculture company Cooke, and is refusing to engage in talks, arguing the latest $4.85 a share offer still undervalues the company. Tassal’s board said the company has an “attractive independent future” where it will be better off going it alone. The latest Cooke bid values Tassal at $1.04 billion and is at a 22 per cent premium to Tassal’s close of $3.97 on Monday. TGR shares closed 16.12 per cent higher.

BlueBet (ASX:BBT) has signed a 10-year market access agreement with Caesars Entertainment to operate a new online sportsbook in Indiana under the ClutchBet B2C brand. BlueBet Chief Executive Officer, Bill Richmond, commented: “We are excited to announce our agreement with Caesars Entertainment, to secure market access in Indiana, one of the US’s major sporting markets. BlueBet now has market access in four US states, which provides a strong platform to roll out our B2C brand, ClutchBet, and demonstrate the capability of our technology and team to run profitable sportsbooks in the US.” Shares in BlueBet closed 12.77 per cent higher at $0.53.

Shares in Collins Foods (ASX:CKF) closed up 11.52 per cent to $9.97 on strong full-year results by the owner of KFC, Taco Bell and Sizzler chains in Australia, Asia and Europe. The group earlier today posted a 11.1 per cent increase in full-year revenue to $1.12bn with profit up 68.1 per cent to $54.8m.

American Rare Earths (ASX:ARR) today announced highly promising assay results from recent exploration drilling in the Halleck Creek Rare Earth project in Wyoming, USA. AAR shares closed 23.91 per cent higher at $0.285.

Bubs Australia (ASX:BUB) announced today that it has further expanded its US retail footprint with a new supplier agreement signed with Target for purchase of 30,000 Bubs infant formula tins to be distributed across an initial 280 stores. Target is a major player on the $4.7Bn U.S. infant formula category with over 1,934 stores across the US. BUB shares closed 3.1 per cent lower at $0.625.

Futures

The Dow Jones futures are pointing to a rise of 56 points.
The S&P 500 futures are pointing to a rise of 7 points.
The Nasdaq futures are pointing to a rise of 25 points.
The SPI futures are pointing to a rise of 56 points when the market next opens.

Best and worst performers

The best-performing sector was Energy, up 3.6 per cent. The worst-performing sector was Consumer Discretionary, down 1.3 per cent.

The best-performing stock in the S&P/ASX 200 was Collins Foods (ASX:CKF), closing 11.5 per cent higher at $9.97. It was followed by shares in Beach Energy (ASX:BPT) and New Hope Corporation (ASX:NHC).

The worst-performing stock in the S&P/ASX 200 was Imugene (ASX:IMU), closing 10.4 per cent lower at $0.21. It was followed by shares in PointsBet Holdings (ASX:PBH) and Zip Co (ASX:ZIP).

Asian markets

Japan’s Nikkei has gained 0.7 per cent.
Hong Kong’s Hang Seng has lost 0.1 per cent.
China’s Shanghai Composite has gained 0.4 per cent.

Commodities and the dollar

Gold is trading at US$1827.61 an ounce.
Iron ore is 4.0 per cent higher at US$119.60 a ton.
Iron ore futures are pointing to a rise of 4.3 per cent.
Light crude is trading $1.55 higher at US$111.12 a barrel.
One Australian dollar is buying 69.50 US cents.