Daily Market Reports | Mar 25 2025
This story features MERIDIAN ENERGY LIMITED, and other companies. For more info SHARE ANALYSIS: MEZ
US markets rallied strongly on media reports of a more nuanced tariff approach from the US Administration with tech stocks leading. Ahead of the Federal Budget, ASX futures are indicating a positive start.
| World Overnight | |||
| SPI Overnight | 8020.00 | + 36.00 | 0.45% |
| S&P ASX 200 | 7936.90 | + 5.70 | 0.07% |
| S&P500 | 5767.57 | + 100.01 | 1.76% |
| Nasdaq Comp | 18188.59 | + 404.54 | 2.27% |
| DJIA | 42583.32 | + 597.97 | 1.42% |
| S&P500 VIX | 17.48 | – 1.80 | – 9.34% |
| US 10-year yield | 4.33 | + 0.08 | 1.86% |
| USD Index | 103.97 | + 0.51 | 0.50% |
| FTSE100 | 8638.01 | – 8.78 | – 0.10% |
| DAX30 | 22852.66 | – 39.02 | – 0.17% |
Good Morning,
The risk on tone into quarter end continued as tariff uncertainty eased (somewhat) and US Services PMI surprised to the upside.
Time to rally
US markets embraced the Trump Administration’s more targeted approach to impending tariffs, which are set to come into effect on April 2. Media reports suggest reciprocal tariffs would concentrate on around 15% of nations with enduring trade imbalances with the US. Sector-specific tariffs are not expected to be announced on the same day, but they may come as soon as this week.
The March S&P Global US Services PMI increased to 54.3 from 51.0 in February, but was overshadowed by a contraction in the March S&P Global US Manufacturing PMI, which fell to 49.8 from 52.7 in February.
Eurozone Services PMI disappointed at 50.4 vs. 50.7 expected and 50.6 prior. Is US exceptionalism holding in for a bit longer?
The S&P500 climbed 1.8%, closing at a two-week high above its 200-day moving average (5,752), while the Dow Jones Industrial Average added 1.4%, and the Nasdaq Composite advanced 2.3%.
Technology stocks led the rally, especially names that sold off to start 2025. Tesla shares rose 11.9%, and Nvidia was up 3.2%. The Nasdaq index remains down -5.8% year-to-date.
In the bond market, U.S. Treasury yields climbed on an increased risk appetite among investors. The 10-yr yield was up eight basis points to 4.33%.
Copper prices rose amid a risk-on tone across markets. With more targeted tariffs, this could result in less economic damage than previously anticipated and thus impact more positively on copper prices.
Other commodities were also impacted by the changed stance on tariffs. Brent Crude rose 1.3% to US$73.10, and the gold price eased slightly.
Australian Federal Budget, extract from NAB Markets Today
“The budget will be handed down at 7:30pm. While a pre-election budget, we don’t expect any large new policy announcements and would be surprised if the shift to the fiscal impulse will be large enough to shift macro forecasts.
“An extension of electricity rebates is likely which would further push out payback in the CPI beyond Q3 2025 and lead to a downward revision to the RBA’s headline inflation track, which is conditioned on current policy. We don’t see that influence on headline inflation as important for the RBA outlook.”
Corporate news in Australia
-Meridian Energy ((MEZ)) is starting construction on a $227m, 139MW solar farm in August.
-Sovereign Metals ((SVM)) is raising $40m to fund the development of its Kasiya rutile-graphite project in Malawi, with the assistance of Rio Tinto ((RIO)).
-Helia Group ((HLI)) announced its lenders mortgage insurance agreement with CommBank ((CBA)) is at risk.
-BYD has exceeded Tesla in revenue at US$107bn, driven by technology advances and rapid charging.
On the calendar today:
-AU Federal Govt Budget
-US Feb Building Permits
-ADRAD HOLDINGS LIMITED ((AHL)) ex-div 1.40c (100%)
-CASH CONVERTERS INTERNATIONAL LIMITED ((CCV)) ex-div 1c (100%)
-CIVMEC LIMITED ((CVL)) ex-div 2.50c (100%)
-MADER GROUP LIMITED ((MAD)) ex-div 4c (100%)
-PREDICTIVE DISCOVERY LIMITED ((PDI)) earnings report
-STEADFAST GROUP LIMITED ((SDF)) investor briefing
-SOUTHERN CROSS ELECTRICAL ENGINEERING LIMITED ((SXE)) ex-div 2.5c (100%)
-SYRAH RESOURCES LIMITED ((SYR)) AGM
-WEEBIT NANO LIMITED ((WBT)) investor briefing
FNArena’s four-weekly calendar: https://fnarena.com/index.php/financial-news/calendar/
| Spot Metals,Minerals & Energy Futures | |||
| Gold (oz) | 3041.14 | – 12.06 | – 0.39% |
| Silver (oz) | 33.49 | – 0.62 | – 1.80% |
| Copper (lb) | 5.09 | – 0.02 | – 0.41% |
| Aluminium (lb) | 1.18 | – 0.02 | – 1.60% |
| Nickel (lb) | 7.16 | – 0.19 | – 2.63% |
| Zinc (lb) | 1.33 | + 0.01 | 0.50% |
| West Texas Crude | 69.21 | + 0.93 | 1.36% |
| Brent Crude | 72.43 | + 0.24 | 0.33% |
| Iron Ore (t) | 102.21 | + 0.21 | 0.21% |
The Australian share market over the past thirty days
| Index | 24 Mar 2025 | Week To Date | Month To Date (Mar) | Quarter To Date (Jan-Mar) | Year To Date (2025) |
|---|---|---|---|---|---|
| S&P ASX 200 (ex-div) | 7936.90 | 0.07% | -2.88% | -2.72% | -2.72% |
| BROKER RECOMMENDATION CHANGES PAST THREE TRADING DAYS | |||
| CDA | Codan | Upgrade to Outperform from Neutral | Macquarie |
| CGF | Challenger | Upgrade to Buy from Hold | Ord Minnett |
| CWY | Cleanaway Waste Management | Upgrade to Add from Hold | Morgans |
| FMG | Fortescue | Upgrade to Neutral from Sell | UBS |
| JDO | Judo Capital | Upgrade to Add from Hold | Morgans |
| NAB | National Australia Bank | Downgrade to Equal-weight from Overweight | Morgan Stanley |
| PMV | Premier Investments | Downgrade to Accumulate from Buy | Ord Minnett |
| S32 | South32 | Downgrade to Neutral from Buy | UBS |
| WJL | Webjet Group | Downgrade to Hold from Add | Morgans |
For more detail go to FNArena’s Australian Broker Call Report, which is updated each morning, Mon-Fri.
All overnight and intraday prices, average prices, currency conversions and charts for stock indices, currencies, commodities, bonds, VIX and more available on the FNArena website. Click here. (Subscribers can access prices on the website.)
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CHARTS
For more info SHARE ANALYSIS: AHL - ADRAD HOLDINGS LIMITED
For more info SHARE ANALYSIS: CBA - COMMONWEALTH BANK OF AUSTRALIA
For more info SHARE ANALYSIS: CCV - CASH CONVERTERS INTERNATIONAL LIMITED
For more info SHARE ANALYSIS: CVL - CIVMEC LIMITED
For more info SHARE ANALYSIS: HLI - HELIA GROUP LIMITED
For more info SHARE ANALYSIS: MAD - MADER GROUP LIMITED
For more info SHARE ANALYSIS: MEZ - MERIDIAN ENERGY LIMITED
For more info SHARE ANALYSIS: PDI - PREDICTIVE DISCOVERY LIMITED
For more info SHARE ANALYSIS: RIO - RIO TINTO LIMITED
For more info SHARE ANALYSIS: SDF - STEADFAST GROUP LIMITED
For more info SHARE ANALYSIS: SVM - SOVEREIGN METALS LIMITED
For more info SHARE ANALYSIS: SXE - SOUTHERN CROSS ELECTRICAL ENGINEERING LIMITED
For more info SHARE ANALYSIS: SYR - SYRAH RESOURCES LIMITED
For more info SHARE ANALYSIS: WBT - WEEBIT NANO LIMITED