Golden ASX 200

A record gold price last month of AUD $2067.66 is underpinning improved earnings and burgeoning market caps for Australia’s ASX listed producers & The Australian today reported that 6 of the 14 ASX 200 stocks reaching one year highs were gold stocks.

Northern Star Resources and Evolution Mining made records today, along with Newcrest, Regis Resources, Independence Group and Resolute Mining.

In today’s trade the gold price eased slightly to AUD$2025.97

https://www.theaustralian.com.au/business/trading-day/rates-hopes-lift-wall-street-ahead-of-tech-earnings/news-story/3511602488380f2498e0aadcc13ec809?keyevent=1.50pm

Nickel surge a surprise

The nickel price has surged recently to a 12 month high and currently trades at AUD $20400 p/tonne. Luke Housego writing in the AFR (The Australian Financial Review) today reported that most traders were surprised and at a loss to explain the price upswing

A citi analyst commented “Nickel has rallied more than USD $2500 in in two weeks with little apparent change in fundamentals”. Other sources pointed to falling LME stockpiles as a possible explanation.

The 12 month chart shows Nickel has technical support around AUD $16800.

https://www.afr.com/markets/commodities/short-term-risks-in-rationale-free-nickel-price-surge-20190722-p529jp

Old King Coal

Australia’s Coal exports have risen to $66.8 billion for calendar 2018 according to the latest DFAT figures enabling it to surge ahead of Iron Ore to become Australia’s most valuable export commodity.

Coal exports are comprised of approximately 55% thermal coal and 45% metallurgical coal. Domestically about two thirds of Australia’s electricity is still generated from coal.

Political and community debate about export of thermal coal and its effects on climate change may continue but so it seems will rising demand from existing importers including Japan, China, Taiwan, Korea and Thailand.

Top Commodities

Welcome to Top Commodities – an information website focussed on Australia’s key commodities in terms of relevance or importance to Australia’s economy.

Site includes live price updates for the ASX 200 and S&P 500 along with regular updates for all commodities. Commodity fact sheets are available for additional insight into each commodity’s contribution to the Australian economy and comparative importance globally.