And its go time!
Merry Christmas & Happy New Year to you and your family.
Looking back at 2023, it was a year marked by investor worries about potential downside in the economy and the sharemarket that never quite materialised.
Whether it was grappling with sticky inflation, unexpected interest rate rises, or the looming threat of an economic downturn, the global economy and sharemarket were resilient, with the breadth of performance improving substantially in the final few months of the year.
Get ready for a robust upswing in the sharemarket!
Interest rate cuts, US election and The Federal Reserve’s dovish December pivot has boosted the case for the weakening dollar to keep falling into 2024. A weakening US dollar tends make exports more competitive abroad and boost the profits of multinationals by making it cheaper to convert their foreign profits into dollars.
Will we see a big move in commodities and further stimulus out of China?
We currently have the largest divergence between the larger DJI/Nasdaq relative to the small cap index.
Will profits from the top end of town flow back into the riskier small caps on the back of interest rate cuts?
Got no idea?
Have a listen to the below podcast from ‘Money of Mine’ who have interviewed 9 of the sharpest fund managers in the natural resources / mining investment world to bring you their insight into 2024.
4 simple questions:
- Highest conviction prediction
- Most Non-consensus prediction
- Best performing commodity
- Worst performing commodity
Once you have finished the podcast and you are feeling ready to take over the small cap world, just remember….
Warren Buffett once bet $1M that he could beat a group of fancy hedge funds over 10 years — and he crushed them with a technique requiring absolutely no investing skill.
Click here to read how he did it.
Let’s have a cracking 2024 and happy hunting!
Across Markets
Stronger-than-expected jobs data in the United States is casting doubt on how fast and how far the Federal Reserve will cut interest rates, and pouring cold water on hopes of rate relief from the Reserve Bank of Australia as early as June.
The local sharemarket is set to move within spitting distance of its record high ahead of the release of US and Australian monthly inflation data this week that will give central banks clues on whether they can contemplate easing.
US employers hired more workers than expected last month while raising wages at a solid clip, bolstering hopes that the central bank was poised to achieve a soft economic landing. But enduring strength in the jobs market has led bond traders to scale down the number of expected rate cuts in 2024 to five, from six, with the first one priced for May.
Futures traders on Friday imply a 74 per cent chance the Fed will start easing its funds rate in March – from 88 per cent earlier last week.
Source: AFR
- NCV Global Cannabis Stock Index drops by 16.5% in 2023 as part of downward trend in recent years
- As most ASX cannabis plays dropped in 2023, ECS Botanics saw its share stay in the green
- ECS says it’s the only ASX-listed cannabis cultivator operating profitably, operating a capital-light B2B model
2023 continued to be a challenging year for cannabis investors with the NCV Global Cannabis Stock Index dropping by 16.5%. This decline is part of a larger downward trend, with the index having plummeted over 91% since reaching its peak in early 2021.
However, NCV is optimistic the sector could make a comeback in 2024 and react very favourably to the potential rescheduling if 280E taxation on American cannabis producers and sellers is wiped out.
This week Stockhead caught up with ECS Botanics (ASX:ECS) MD Nan-Maree Schoerie to discuss the challenges she sees facing the Aussie sector.
Situated on the Murray River in Victoria, ECS Botanics operates a pharmaceutical grade GMP standards facility that harnesses its prime cannabis growing climate.
While much of the ASX cannabis stocks fell in 2023, ECS saw its share price rise stay in the green, modestly up ~7%.Furthermore, ECS says it’s the only ASX-listed cannabis cultivator operating profitably.
Source: Stockhead
Company: Alderan Resources (ASX:AL8)
Sector: Lithium
Deal Type: Placement
Raise Amount: $1.75M
Latest Entry Price: $0.006 with a 1:2 AL8OA
Today’s Price Change: $0.005 – Unchanged
Company: Terra Uranium (ASX:T92)
Sector: Uranium
Deal Type: IPO
Raise Amount: $7.5M
Latest Entry Price: $0.13 with 1:1 T92O
Today’s Price Change: $0.125 Unchanged
Company: Patagonia Lithium (ASX:PL3)
Sector: Lithium
Deal Type: IPO
Raise Amount: $8.6M
Latest Entry Price: $0.20
Today’s Price Change: $0.145 Unchanged
Company: Gold Mountain Limited (ASX:GMN)
Sector: Lithium
Deal Type: Placement
Raise Amount: $2.25M
Latest Entry Price: $0.0075
Today’s Price Change: $0.006 Unchanged
Company: Unith Ltd. (ASX:UNT)
Sector: AI/ChatGPT
Deal Type: Placement
Raise Amount: $4.5M
Latest Entry Price: $0.033 with a 1:1 UNTO
Today’s Price Change: $0.021 Unchanged
Company: Volt Resources Ltd. (ASX:VRC)
Sector: Battery Metals
Deal Type: Placement
Raise Amount: $5.75M
Latest Entry Price: $0.007 with 1:2 VRCOB
Today’s Price Change: $0.006 Unchanged
Company: Castle Minerals Ltd. (ASX:CDT)
Sector: Battery Metals/Base Metals
Deal Type: Placement
Raise Amount: $1.52M
Latest Entry Price: $0.01 with 1:2 CDTOA
Today’s Price Change: $0.009 Unchanged
Company: Avenira Ltd. (ASX:AEV)
Sector: Phosphate
Deal Type: Placement
Raise Amount: $2.1M
Latest Entry Price: $0.01 with a 1:2 AEVO
Today’s Price Change: $0.013 Unchanged
Company: Latrobe Magnesium Ltd. (ASX:LMG)
Sector: Magnesium
Deal Type: Placement
Raise Amount: $3M & $11.5M
Latest Entry Price: $0.04
Today’s Price Change: $0.061 Unchanged
Company: Askari Metals Ltd (ASX:AS2)
Sector: Mining
Deal Type: IPO
Raise Amount: $5.7M
Latest Entry Price: $0.35 with a 1:3 AS2O
Today’s Price Change: $0.175 Unchanged
Company: Excite Technology Services (ASX:EXT)
Sector: Cloud
Deal Type: Placement
Latest Entry Price: $0.005 with a 1:2 EXTOD
Today’s Price Change: $0.007 Unchanged
Company: Estrella Resources (ASX:ESR)
Sector: Mining
Deal Type: Placement
Raise Amount: $1.65M
Latest Entry Price: $0.006 with a 1:1 ESRO
Today’s Price Change: $0.005 Unchanged
Company: Paradigm Biopharma (ASX:PAR)
Sector: Biopharma
Deal Type: IPO Cornerstone
Raise Amount: $1M+
Latest Entry Price: $0.35
Today’s Price Change: $0.455 Unchanged
Company: Sabre Resources (ASX:SBR)
Sector: Energy
Deal Type: Placement
Raise Amount: $2.6M + $700k strategic
Latest Entry Price: $0.04 with a 1:1 SBROB
Today’s Price Change: $0.029 Unchanged
Company: Carly Holdings Ltd (ASX:CL8)
Sector: AI and Car subscription
Deal Type: Placement
Raise Amount: $1.25M
Latest Entry Price: $0.025 with a 1:2 CL8O
Today’s Price Change: $0.015 Unchanged
Company: Avecho Biotechnology (ASX:AVE)
Sector: CBD
Deal Type: Placement
Raise Amount: $5M
Latest Entry Price: $0.006 with a 3:2 AVEOA
Today’s Price Change: $0.003 Unchanged
Company: ECS Botanics Holdings Ltd (ASX:ECS)
Sector: Medicinal Cannabis
Deal Type: Placement
Raise Amount: $6.6M
Latest Entry Price: $0.033 with 1:2 ECSO
Today’s Price Change: $0.022 Unchanged
If you would like more information on future Peak deals, please don’t hesitate to get in touch.
Peak on 1300 304 460
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