ASX Lunch Wrap: ASX jumps as banks, BHP and Trump spark investor optimism

ASX lifts with banks, BHP; Trump boosts markets, Liontown triples output and Northern Star is on track.

The ASX jumped on Tuesday morning. Picture via Getty Images

• ASX opens higher with banks and BHP leading

• Trump’s trade stance lifts market

• Liontown triples output, Northern Star on track

The ASX opened higher on Tuesday, with the S&P/ASX 200 index climbing 0.5% by around lunch time AEDT, with banks the standout performers.

The market was given a boost by a wave of relief after US President Donald Trump’s first day in office.

There were fears he'd hit the US’s key trading partners with tariffs right away, but instead, he opted to hold off and asked for a review of trade policies with China, Canada and Mexico.

“Trump is pretty mercurial and it all could change in a Twitter post, but for now, it’s filling investors with confidence that the worst of the trade war may not materialise,” said Kyle Rodda at Capital.com.

This lifted markets globally, with the Australian dollar also gaining, reaching US62.40 cents at the time of writing.

Wall Street was closed last night for Martin Luther King Jr. Day, but with a more 'risk-on' mood taking hold, investors are expected to pile back into stocks.

Oil prices, however, came under pressure after Trump vowed to boost domestic oil and gas production, saying "Drill, baby, drill" in his inauguration speech, while also promising to pull the US out of the Paris climate agreement.

Back home, this is how things looked on the ASX close to 1pm AEDT:

Source: Market Index

Source: Market Index

BHP (ASX:BHP) grabbed attention with its production numbers, posting a 10% increase in copper output, largely thanks to a record performance at its Escondida mine. While coal and nickel production slipped, the copper surge helped keep BHP on the front foot today.

Northern Star Resources (ASX:NST) kept things steady with its gold production. The company said it sold over 400,000 ounces of gold in the December quarter at an all-in-sustaining cost of $2,128 per ounce. It also said it was on track to hit annual targets.

Still in large caps, Liontown Resources' (ASX:LTR) production tripled in the December quarter as the company looks to “become an established world-class producer in the lithium sector”.

ASX SMALL CAP WINNERS

Here are the best performing ASX small cap stocks for January 21 :

Security	Description	Last	%	Volume	MktCap
88E	88 Energy Ltd	0.002	100%	3,198,468	$28,933,812
SFG	Seafarms Group Ltd	0.002	100%	287,959	$4,836,599
TTI	Traffic Technologies	0.005	67%	12,069,302	$3,461,200
OB1	Orbminco Limited	0.002	33%	264,773	$3,249,885
RLF	Rlfagtechltd	0.044	26%	607,880	$9,401,445
3DP	Pointerra Limited	0.093	26%	20,524,818	$59,575,683
ECT	Env Clean Tech Ltd.	0.003	25%	206,141	$6,343,621
VML	Vital Metals Limited	0.003	25%	403,186	$11,790,134
1CG	One Click Group Ltd	0.011	22%	1,457,702	$10,600,919
NVQ	Noviqtech Limited	0.100	22%	9,578,769	$18,881,917
AOK	Australian Oil.	0.003	20%	2,004,456	$2,504,457
ASP	Aspermont Limited	0.006	20%	203,272	$12,350,058
ASR	Asra Minerals Ltd	0.003	20%	11,636	$5,781,575
CUL	Cullen Resources	0.006	20%	83,334	$3,467,009
RAU	Resouro Strategic	0.190	19%	152,535	$6,930,182
AJL	AJ Lucas Group	0.007	17%	893,391	$8,254,378
AVE	Avecho Biotech Ltd	0.004	17%	31,529	$9,507,891
EPM	Eclipse Metals	0.007	17%	1,086,517	$13,727,133
IXR	Ionic Rare Earths	0.007	17%	1,570,134	$31,370,570
PXX	Polarx Limited	0.007	17%	1,869,885	$14,253,006

Traffic Technologies (ASX:TTI) has bagged a $3 million contract to supply smart, IoT-ready LED streetlights to the City of Sydney. The deal runs for five years, with an option to extend for up to nine, potentially bringing in $5 million. The lights will replace old ones and cover everything from roads to parks and laneways across Sydney’s CBD and surrounding suburbs.

ASX SMALL CAP LOSERS

Here are the worst performing ASX small cap stocks for January 21 :

Code	Name	Price	% Change	Volume	Market Cap
ENV	Enova Mining Limited	0.003	-40%	7,284,381	$4,924,647
1TT	Thrive Tribe Tech	0.003	-25%	206,721,206	$8,126,892
CRB	Carbine Resources	0.003	-25%	200,000	$2,206,951
CTN	Catalina Resources	0.003	-25%	100,000	$4,975,048
M2R	Miramar	0.003	-25%	339,544	$1,587,293
CVN	Carnarvon Energy Ltd	0.120	-23%	14,206,246	$277,308,467
MEL	Metgasco Ltd	0.004	-20%	500,000	$7,287,934
AUK	Aumake Limited	0.005	-17%	29,346	$18,064,153
ERA	Energy Resources	0.003	-17%	64,277	$1,216,188,722
TEM	Tempest Minerals	0.005	-17%	2,059,000	$3,807,179
CLG	Close Loop	0.200	-15%	2,495,200	$124,984,719
ADN	Andromeda Metals Ltd	0.006	-14%	1,397,512	$24,001,094
HGO	Hillgrove Res Ltd	0.048	-14%	14,886,057	$117,351,112
MHC	Manhattan Corp Ltd	0.024	-14%	59,557	$6,577,169
RGL	Riversgold	0.003	-14%	300,000	$5,892,994
CBY	Canterbury Resources	0.020	-13%	30,925	$4,541,141
8CO	8Common Limited	0.028	-13%	26,567	$7,171,037
BCB	Bowen Coal Limited	0.007	-13%	12,921,452	$86,204,221
SKK	Stakk Limited	0.007	-13%	149,500	$16,600,637
TYX	Tyranna Res Ltd	0.004	-13%	28,367	$13,151,701
W2V	Way2Vatltd	0.007	-13%	957,141	$7,461,324
WOA	Wide Open Agricultur	0.007	-13%	2,141,450	$4,269,493

Novonix's (ASX:NVX) CEO Chris Burns announced he will step down this week after four years at the helm. The company, which focuses on battery materials, is entering a key growth phase and will now be searching for a new leader to steer it through the next stage.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

Originally published as ASX Lunch Wrap: ASX jumps as banks, BHP and Trump spark investor optimism