ASX 200 closes up; Nickel mine closure in WA; Crown to cut 1000 jobs; Star chair exits;

Share market rises on US futures gains. Crown Resorts job cuts. WA nickel mine closure. Lawyers claims Super Retail board knew of CEO affair. New Star chair says David Foster 'had to go'. 

The latest local economic data, including retail trade, and the US Federal Reserve policy meeting will dominate market attention this week. Picture: Gaye Gerard/NCA NewsWire

Welcome to the Trading Day blog for Monday, April 29. The ASX 200 closed up 0.8 per cent to 7637.40 points. A rally by big tech drove Wall Street higher.

The Aussie dollar is trading around US65.54c at 5pm AEST.

Updates

4:27 pm April 29, 2024

ASX 200 ends up 0.8pc after sharp fall

David Rogers

Australia's share market rose more than expected Monday as US futures gains added to positive leads from Wall Street at the start of a big week of events.

The S&P/ASX 200 finished up 0.8 per cent at 7637.4 after rising as high as 7646.6 as futures pointed to a further rebound in the US market.

All sectors rose with the property, tech and communications leading gains.

"We had huge value for a Monday at $6.3b, with instos doing a few blocks , 61 worth $529m," said Bell Potter's head of institutional sales and trading, Richard Coppleson.

"But after last week hotter CPI in Australia, the mkt is running confused."

Among the top points contributors CBA rose 0.8 per cent, Wesfarmers gained 1.2 per cent, CSL added 0.6 per cent, Goodman gained 1.2 per cent, ResMed rose 3.4 per cent, South32 and Pilbara Minerals jumped 4.2 per cent.

Pacific Smiles surged 15 per cent to $1.87 after accepting a $1.90 a share takeover offer from National Dental Care centres.

Namoi Cotton rose 5 per cent to $0.63 after an off-market takeover offer of $0.60 a share from Louis Dreyfus Company for the remaining 83 per cent.

ResMed was upgraded by Barrenjoey and Citi upgraded some of its industrial metals forecasts. BHP fell 0.4 per cent as Bloomberg said the miner is mulling a higher offer for Anglo American after it rejected BHP's $US39bn bid.

The local market fell 1.4 per cent on Friday after economic data stoked inflation jitters in the US and Australia and BHP fell almost 5 per cent.

Domestic retail trade data are due Tuesday while major global events include the outcome of the Fed meeting early Thursday and jobs data on Friday.

3:35 pm April 29, 2024

Ravensthorpe nickel mine to close

Nick Evans

Another WA nickel producer has called it quits, with First Quantum Minerals confirming on Monday it will wind down the processing plant at its Ravensthorpe nickel mine in the state’s South West.

Quantum ceased mining at Ravensthorpe in January as the nickel price fell below $US16,000 a tonne, but left part of its processing plant running using stockpiled ore to save costs.

Nickel has since staged a partial recovery, trading at just over $US19,000 a tonne last week, but First Quantum said the company was still unable to run Ravensthorpe at a profit.

“Despite Ravensthorpe’s best efforts to maintain operations by transitioning to a new operating strategy that involved ceasing mining activities, processing stockpiles and altering its approach to production, the site is incurring significant current and projected losses,” the company said.

About 330 jobs will go at First Quantum as it is placed in care and maintenance, plus another 200 contractors, with the company likely to retain only a small workforce to maintain the plant.

3:32 pm April 29, 2024

Yen volatility sparks intervention talk

David Rogers

A sharp retreat in USD/JPY from a 34-year high of JPY160.17 to an intraday low of JPY155.06 sparks talk of BoJ intervention but analysts say the volatility could be explained by a lack of liquicity amid a public holiday in Japan.

"We have not seen any media reports that confirm intervention," says CBA currency strategist Carol Kong.

"Today’s volatility may reflect the skittishness of markets amid thin liquidity."

The pullback in USD/JPY pushed AUD/USD up about 20 points to a three-week high of 65.87c where the 100-day moving average has capped the move.

3:15 pm April 29, 2024

ASX 200 extends rise to 0.9pc

David Rogers

Australia's share market is having a great day albeit on light volume.

The S&P/ASX 200 is up 0.9 per cent after hitting an intraday high of 7642.6.

All sectors are in the green now with property, communications, tech, health care outperforming and energy, materials and stables turning up.

Top points contributors include a 0.9 per cent rise in CBA, a 1.8 per cent jump in Goodman Group and a 1.2 per cent rise in Wesfarmers.

It comes as US futures continue to point to a further rebound.

S&P 500 futures are up 0.3 per cent after Friday's 1 per cent jump.

3:04 pm April 29, 2024 Highlight

Super Retail CEO relationship revealed

Eli Greenblat

Lawyers acting for employees at Super Retail Group claim they have proof that an undisclosed intimate relationship existed between chief executive Anthony Heraghty and the retailer’s chief of HR, Jane Kelly.

It follows claims last week of a secret relationship between Mr Heraghty and Ms Kelly as well as allegations of bullying, victimisation and excessive workloads, which saw Super Retail issued a statement to the ASX denying the allegations.

Harmers says that it acts for four Super Retail employees and that another has come forward with “key evidence” about the previously undisclosed personal relationship between Mr Heraghty and his former direct report, and SRG’s former head of HR Ms Kelly.

“For clarity, Super Retail as recently as this month denied the existence of any such relationship of any kind,’’ the law firm’s statement says.

“When Harmers pointed out that it had clear proof of an intimate relationship, and thus a significant unreported conflict of interest, Super Retail’s position immediately shifted.

“As of last Friday, Super Retail revealed to certain of its staff that a relationship does now exist between Mr Heraghty and Ms Kelly – but Super Retail now alleges only from January 2024. However, even from that date, such a relationship carried significant conflicts of interest.”

Ms Kelly no longer works at the company and is not one of the employees involved in the looming lawsuit.

2:49 pm April 29, 2024 Highlight

Star boss 'saved' us inquiry told

Glen Norris

Star Entertainment may not have survived if Robbie Cooke had been ousted from the chief executive role late last year.

Star director Deborah Page told the Bell II inquiry that while the NSW Independent Casino Commission had lost faith in Mr Cooke's reform efforts last December, she said it was not the time for the board to move against him at this stage.

She said Mr Cooke was in the midst of settling major litigation with Multiplex over delays at its Queen's Wharf project in Brisbane and his expertise was needed.

"The impact of parting ways with Mr Cooke at this point in time would have been so severe that we may not be sitting here today," said Ms Page.

"And I refer specifically to the Multiplex negotiations."

The Star settled a threatened legal battle with construction giant Multiplex last December over cost blowouts at its $3.6bn Queen’s Wharf project in Brisbane. Mr Cooke left the business in March.

1:48 pm April 29, 2024

Perpetual gains on KKR talks

Cliona O'Dowd

Perpetual shares rise after the group says it is in exclusive talks with Kohlberg Kravis Roberts & Co on the sale of its corporate trust and wealth management businesses.

ASX-listed Perpetual on Monday confirmed the talks were taking place, with a conclusion expected in the coming days.

Perpetual’s shares jumped as much as 4.5 per cent to a high of $24.35 on the news, and are now up 2.6 per cent at $23.90.

KKR’s move into pole position for the sought-after businesses comes after a competitive sale process that saw rivals TA Associates and EQT team up to compete against the global private equity giant.

But KKR emerged as the preferred bidder in the $1bn-plus contest earlier this month.

1:32 pm April 29, 2024

Namoi gains on new takeover offer

Megan Neil

Namoi Cotton shares are up 5 per cent to 63c after global agribusiness group Louis Dreyfus Company made a new takeover bid for the ASX-listed group, beating rival bidder Olam Group.

Louis Dreyfus Company Melbourne Holdings intends to make an off-market takeover offer for the 83 per cent of Namoi it does not already own, for a cash consideration of 60c per share.

An earlier scheme implementation agreement from LDC's parent company, Louis Dreyfus Company Asia, that offered 50c cash per share has been dropped.

Namoi's largest shareholder Samuel Terry Asset Management, which has a 23.3 per cent stake, said it considered the latest takeover bid to be superior to Olam Agri Holding's non-binding indicative offer.

Olam in March offered a total cash consideration of 59c per share under a scheme of arrangement, adding it was willing to consider a concurrent takeover offer for a total of 57c per share, both of which included a 1c dividend.

Namoi's independent directors intend to recommend shareholders accept the LDC offer, as does STAM.

"Namoi notes that the proposed takeover offer from LDC represents a premium to both the proposed Olam scheme and the proposed Olam takeover and accordingly does not intend to proceed with Olam on the basis of its NBIO (non-binding indicative offer)," Namoi said on Monday.

1:18 pm April 29, 2024

More Star staff sacked over false checks

Glen Norris

Star non-executive director Deborah Page has told the Bell II inquiry that a further three staff members have been terminated for falsifying welfare checks on gamblers.

That followed seven sackings earlier after an audit of the checks, which required customers to be approached and spoken to by casino staff if the gambling period exceeded three hours, found widespread falsification of records.

1:07 pm April 29, 2024

Tasmea up 11pc after listing

David Rogers

Tasmea shares are up 11 per cent at $1.73 a share versus their IPO price of $1.56 after rising as high as $1.88 following their listing on the ASX on Monday.

Tasmea provides outsourced specialist maintenance to fixed plant for essential industry asset owners in six growing industry sectors, including mining and resources; oil and gas; power and renewables; defence and infrastructure; telecommunications and retail; and, waste and water.

It owns and operates 18 inter-dependent leading Australian diversified specialist trade skill services businesses focussed on Essential Shutdown, Programmed Maintenance, Emergency Breakdown and Brownfield Upgrade Services.

Joint lead managers and underwriters Unified Capital Partners and Morgans raised $56m in the IPO.