On the Aussie COVID-19 vaccine front – Novavax’s COVID-19 vaccine candidates showed strong efficacy against the virus. This sparks good news for Australia’s vaccine strategy – as the federal Government has made the Novavax shot one of the key parts of its rollout and has 51 million doses placed on order.
Given, the news of the Novavax vaccine, as well as the reasonably positive start to Wall Street’s week, the Aussie share market looks set to lift 0.80% or 56 points higher to 7,368 points if you go by the futures.
US eco data out this week includes retail sales data for May, which is out today at 10:30pm AEST and on Thursday, the Fed will announce their interest rate decision.
What to watch today:
- In economic news, today the RBA releases its meeting minutes, and house price index data is out. On Thursday, the unemployment rate for May will be announced and RBA Governor Lowe will deliver a speech titled ‘From recovery to expansion’.
- The oil price held steady after hitting a 2-year high, while the gold price slipped as investors fear the US Fed may outline a path for scaling back its expansive monetary policy at its two-day meeting this week.
- The most traded stocks by Bell Direct clients last Friday were ANZ Bank (ASX:ANZ), Westpac (ASX:WBC) and Queensland Pacific Metals (ASX:QPM).
- Bell Potter have reiterated their BUY recommendation on Domino’s Pizza (ASX:DMP), with an increased price target of $132 (previously $122). Domino’s closed about 1% up last Friday to $115.30, which implies 14.4% share price growth.
- Bell Potter has also increased its price target on Portman’s and Peter Alexander owner Premier Investments (ASX:PMV) to $26.10 (previously $25). PMV expects its Earnings before Interest and Tax to range between $340 – $360 million, which is 5-11% ahead of Bell Potter’s estimate of $344 million. This positive expectation is off the back of a strong sales performance, strong online sales growth, and strong cost control. However, with its share price currently at $27.44, that implies a negative 4.9% share price growth, therefore Bell Potter have a HOLD rating on the stock.
- IOUpay (ASX:IOU), Lynas Rare Earths (ASX:LYC) and Cyprium Metals (ASX:CYM) are also giving off bullish charting signals according to Trading Central.