BHP Group shares rallied 2.3 per cent, Fortescue Metals 3.7...

BHP Group shares rallied 2.3 per cent, Fortescue Metals 3.7 percent and Rio Tinto advanced 2.3 per cent.

Iron ore futures traded higher on the Singapore exchange in early morning trading, up 0.9 per cent to $US113.65 a tonne on the August contract.

Energy stocks also climbed, tracking a higher oil price. Woodside Energy shares added 1.1 per cent, Santos rose 0.7 per cent and Amolincreased 0.7 per cent.

Gold miner New crest edged up 0.7 per cent after reporting that its gold production increased by 9 per cent when compared to the previous period. All in sustaining costs were recorded at $1196 per ounce for the quarter, up 20 per cent from the prior period.

Lithium explorer Pilbara Minerals advanced 2 per cent even as it revealed that it was hit by a 33 per cent drop in spodumeneconcentrate prices in the June quarter.

Construction company Monadelphous shares jumped 4.3 per cent after it sealed a $200 million contract with lithium explorer Albemarle.

WHAT HAPPENED TO CXO?

CXO sentiment among investors has been weak, resulting in a bearish sloping 200-day moving average. More recently, the stock has fallen dramatically enough to register in the oversold region of the Stochastic Oscillator. This is positive in that it means the recent momentum is unsustainable and there could be a near-term rally. However, investors should proceed with caution as this stock is still considered to be in a downtrend.

CXO most recently reviewed on 02/06/2022 Morningstar™ Quantitative Undervalued Fair Value $1.09

three-star rating

Changed from Fairly Valued on 27/05/2022