Empire Metals shares were higher after the company said a recent survey suggests their Pitfield asset could hold copper deposits across a 40km long alteration footprint.

Empire Metals shares were 8% higher at the time of writing on Monday.

Dipole Induced Polarisation surveys found areas with strong copper anomalism in both soils and rocks. The study identified possible copper encounters at least 1,500m in length and up to 800m wide in close vicinity to Mt Scratch.

The Pitfield asset is located in Australia, 313km from Perth. The Pitfield update this morning adds to encouraging rock sampling results released last week.

“I am delighted to provide an update on our initial DD-IP survey activities, a reconnaissance mission focussing on areas that were previously under-explored by the major mining companies that have worked the area.  These highly encouraging results from the DD-IP surveys suggest the presence of large, disseminated sulphide mineralised zones, thus providing multiple drill targets and providing another leap forward in our plans to commence drilling activities at Pitfield,” said Shaun Bunn, Managing Director.

“Our immediate focus will be on drilling at the Mt Scratch Prospect, where we have identified a massive highly chargeable anomaly. It is important to note that the Mt Scratch Prospect on its own only represents 5% of the overall project area. The coincidence of multiple highly chargeable anomalies, extensive magnetite alteration and elevated copper in soils and rocks, extending over much of the 40km long N-S massive alteration zone, supports our view that Pitfield has the geological hallmarks of a “Giant” copper mineralised system and we intend to continue our soil sampling and DD-IP surveying activities over the coming months to identify additional drill targets.” 

The FTSE 100’s was higher in choppy trade after the release of Non-Farm Payrolls on Friday with the index once more flirting with all-time highs.

After a week punctuated by the views of central bankers, the US jobs report revealed a strong US economy that may lead to a rethink of monetary policy plans outlined earlier this week.

The US economy added a whopping 517,000 jobs in January, smashing estimates of 188,000.

US equity futures sank in the immediate reaction as investors amended their positioning after dovish comments from the Fed on Wednesday.

Such as strong gain in jobs would suggest the economy is taking higher interest rates in their stride, and may keep inflation higher for longer than predicted just two days ago. This would diminish the need to slow rate hikes.

The FTSE 100 retreated from highs of 7,860 to trade at 7,849, up 0.3% on the day, in the wake of the jobs number. Equity trade after the US jobs numbers is particularly volatile so expect the FTSE 100 to remain choppy for the rest of the session.

Although the jobs update will cause central bankers a headache, it does display strength in the world’s largest economy which will ultimately support company earnings. The major question will now be whether markets fixate on monetary policy, or look to economic growth, when positioning for the rest of 2023.

FTSE 100 retailers

Following the Bank of Englands upbeat revisions to UK inflation and growth forecasts yesterday, the FTSE 100’s retail companies were again among the top risers. Lower inflation rates and better economic growth will ease pressures on consumers and act as a tailwind for retail earnings.

The index was also supported by a weaker pound helping support the FTSE 100’s oversea’s earners.

“Also supporting the index was weakness in the pound as currency traders bet that we are close to the peak for UK interest rates after yesterday’s meeting in Threadneedle Street. The fact the Monetary Policy Committee was split on the decision to bump rates to 4% felt instructive,” said AJ Bell investment director Russ Mould.

GBP/USD fell further after the jobs number and provided support for names such as AstraZeneca, Reckitt Benckiser and Diageo.

Tekcapital shares jumped 22% to the highest level since September last year after shares in their portfolio company Innovative Eyewear surged in the US.

NASDAQ-listed Innovative Eyewear was over 200% higher at the time of writing on Thursday.

Tekcapital hold a 70% stake in Innovative Eyewear and today’s rise represents a gain in the value of TEK’s holding in the region of $14m.

Innovative Eyewear have developed a range of smart eyewear and partnered with major brands including Nautica, and more recently, Eddie Bauer.

“Few names are as renowned as Eddie Bauer in outdoor recreation,” said Harrison Gross, CEO of Innovative Eyewear, at the time the Eddie Bauer partnership was announced in December.

“Our Eddie Bauer smart eyewear collection, powered by Lucyd, will continue Eddie Bauer’s legacy of bold and beautiful craftsmanship, coupled with innovation, and will align perfectly with today’s adventurous lifestyles. We believe outdoor enthusiasts are looking for designer eyewear that both protects their vision and allows them to remain connected to their digital lives in an open-ear, handsfree format.”

Innovative Eyewear technology has the potential to save a great number of lives by reducing the distractions associated with handheld devices.

The FTSE 100 finished Thursday higher after the Bank of England raised rates by 50bps to 4% and signalled a milder UK recession than first thought.

The Bank of England also amended their inflation forecast to just 4% by the end of the year.

“The Bank is now projecting that inflation will fall to 4% by the end of the year, which will be music to the ears of the PM, who has promised a halving in the inflation rate – though the Bank might legitimately be a little peeved the government is trying to claim credit for their efforts,” said Laith Khalaf, head of investment analysis at AJ Bell.

“Inflation is now forecast to fall to 0.4% in 2026, which begs the question why the Bank is continuing to raise interest rates.”

The Bank of England was joined by the ECB in hiking 50bps on Thursday. However, the biggest story in town was the US Federal Reserve’s more conservative 25bps rate hike last night.

The slowing pace of US rate hikes and generally dovish comments from the Federal Reserve Chair proved ample to support global risk assets and the Bank of England’s instalment helped boost momentum in equity markets.

The Federal Reserve said that although rates would continue to rise in 2023, it would be at a slower pace than 2022. Bond yields fell across major economies as a result – this is welcome news for equity investors.

The Fed Chair really fired up equity bulls when as he said the “disinflationary process has started”, opening the doors for easier monetary policy in the future.

The FTSE 100 touched 7,840 in mid afternoon trade before falling back to 7,820 at the close. US stocks stormed ahead with the S&P 500 jumping 1.5% and the NASDAQ surging 3%.

Shell record profits

Shell provided substantial support for the index on Thursday following the confirmation of record profits in 2022 due to higher energy prices. Shell earnings hit $40bn in 2022, although some areas of the business started to slow down in the 4th quarter.

Following a sharp rally in Facebook-owner Meta last night and the NASDAQ today, Ocado once more demonstrated its tech stock attributes as it jumped 11% in a broad global tech rally.

The tech-heavy Scottish Mortgage Trust was also among the top risers, gaining 6%. The trust’s largest holdings include Tesla, Tencent, and Amazon. Moderna is the trust’s top holding, accounting for 10% of the portfolio.

JD Sports also gained 11% meaning the retailer has nearly doubled from lows at the end of 2022. The prospect of lower inflation could mean increased discretionary spending on JD’s £160 trainers.