The S&P / ASX 200 Index (Index: ^AXJO) (ASX: XJO) has finished up slightly, rising 0.2% to close at 5,221. Volumes were half that of a normal trading day, with many investors staying on the sidelines before the Federal government's Budget announcement tonight.
The Australian dollar has continued to trade below parity against the US dollar, currently buying 99.9 cents.
Here's why these three stocks are hot right now.
MacMahon Holdings (ASX: MAH) shares rocketed up by more than 25% to close at 22 cents, after the mining services company issued a positive update, with its mining business having a significant order book of secured work. MacMahon has an order book of $3.5 billion, with another $2.5 billion of projects under tender. Financial year 2014 revenue is forecast to be around $1.4 billion, with approximately 80% of that work secured. Still, we've seen what happened to Coffey yesterday, with contracts cancelled and delayed, and that could still happen to MacMahon.
Chandler Macleod Group (ASX: CMG) slumped to its biggest one-day loss in three years, falling 12.3% to close at 50 cents, after the recruitment company said it was facing significantly challenging market conditions, with customers focused on cost reductions, less demand for staffing services in the mining sector, as well as margin reductions, and slippage of one large customer project, which will now occur in the first quarter of next year. Net profit after tax is expected to be in the range of $17-$19 million, before restructuring and acquisition costs.
Lynas Corporation (ASX: LYC) slipped by 8% to close at 63 cents. After a 30% rise since April 15, (before today's fall), investors may have been looking to take some profits. Lynas has commenced production at its rare earths processing plant in Malaysia, and is ramping up to full capacity of 11,000 tonnes per annum. Construction of Phase 2 is also underway, which will see production double to 22,000 tonnes per annum. Lynas has plenty of cash with $172 million available to fund Phase 2.
In the market for high yielding ASX shares? Get "3 Stocks for the Great Dividend Boom" in our special FREE report. Click here now to find out the names, stock symbols, and full research for our three favourite income ideas, all completely free!
More reading
The Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Motley Fool writer/analyst Mike King doesn't own shares in any companies mentioned.
