This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Countless factors affect stock prices on a daily basis. Some are very broad like global events and macroeconomic trends. Others are more narrow: company-specific news or changes to analyst price targets. But all of those things affect investor sentiment to some degree, making it impossible to predict which direction a stock (or even the broad market) will move in the short term.

You may hear stories about day traders who made a fortune overnight. Well, some lucky people have also become millionaires by playing the lottery, but that doesn’t mean you should invest your money in lottery tickets. Several studies have shown the vast majority of day traders actually lose money, and the ones who manage to turn a profit often make less than minimum wage.

Put simply, the best way to make money in the stock market is a long-term investment strategy. For instance, the S&P 500 has produced a positive return 100% of the time over any 20-year window between 1919 and 2021, according to Crestmont Research. That means patient investors who held an S&P 500 index fund for at least two consecutive decades (at any point over the last century) always made money.

Here is one way to benefit from that information.

A simple way to make money in the stock market

The Vanguard S&P 500 ETF (NYSEMKT: IVOO) is a passively managed fund that tracks the performance of the S&P 500, which includes 500 of the largest U.S. companies. That may be less exciting than buying individual stocks, but there are several advantages to this strategy investors should consider.

First, the Vanguard S&P 500 ETF offers instant diversification across all 11 market sectors, and investors get exposure to some of the most valuable brands in the world. For instance, the top 20 holdings include industry-leading names like Apple, Inc. (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Amazon.com, Inc.(NASDAQ: AMZN), The Home Depot, Inc.(NYSE: HD), Mastercard Incorporated(NYSE:MA), Visa Inc. (NYSE: V), UnitedHealth Group (NYSE: UNH), Johnson & Johnson (NYSE: JNJ), Tesla Corp Ltd (NASDAQ: TSLA), Alphabet Inc. (NASDAQ: GOOG) (NASDAQ: GOOGL), and ExxonMobil Corporation (NYSE: XOM).

Second, the Vanguard S&P 500 ETF is cheap and time-efficient. It bears an expense ratio of 0.03%, meaning investors would pay only $1.50 per year in fees on a $5,000 portfolio. Additionally, it requires very little work, because there is no need to research specific companies or stay up to date on financial results. Investors can simply buy the ETF and forget about it.

In short, while it may be boring, buying an S&P 500 index fund is a simple, inexpensive, and time-tested path to making money in the stock market. That’s why Warren Buffett has often advocated for this investment strategy.

Third, the Vanguard S&P 500 has generated a total return of 206% over the last decade, which is equivalent to an annualized return of 11.8%. At that pace, $100 invested on a weekly basis would grow into a $1 million portfolio in 28 years, and it would grow into a $2 million portfolio in 34 years.

How I manage my portfolio

An S&P 500 index fund does not have to be your only investment. Personally, I keep a certain percentage of my portfolio in the Vanguard S&P 500 ETF, but I also own dozens of individual growth stocks. I think of the S&P 500 index fund as a sort of safety net, a reliable money maker in the long run.

Of course, nothing is truly guaranteed when it comes to the stock market, but the S&P 500 has undeniably produced a positive return over every rolling 20-year period since 1919. And that knowledge makes me feel comfortable taking a little more risk with my other investments.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post This stock market investment strategy made money 100% of the time over the last century appeared first on The Motley Fool Australia.

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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Trevor Jennewine has positions in Amazon, Mastercard, Tesla, Vanguard S&P 500 ETF, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet (A shares), Alphabet (C shares), Amazon, Apple, Home Depot, Mastercard, Microsoft, Tesla, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Johnson & Johnson and UnitedHealth Group and has recommended the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool Australia has recommended Alphabet (A shares), Alphabet (C shares), Amazon, Apple, and Mastercard. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The Mineral Resources Limited (ASX: MIN) share price may be suffering a battering today but it’s up across most of the significant long-term timeframes.

The ASX lithium share is currently down 5.14% to $64.16 apiece on Monday but Mineral Resources has certainly been a standout performer zooming out. Here are the numbers:

• 41.96% over the past year
• 315.93% over five years, and
• 5,832.46% since its shares hit the market in 2006

Investors might wonder two things about these figures: Is the Mineral Resource share price overvalued, and are its predicted fundamentals reflected in its current share price?

One broker believes the Mineral Resources share price might have reached its ceiling for now and that a speculated development “could create value”.

Let’s cover what else the broker said.

Mineral Resources receives a hold recommendation

Spotee Connect founder Elio D’Amato gave Mineral Resources a hold recommendation, as reported by The Bull. D’Amato said:

[Mineral Resources’s] shares soared to all-time highs on speculation the company may be considering spinning off its world-class lithium assets and potentially listing in the US. While a US listing won’t guarantee success, splitting its lithium and iron-ore operations into separate entities could create value. While nothing was certain on September 21, the market is excited by the prospect.

Analysts are bullish on lithium demerger

D’Amato is not alone in his analysis. Earlier this month, UBS said the Mineral Resource’s lithium business could be worth far more in the future. The broker gave Mineral Resources shares a price target of $83. That’s a possible upside of around 29% at the time of writing.

Wilson equity strategist Rob Crookston also agrees with the thesis a demerger could be good for the company. In a memo to clients last week, Crookston said:

A speculated NYSE spin-off of the lithium business could untap hidden value in the business.

Mineral Resources share price snapshot

Despite today’s losses, the Mineral Resources share price is up almost 15% year to date. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is down 13% over the same period.

The company’s market capitalisation is currently around $12.2 billion.

The post Is the Mineral Resources share price a buy right now? appeared first on The Motley Fool Australia.

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• Our 4 favourite lithium ASX shares right now: Wilsons
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Motley Fool contributor Matthew Farley has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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At the start of each week, I like to look at ASIC’s short position report to find out which shares are being targeted by short sellers.

This is because I believe it is well worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, here are the 10 most shorted shares on the ASX this week according to ASIC:

• Flight Centre Travel Group Ltd (ASX: FLT) remains the most shorted share on the ASX after its short interest rose to 15.3%. Short sellers will have been pleased to see this travel agent’s shares hit a 52-week low today.
• Betmakers Technology Group Ltd (ASX: BET) has seen its short interest rise to 14%. Once again, short sellers are winning with this one. This betting technology company’s shares dropped to a 52-week low today. Valuation concerns appear to be weighing on them during the market volatility.
• Block Inc (ASX: SQ2) has seen its short interest ease slightly to 10.3%. Weakness in the tech sector, concerns over the prospects of a global recession, and regulatory pressure in the BNPL industry have been putting pressure on its shares.
• Lake Resources N.L. (ASX: LKE) has short interest of 9.9%, which is flat week on week. This lithium share has fallen heavily this month due to market volatility and an ownership dispute with its partner Lilac Solutions.
• Megaport Ltd (ASX: MP1) has seen its short interest rise to 9.4%. This could be due to valuation concerns and significant weakness in the tech sector.
• Inghams Group Ltd (ASX: ING) is back in the top ten after its short interest rebounded to 8%. Concerns over higher input costs have been weighing on sentiment.
• Nanosonics Ltd (ASX: NAN) has short interest of 7.9%, which is down slightly week on week again. Short sellers appear to have been targeting this infection prevention company due to a disruptive business model change in the key US market.
• Breville Group Ltd (ASX: BRG) is a new entry in the top ten with short interest of 7.7%. One of Breville’s rivals recently warned that the uncertain economic backdrop could impact spending trends. It also highlighted ongoing supply chain pressures.
• Zip Co Ltd (ASX: ZIP) has seen its short interest reduce materially to 7.6%. This could be because this BNPL provider was kicked out of the ASX 200 index. Some fund managers can only invest in/short shares in the benchmark index.
• De Grey Mining Limited (ASX: DEG) has short interest of 7.5%, which is down week on week. Short sellers have been closing positions after this gold developer released a positive update on its Mallina Gold Project.

The post These are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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• Why the ‘outlook presents challenges’ for Zip shares: expert
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• Here’s which ASX lithium shares investors have been loading up on this month

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Betmakers Technology Group Ltd, Block, Inc., MEGAPORT FPO, Nanosonics Limited, and ZIPCOLTD FPO. The Motley Fool Australia has positions in and has recommended Block, Inc. and Nanosonics Limited. The Motley Fool Australia has recommended Betmakers Technology Group Ltd, Flight Centre Travel Group Limited, and MEGAPORT FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Whitehaven Coal Ltd (ASX: WHC) share price is sliding today along with the broader market.

At market open, the coal producer’s shares changed hands at $8.67 but then began to whittle away.

Currently, Whitehaven shares are trading at $8.31, down 9.67%.

For context, the S&P/ASX 200 Index (ASX: XJO) is sinking by 1.84% to 6,453.6 points.

What’s weighing down Whitehaven shares?

The Whitehaven share price is hitting the brakes despite no announcements from the company today.

After touching a record high of $9.33 on 23 September, Whitehaven shares are now down 6% over the past week.

This comes as the S&P/ASX 200 Energy Index (ASX: XEJ) is the worst performer across the ASX Indices.

The energy sector is down a massive 6.36% at the time of writing.

Other commodity indexes are also feeling the pain such as the ASX 200 Resources Index (ASX: XJR) and All Ordinaries Gold Index (ASX XGD), down 4.89% and 5.48% respectively.

Coal prices have edged lower in recent weeks to US$435 per tonne, down from the record high of US$460.

The US agreed to a labour deal with the unions to avoid a railway strike that would halt the supply of coal to major power plants.

As a result, coal prices eased on the news that the crisis will be averted.

However, seaborne coal is becoming hot in demand as countries halt coal and other energy imports from Russia.

Nonetheless, there are investor fears of an impending recession within the next 12 months which is causing ASX miners to tank.

About the Whitehaven share price

Whitehaven shares moved in circles in the early part of 2022 before shooting higher from June onwards.

For the 9 months that have passed, the Whitehaven share price is up 220%.

The company presides a market capitalisation of roughly $8.80 billion.

The post Why is the Whitehaven share price wilting 10% on Monday? appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Zip Co Ltd (ASX: ZIP) share price is avoiding the worst of a brutal sell-off today. Though, the bigger picture potential for this ASX buy now, pay later (BNPL) share could be unflattering.

Amid the broad and heavy selling, Zip shares are currently down holding their ground at 69 cents apiece, the same as Friday’s closing price.

For comparison, the benchmark index is suffering its third consecutive day of nosediving. At the time of writing, the S&P/ASX 200 Index (ASX: XJO) is off-kilter by 1.33% although it’s been down more than 2% this morning.

But let’s take a look at where Zip shares could be heading on a longer time horizon.

Tightening the belt

Before we get into the nitty-gritty on Zip, let’s zoom out to the macroeconomic level. Last week, the United States Federal Reserve announced yet another rate hike. Once again, the Fed opted to jack up interest rates by 0.75% — taking the headline rate range to between 3% and 3.25%.

Following the call, some economists are forecasting our local central bank — the Reserve Bank of Australia (RBA) — will lift rates by 0.5% in October. Such a decision would take Australia’s target cash rate to 2.85%, the highest it will have been since June 2013.

The persistent rate rises are being made in a bid to stifle inflation as consumer purchasing power continues to be eroded. That means the RBA is actively trying to dampen consumer sentiment.

In turn, retail-focused ASX shares — such as Zip — could see diminished enthusiasm as investors stay mindful of this headwind.

What do experts think of Zip shares?

Seneca Financial Solutions senior investment advisor Arthur Garipoli believes Zip shares are a sell amid the rising rates. Providing his perspective on the BNPL company in a recent post on The Bull, Garipoli said:

The outlook presents challenges in a tough economic environment.

Furthermore, Garipoli is not alone in his caution toward ASX shares tied to discretionary consumer spending. Portfolio manager for Ophir Asset Management Andrew Mitchell recently spoke to The Australian on the topic of inflation and shares, stating:

We are very cautious on consumer discretionary companies, companies leveraged to the housing market or financials. We feel they are the most vulnerable to an earnings downgrade cycle.

While Zip is yet to indicate a deterioration in its business, Zip shares have suffered a dizzying 84% fall so far this year.

The post Why the ‘outlook presents challenges’ for Zip shares: expert appeared first on The Motley Fool Australia.

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Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ZIPCOLTD FPO. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Lake Resources N.L. (ASX: LKE) share price is deep in the red alongside plenty of its S&P/ASX 200 Index (ASX: XJO) peers.

The index is suffering a sell-off event on Monday with mining stocks among the worst hit.

Right now, the Lake Resources share price is 92.5 cents, 6.57% lower than its previous close.

For comparison, the ASX 200 has plummeted 1.4% at the time of writing.

What’s going so wrong for the ASX 200 lithium hopeful? Let’s take a look.

What’s weighing on the Lake Resources share price?

Shares in Lake Resources are plummeting on Monday amid a terrible session for ASX 200 mining stocks.

The S&P/ASX 200 Materials Index (ASX: XMJ) is currently the index’s second worst performing sector, behind only the S&P/ASX 200 Energy Index (ASX: XEJ).

The energy sector has dumped 6% at the time of writing, likely driven lower by falling oil prices.

Meanwhile, the materials sector is falling 4.6%. Its downturn appears to have come on the back of growing recession fears. And Lake Resources’ stock is among its worst performers.

The stock has now dumped all of the 6% gain it clocked up last week after updating the market on its Kachi Lithium Project.  

On top of that, it has been underperforming the broader market over the course of this year so far.

The Lake Resources share price is currently 15.1% lower than it was at the start of 2022. The ASX 200, meanwhile, has dumped 14.5% year to date.

Longer-term investors can still boast a strong gain, though. The stock has lifted 54% over the last 12 months while the index has fallen 12%.

The post Why is the Lake Resources share price sinking 7% on Monday? appeared first on The Motley Fool Australia.

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• Here’s which ASX lithium shares investors have been loading up on this month
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Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Between rising interest rates, a potential recession on the horizon, and a bear market in full swing, it’s a fraught time to be an investor. And that’s especially true for those who prefer to buy growth stocks, which have been hit significantly harder than the market as a whole. The market-tracking SPDR S&P 500 ETF Trust (NYSEMKT: SPY) is down by more than 11% over the past 12 months, while the large-cap SPDR Portfolio S&P 500 Growth ETF (NYSEMKT: SPYG) is off by around 18% in the same period. 

So should investors shy away from expansion-phase companies for a while, seeing as how conditions appear to be poor for them in the present and likely tenuous in the near future? The answer depends on your goals for investing, the riskiness of the stock you’re thinking of, and — last but not least — your own mental fortitude, so let’s break these issues down individually. 

Determine your time horizon

Before you can answer for yourself whether it’s appropriate to be buying growth stocks right now, you’ll need to figure out how long you want to hold your shares. Another way to frame that question is to ask when and why you’ll need to take out the money from your investment. 

If you think you might need your funds back into cash within a couple of years, you probably shouldn’t be buying any type of stock, as it could take longer than that to reach the price level where you bought the shares. In contrast, if you’re investing for the long-term (and you should be), it could still be a good time to buy, but there’s more to the story. 

By definition, growth stocks are backed by growth-phase companies that often aren’t yet focused on profitability and that are too immature to consider giving capital back to shareholders. In practice, that means if you decide to sit on the sidelines instead of buying shares, you could be missing out on a significant run-up as businesses expand quickly over time. It’s also possible that you could be sagely dodging a catastrophic collapse in share prices caused by any of the many headwinds in force right now. 

It isn’t possible to determine which of those two outcomes are going to occur in advance, but you can improve your chances by being picky about which growth stocks you invest in and how much of your capital you choose to commit to them. And if you can do that, now’s a decent time to be buying. 

Allocate your risk budget conservatively 

Being careful with your investments amid the ongoing economic uncertainty means favoring growth companies that are likely to weather the turbulence with grace and avoiding those that won’t. 

For example, Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX) develops medicines for rare diseases like cystic fibrosis. It’ll keep performing clinical trials and commercializing drugs regardless of a recession, and its patients will need to keep buying its therapies (or getting their insurers to pay) no matter what. Plus, rising interest rates don’t threaten it much at all, because it’s profitable, expanding its top line consistently, and it also generates enough free cash flow to avoid needing to habitually borrow money. And it’s currently shrugging off the bear market without breaking a sweat, with its shares rising by nearly 28% so far this year in comparison to the market’s fall of 19%.

So, Vertex looks to be a growth stock that’s ripe for buying, even now. But with other companies, the reverse may be true.

Consider the multinational cannabis business Tilray Brands (NASDAQ: TLRY). It isn’t profitable, and this year its quarterly gross margin is contracting under pressure. Its quarterly revenue growth is flat over the past year, and there are problems with oversupply in the cannabis market that are likely to force it to write down its inventory at a loss (again) or lower its selling prices. Therefore, with its performance questionable even before the headwinds of 2022, it probably isn’t a good time to buy, unless you can tolerate quite a bit of additional risk beyond what’s normally associated with the stock.

Can you invest and still get a good night’s sleep?

Per the previous section, investing in the most resilient growth stocks is still a good decision in today’s environment, even though investing in the more speculative plays could be more risky than usual. But perhaps the biggest issue is whether you can accept the risks of the growth companies you decide are worth investing in, even when the going gets tough. 

If buying shares of a risky business right now is going to have you checking on your portfolio multiple times per day, it probably isn’t worthwhile. You only get the benefit of a company’s gain in value over time if you are actually able to hold its shares without selling them out of fear or stress about their future worth. 

If you can tolerate your positions being underwater for a few months or years, it’s a perfectly good time to buy riskier growth stocks like Tilray, assuming you’re comfortable with the chance of actually losing your money — but if that thought terrifies you, it’s best to find growth investments like Vertex that are likely to have a bit more staying power regardless of the economy or the market.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Is now the right time to be buying growth stocks? appeared first on The Motley Fool Australia.

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More reading

• Why is the Rio Tinto share price rolling 5% lower on Monday?
• What might Origin’s latest move mean for the future of ASX 200 energy shares?
• Why has the Macquarie share price been thrashed 10% in a fortnight?
• Why is the Core Lithium share price cratering 9% on Monday?
• How big will the CBA dividend be in 2023?

Alex Carchidi has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Vertex Pharmaceuticals. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The Rio Tinto Limited (ASX: RIO) share price is having a day to forget on Monday.

In early afternoon trade, the mining giant’s shares are down a disappointing 5.5% to $88.14.

Why is the Rio Tinto share price falling?

Investors have been selling Rio Tinto and other mining shares on Monday following a broad market selloff driven by concerns that a rising rates could trigger a global recession.

If one were to occur, it could lessen demand for commodities and weigh on prices.

US investors certainly appear to believe that a recession is imminent. They sold down the Rio Tinto share price by 5.5% on Wall Street on Friday night. Which, coincidentally, is the same margin by which the company’s locally listed shares have fallen today.

It isn’t just the Rio Tinto share price that is under pressure. BHP Group Ltd (ASX: BHP), Fortescue Metals Group Limited (ASX: FMG), and South32 Ltd (ASX: S32) shares are all falling heavily today.

This has led to the S&P/ASX 200 Materials index tumbling a sizeable 4.5% today.

Should you buy the dip?

Goldman Sachs may see the weakness in the Rio Tinto share price as a buying opportunity.

Its analysts currently have a buy rating and $121.50 price target on the company’s shares. This implies potential upside of almost 38% for investors over the next 12 months.

In addition, the broker is forecasting very generous fully franked dividend yields of 9%+ through to FY 2025.

This could mean big returns for investors if Goldman Sachs is on the money with its recommendation.

The post Why is the Rio Tinto share price rolling 5% lower on Monday? appeared first on The Motley Fool Australia.

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More reading

• Why is the Rio Tinto share price sparkling in a sea of red today?
• Own Rio Tinto shares? It’s time to dig into your dividends
• $18 billion of ASX dividends are being paid out this week. Here’s the lowdown
• Why China’s slowdown isn’t as bad as it looks for ASX 200 mining shares
• Down 19% since June, where to next for the Rio Tinto share price?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The decision of Origin Energy Ltd (ASX: ORG) to withdraw from the Beetaloo Basin sparked shockwaves last week.

The energy giant’s move comes after it announced it will sell its exploration interests in the region for $60 million.

Tamboran Resources Ltd (ASX: TBN), along with its largest shareholder Bryan Sheffield, will take over Origin’s 77.5% interest in three permits in the Northern Territory region. Tamboran will also receive a 5.5% royalty based on wellhead revenues from the permits.

Why Origin decided to abruptly make the decision is not fully understood. However, the company made it clear the capital-intensive nature of the project means it is “better placed prioritising capital towards other opportunities that are aligned to [its] refreshed strategy”.

Origin expects to make a $70-$90 million loss on the deal.

What’s the decision mean for ASX 200 energy shares?

Whilst it’s difficult to draw a direct correlation between Origin’s decision and the share prices of other ASX 200 energy players, it wasn’t a pretty time for the sector last week.

Many of the dominant names incurred a period of downside. However, it’s worth noting here the price of natural gas has also taken a nosedive in the past two weeks.

US Natural gas futures trade 24% down at US$6.89/MMBtu from their previous high on 14 September, whereas both UK and European gas contracts are down in similar fashion.

Coal has also been trading sideways for the past two weeks as governments around the world look to hedge their exposure to soaring energy prices.

Despite last week’s announcement, Origin will keep a direct interest in the Beetaloo Basin, with the company still set to receive up to 36.5 petajoules of natural gas per annum from the site if it’s successfully developed.

Origin’s exit is unlikely to have a large impact on well-established energy giants such as AGL Ltd (ASX: AGL), Santos Ltd (ASX: STO), and Woodside Energy Group Ltd (ASX: WDS).

Each of these giants has its own respective capital investments at various sites around the world and is not limited to just one or two projects.

In addition, they all have diversified exposure to the industry.

Nevertheless, it will be a matter of time to see if there is any major fallout from Origin’s decision to pursue greener opportunities.

Origin shares remain up more than 18% over the past 12 months of trade. The returns for all shares mentioned are seen on the chart below.

The post What might Origin’s latest move mean for the future of ASX 200 energy shares? appeared first on The Motley Fool Australia.

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• What’s next for AGL shares following the company’s latest shake-up?
• AGL share price dips following changing of the guard
• AGL share price slides amid shareholder revolt
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• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Macquarie Group Ltd (ASX: MQG) share price is down 10.6% in two weeks. Last week the bank lost a proposed takeover bid for Suez Recycling and Recovery UK.

A consortium of companies has pushed in on Macquarie’s acquisition of Suez, as reported by the Australian Financial Review.

Last Wednesday night, the consortium was said to exercise its right of refusal, which put Macquarie out of the picture.

The article reports that members of the consortium include the companies Meridiam, Global Infrastructure Partners, Caisse des Depots Group, and CNP Assurances. My Fool colleague Bernd notes, this is the same group of companies that own Suez’s operations in France.

Before Macquarie’s deal fell apart, Britain’s market regulator had instructed French waste management giant Veolia, which owns Suez Recycling, to divest the business on antitrust concerns that were raised in May.

The divestment was deemed necessary as it could lead to anti-competitive practices, potentially leading to higher consumer prices.

A spokesperson for Macquarie made the following comments on the failed bid:

As previously announced, our proposed investment in Suez’s UK recycling and recovery operations was subject to the satisfaction of certain closing conditions, including a right of first refusal. We look forward to identifying other opportunities in the sector where we can support the transition to a more sustainable, circular economy.

Macquarie reportedly offered to buy the company for 2.5 billion euros (AU$3.7 billion).

While Macquarie’s acquisition of Suez has apparently fallen apart, the company could have other irons in the fire. In March, it was speculated that Macquarie could be eying up the wealth division of Westpac Banking Corp (ASX: WBC), which could be worth $1 billion.

Macquarie share price snapshot

The Macquarie share price is down 21% year to date. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is down 13% over the same period.

The company’s market capitalisation is $63.98 billion.

The post Why has the Macquarie share price been thrashed 10% in a fortnight? appeared first on The Motley Fool Australia.

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More reading

• This expert tips 25% upside for the Macquarie share price
• Analysts name 2 excellent blue chip ASX 200 shares to buy now
• Macquarie shares bear the brunt of bank sell-off amid inflation bomb
• Top ASX dividend shares to buy in September 2022
• I shouldn’t have sold this ASX share two years ago: fund

Motley Fool contributor Matthew Farley has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Macquarie Group Limited and Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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