Paragon Australian Long Short Fund – Monthly Update June 2024
The Fund returned an estimated -8.1% after fees in June.
Global Indices were significantly down: Russell -1.1%, Lithium -22%, Uranium -10%, Copper -6%, Gold -6% and Silver -10%. Local Indices were mixed: All Ords AI +0.7%, Small Ords AI -1.4%, Small Resources -8.0%. Spartan, Mitre and Atlas Arteria (short) performed well for the Fund. However, these were more than offset by falls in Patriot, Lotus and most of our remaining Longs, impacted by the ‘risk-off’ sell-off across Resources.
US CPI was lower again, with 2x US rate cuts now expected this year. The US$ rose +1.1% and US 10yr bonds fell 10bps. Gold was unchanged while Silver was -4.2%. Falls occurred in Copper -4.6%, Uranium -3.5% and Lithium -5.5%. Oil was up +5.9%.
In this month’s update, we discuss our key holding Spartan Resources.