Market dips but finishes higher from session lows
What Mattered Today
The market was sold off on the open today, largely a result of weakness in the financials and healthcare stocks which was also the case in the US overnight, before some reasonable buying edged the index higher throughout the session. Energy the standout here with the likes of Santos (STO) up 1.97% to $4.15. The pricing period for their Share Purchase Plan (SPP) starts on the 24th Jan ending on the 31st Jan so they have a vested interest in trying to get the share price up during that period. New stock will be issued at a 2% discount to the average price that week - we had the CEO + CFO in presenting this afternoon. Our views have not changed on the stock.
On the market today, we had a range of +/- 42 points, a high of 5699, a low of 5657 and a close of 5678, off -20pts or -0.36%. Volume a tad better but still shy of normality.
ASX 200 Intra-Day Chart
ASX 200 Daily Chart
Morgan Stanley lit a fire cracker under Treasury Wine Estates (TWE) today upgrading their target by 30% to $13.00/share. The stock was up 6.11% to close at $11.11, with very strong / sustained buying throughout the session. As means of background, Treasury Wine now generates about 80% of its earnings offshore, with 28% coming from Asia and 38% from the Americas. The America’s business has been under some pressure over the past few years but is turning around, while the Asian business is where the real growth lies. Look for TWE to trade up through recent highs.
Sectors
ASX 200 Movers
What Matters Overseas
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