ASX muted into the weekend
WHAT MATTERED TODAY
A fairly lacklustre session to end the week with stocks up early before late selling saw the index close well off session highs. Technology and energy were the main supports today offset by weakness amongst the materials and REIT’s. Nick Scali (NCK), a stock we’ve held in the past put on ~20%, extending the recent run of strong performances by retailers benefitting from strong post lockdown sales. NCK printing a huge rebound in sales, reinstating their dividend and guiding strongly for the start of FY21. The retailers are showing that consumers are feeling okay about future prospects, or perhaps their spending more time on the lounge and they’ve had to up spec it as a result!
It’s been a solid week on the desk, activity back to post covid-19 levels and if the restaurant in our building is anything to go by, the economy seems to be bouncing back (I appreciate a very small sample size!). Data will continue to be bleak however its mostly backward looking and as investors we need to be looking out the front windscreen!
We remain positive equities at this juncture
Overall, the ASX 200 added +6pts / 0.10% today to close at 5942 - Dow Futures are trading up 106pts/0.40%
ASX 200 Chart
ASX 200 Chart
CATCHING MY EYE:
Stocks this week
Sectors this week
BROKER MOVES:
· Nufarm Rated New Neutral at UBS; PT A$5.19
· Seek Raised to Buy at UBS; PT A$23
· Sydney Airport Cut to Underweight at JPMorgan; PT A$5.10
· InvoCare Cut to Underperform at Macquarie; PT A$10.20
· Premier Investments Raised to Outperform at Macquarie
· G8 Education Raised to Overweight at Wilsons; PT A$1.44
· Carsales.com Cut to Hold at Ord Minnett; PT A$17.06
OUR CALLS
No changes today
Major Movers Today
Have a great night
James, Harry & the Market Matters Team
Disclosure
Market Matters may hold stocks mentioned in this report. Subscribers can view a full list of holdings on the website by clicking here. Positions are updated each Friday, or after the session when positions are traded.
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