26/03/2024 09:13

Global Markets

US stocks slipped overnight, with the S&P500 closing down -0.3% as the “book squaring” we mentioned earlier appeared to unfold in a quiet session to commence the shortened week. The Dow was the worst of the major indices, falling -0.4% as stocks took a pause from posting new highs. On the stock level, Intel fell ~1% on fears China's new guidelines would block Intel chips in government servers and computers, while United Airlines fell 4% after the FAA lifted its scrutiny around safety after several recent incidents.

Read more

11/03/2024 08:59

Equity Indices

The ASX200 has rallied to be within 2% of the psychological 8000 level, and we would already be well above it if the influential Resources Sector could regain its mojo. The much-lauded Tech Sector was only the market's fourth best last week, coming in behind the Financials, Real Estate and Healthcare Sectors as the buying became more broad-based. Last month’s Bank of America Fund Managers Survey told us the market was long & bullish, with tech stocks still the top pick.

Read more

12/02/2024 09:47

Equity Indices

Reporting season, both locally and in the US, as would be expected, has continued to dominate volatility on the stock level, and in most cases, the markets received reports warmly leading to outperformance, e.g. AGL Energy Ltd (AGL) and Nick Scali (NCK). This week sees the likes of Commonwealth Bank (CBA), CSL Ltd (CSL), Seek (SEK), Evolution (EVN), South32 (S32), and Treasury Wines (TWE) face the music, which looks likely to deliver another fascinating week.

Read more

29/01/2024 08:23

Equity Indices

Reporting season, both locally and in the US, has already started to increase volatility on the stock level, with the majority of companies still to face the music, e.g. winners so far include ResMed (RMD) and Kogan (KGN) & losers Dominos (DMP) and Nanosonics (NAN). However, on the index level, we are still targeting a push to fresh highs by the ASX200, now less than 2% away.

Read more

15/01/2024 08:36

Equity Indices

We are looking for yields to drift a little lower, which should give the local index enough of a tailwind to test/make new all-time highs in the coming weeks, but that’s hardly a big call considering it is less than 2% away – as we touched on earlier after positioning ourselves bullishly in 4Q of 2023 we are looking to adopt a more cautious approach over the coming weeks.

Read more

18/12/2023 08:55

Equity Indices

December is only 18 days old, but the ASX200 has already jumped +5%, only one good day below this year's best month, January, when the index closed up +6.2%. It's important to put things into perspective, and although we all know of the “Santa Rally,” the best December in the last 15 years was 2016, when the index gained 4.14%; hence, investors “betting” on a significant extension higher over the coming fortnight must be aware that they're backing an outlier.

Read more

24/11/2023 09:08

Global Markets

In the absence of US trade, European equities commanded investors' attention overnight, and they added to November's strong performance – the EURO STOXX is up +7.4% month-to-date. A small degree of Christmas cheer through December and European stocks will be testing their pre-GFC all-time high.

Read more

13/11/2023 08:54

Equity Indices

The ASX200 is set to open back above 7000 this morning, with a 40c advance by BHP Group (BHP) in the US set to be supportive early this morning. The Friday night rally in the US was headed by a surge in big tech aided by a relatively calm session across bond markets as investors enjoyed a lack of major surprises from Fed speakers – the “no news” path of least resistance is higher for US indices.

Read more

30/10/2023 08:56

Equity Indices

The ASX200 is set to dip back towards 6750 this morning, posting a fresh 12-month low in the process. We are still looking for a strong recovery through November/December, but as we said last week, “from where has become the million dollar question”. Considering the Middle East tensions, hawkish central banks, and ongoing market weakness, we now have to allocate a 50% possibility that the local index will test its 2-year support.

Read more

07/08/2023 09:08

Equity Indices

US indices slipped lower last week weighed down by the US ratings downgrade, earning misses from stalwart Apple Inc (AAPL US), and what felt like some general profit-taking across the high-flying tech sector .

Read more