Indices: Australian ASX 200
The ASX200 rallied another +0.3% on Monday courtesy of China’s reopening shift which propelled resource stocks higher on hopes that the global economy can avoid a deep contraction in 2023, unfortunately, the move caused the market to polarise as bond yields rallied in line with the optimism towards the growth outlook. The move in bonds resulted in over half of the market closing lower but when the heavyweight resources advance strongly the market often ignores the crowd:
The ASX200 pushed higher last week to levels not seen since early May and as we mentioned earlier a test of the market’s all-time high is now only a solid 1-2 days away.
The ASX200 rallied another +0.4% yesterday taking it within striking distance of the psychological 7300 level, amazingly only 4.5% below its all-time and that’s before we take into account dividends, in just one month November has delivered gains of +6.75% (including dividends) defying numerous bears in a relentless march higher.
