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*There will be no MM reports on Monday due to the October Long Weekend*
The ASX bounced today following yesterday’s broad-based sell-off with the rebound driven by a recovery in Technology, while nine of the 11 sectors finished higher. The move leaves the index up +0.2% for the week after a volatile few sessions, with the market still looking for confirmation that the recent surge in bond yields and oil prices has potentially peaked.
- ASX 200: +67.67pts / +0.79% to 8,682.10
- AUD/USD: 0.6937 / +0.09%
- Best sectors: IT +4.45%, Energy +1.48%, Materials +1.14%
- Worst sectors: REITs -1.65%, Healthcare -1.10%, Industrials +0.45%
- Broker upgrades dominated the tape today, with Data#3 (ASX: DTL) +7.76% to $13.61, QBE Insurance (ASX: QBE) +4.20% to $23.81, Transurban (ASX: TCL) +0.77% to $13.11, BHP (ASX: BHP) +1.58% to $61.21 and Megaport (ASX: MP1) +10.32% to $22.34 among the stocks receiving positive broker action. BHP held in the Active Growth and Income Portfolios
- Praemium (ASX: PPS) +9.09% to 60c as CEO and director Anthony Wamsteker resigned with immediate effect, with chief commercial officer Denis Orrock appointed Acting CEO. The company will begin an external search for a permanent replacement.
- Megaport (ASX: MP1) +10.32% to $22.34 rocketed as Bell Potter initiated coverage with a Buy rating and $27 target, highlighting its AI inference-cloud exposure and Nvidia collaboration.
- Treasury Wine Estates (ASX: TWE) +4.08% to $5.61 rose as UBS upgraded the stock to Buy, with a $6.50 target, citing progress addressing company-specific issues.
- Data#3 (ASX: DTL) +7.76% to $13.61 continued its rally after reporting 1H FY27 gross profit growth of more than 15% and PBT growth of more than 40%, both ahead of expectations.
- Lynas Rare Earths (ASX: LYC) +2.45% to $12.95 fell as UBS cut its target 7% to $21 following the Meteoric acquisition, while retaining Buy. The $968m deal gives Lynas exposure to Caldeira, described as the largest known ionic-clay rare-earths resource outside China.
- Lendlease (ASX: LLC) -2.94% to $2.64 softened after a strong few days as planned divestment of their Milan asset was delayed another few weeks with buyer Bizzi & Partners not happy with the terms of the sale agreement just yet.
- Transurban (ASX: TCL) +0.77% to $13.11 jumped as Macquarie upgraded the stock to Outperform with a $14 target, arguing the recent bond sell-off has largely run its course and highlighting the recent $4.5bn WestConnex/NorthWestern Roads transaction.
- ANZ (ASX: ANZ) +0.48% to $37.37 ended its 57-year audit relationship with KPMG, with a tender to be completed by April and a new auditor commencing in FY29. Held in the Active Growth and Income Portfolios.
- Brent crude: around US$9101.40/bbl / -0.8%
- Gold: around US$4,191/oz / +0.1%
- Iron Ore: Looks weak US$91.30 / -1.3%
- Copper: $6.56/lb / +0.5% continued to firm for a fourth consecutive session, supported by improving Chinese demand.
- S&P 500 E-mini futures: +21.50pts / +0.28% | Dow E-mini futures: +190.00pts / +0.37% | FTSE futures: +28.00pts / +0.27%
