The local index saw the best of the day early on, starting off with a respectable ~0.60% rally thanks mostly to a bounce across the Big 4 banks. The strength slipped throughout the afternoon though with cracks in China’s economy leading Materials lower. The index traded down on the session late in the day but managed to close marginally higher.
For the past week, it felt like “when” not “if” the ASX200 would set a new 12-month low. That question was answered today as the local index fell further into despair, weighed on by the Energy, Financials and Consumer sectors. Tech was the only area of the market to buck the weakness, a solid result considering bond yields were broadly higher throughout Monday.
Equities managed a modest gain into the weekend, bucking the weakness of US markets overnight, though largely tracking the gains seen on their futures today. Investors were still wary of loading up too much risk today, highlighted by the weakness in the Tech sector today. Staples was a key winner, that sector hit 3-year lows yesterday but a broker upgrade for Coles (COL) saw some support.
Shares were 1pt off a 12-month low intraday today with pain in the interest rate leveraged Tech and Real Estate sectors under the most pressure. Tech was hit particularly hard following a soft session for the Nasdaq overnight and follow-through selling seen on its futures today. Materials once again put up a reasonable fight thanks to support in Iron ore stocks, and the second biggest sector constituent for the local market finished marginally higher.
The market was relatively strong early on, supported by solid overnight gains in the US and most commodity markets, however, the music stopped at 11.30m as local inflation data came in higher than expected. The ASX200 index fell 65pts from high to low by early in the afternoon, but a small fight back, led by the Materials sector with commodity support, helped to stem the bleeding with the final result of only a small fall on the market. That came despite just 2 sectors closing higher while Real Estate copped the brunt of the pain.
Some signs of buying helped support the local market today, driven in particular by the heavy-weight sectors of Materials and Financials. The support there helped put an end to a 3-day rout which had set the ASX200 to an 11-month low. Locally, the focus will turn to inflation data due out tomorrow morning, the next print to determine where rate expectations head in the short term.
Further pain was felt across the ASX today as the risk-off trade continued in the face of rising geopolitical tensions. Commodity markets took a hit, flowing through to local Materials and Energy stocks with the weakness today sending the index to an 11-month low. The recent underperformers from a sector perspective were the relative outperformers today, healthcare and Staples bucking the trend to close higher.
The ASX caught a cold from the weakness seen in the US overnight. Selling came on the back of Fed Chair Jerome Powell’s hawkish comments which sent to the US 10-year rate to 16-year highs, just a shave shy of 5%. Further tensions in the Middle East also weighed on growth assets, though that was supportive of Energy and Precious Metals, two areas of the market that largely bucked the trend today. The ASX200 fell -150pts/-2.13% during the week.
A tough day at the office for the ASX, tracking weakness in US/European markets that permeated across Asia. More tension in the Middle East is threatening higher Oil prices that would underpin persistent inflation and higher interest rates, all very logical and these concerns have pushed the ASX 200 back down to the bottom of its recent trading range.
A choppy but overall positive session at the index level, although there was a lot happening under the hood, with some hits and a few big misses to get across today.
For the past week, it felt like “when” not “if” the ASX200 would set a new 12-month low. That question was answered today as the local index fell further into despair, weighed on by the Energy, Financials and Consumer sectors. Tech was the only area of the market to buck the weakness, a solid result considering bond yields were broadly higher throughout Monday.
Equities managed a modest gain into the weekend, bucking the weakness of US markets overnight, though largely tracking the gains seen on their futures today. Investors were still wary of loading up too much risk today, highlighted by the weakness in the Tech sector today. Staples was a key winner, that sector hit 3-year lows yesterday but a broker upgrade for Coles (COL) saw some support.
Shares were 1pt off a 12-month low intraday today with pain in the interest rate leveraged Tech and Real Estate sectors under the most pressure. Tech was hit particularly hard following a soft session for the Nasdaq overnight and follow-through selling seen on its futures today. Materials once again put up a reasonable fight thanks to support in Iron ore stocks, and the second biggest sector constituent for the local market finished marginally higher.
The market was relatively strong early on, supported by solid overnight gains in the US and most commodity markets, however, the music stopped at 11.30m as local inflation data came in higher than expected. The ASX200 index fell 65pts from high to low by early in the afternoon, but a small fight back, led by the Materials sector with commodity support, helped to stem the bleeding with the final result of only a small fall on the market. That came despite just 2 sectors closing higher while Real Estate copped the brunt of the pain.
Some signs of buying helped support the local market today, driven in particular by the heavy-weight sectors of Materials and Financials. The support there helped put an end to a 3-day rout which had set the ASX200 to an 11-month low. Locally, the focus will turn to inflation data due out tomorrow morning, the next print to determine where rate expectations head in the short term.
Further pain was felt across the ASX today as the risk-off trade continued in the face of rising geopolitical tensions. Commodity markets took a hit, flowing through to local Materials and Energy stocks with the weakness today sending the index to an 11-month low. The recent underperformers from a sector perspective were the relative outperformers today, healthcare and Staples bucking the trend to close higher.
The ASX caught a cold from the weakness seen in the US overnight. Selling came on the back of Fed Chair Jerome Powell’s hawkish comments which sent to the US 10-year rate to 16-year highs, just a shave shy of 5%. Further tensions in the Middle East also weighed on growth assets, though that was supportive of Energy and Precious Metals, two areas of the market that largely bucked the trend today. The ASX200 fell -150pts/-2.13% during the week.
A tough day at the office for the ASX, tracking weakness in US/European markets that permeated across Asia. More tension in the Middle East is threatening higher Oil prices that would underpin persistent inflation and higher interest rates, all very logical and these concerns have pushed the ASX 200 back down to the bottom of its recent trading range.
A choppy but overall positive session at the index level, although there was a lot happening under the hood, with some hits and a few big misses to get across today.
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