The ASX fell again today, now down 5 consecutive sessions with Banks & Healthcare stocks contributing most of the pain at the index level. Concern stemming from the US financial system is headlining the media, however, in MM’s view, it has simply been a case of a tired market approaching a seasonally weak period and it made sense to take some cream off the top after a solid run for stocks.
A choppy session for the ASX today with a lot of company news met with key economic data. A weaker open, although better results from key US companies aftermarket saw US Futures rally which provided some support to local stocks, before the recovery really got underway post the inflation data at 11.30 am where the RBA’s preferred measure of prices came in a touch below expectations, and this reduces the chance of another hike in May.
A quiet session as you’d expect with all the smart people taking Monday off to lock in a 4-day break ahead of ANZAC day tomorrow….The ASX opened lower and remained in a holding pattern, although there were a few moves on the stock level that caught our eye.
A mixed bag across the board today with sectors split pretty much down the middle, however, the heavy-weight sectors dragged the overall index lower. Quarterly reports from the miners dominated the news flow though it was the softness in commodity prices that mostly weighed on the sector. BOQ copped a few downgrades overnight and concerns around bad debts and competition for mortgages put pressure on the financials sector. The ASX 200 was down -31pts/-0.42% for the week.
Another tepid session for stocks with the ASX down early before a spirited fightback saw the market trade up for the day, before some selling took hold into the close. At this stage, the market simply feels tired after its stellar run as opposed to being bearish and swamped with high-volume selling. Today the winners actually outnumbered the losers (just), although a ~2% decline by the material sector is always going to weigh, offset by a good move higher by the banks.
Another fairly flat session by the ASX today, although it’s looking tired and we wouldn’t be surprised to see a near-term top evolve with the first signs of money transitioning from the edgier, high-beta areas into the more defensive plays. Still, with negative market positioning (high cash levels + high bond ownership v equities) very obvious we wouldn’t be running for the hills, meaningful tops don’t often correlate with pessimistic positioning – but a pause, consolidation, and a shallow pullback could easily play out.
A slow day for the market with a lot of fundies away for School holidays + finding compelling value is getting harder given the market’s recent run. Sometimes it’s best to sit tight and it certainly felt that way today in what proved to be a choppy but overall negative session for stocks with 65% of the index closing lower.
The local market kicked off the new week by adding to recent gains, hitting a 2-month high in the process. Financials continued their recent form to boost the index, rallying on the back of a better-than-expected start to the quarterly updates from their US peers.
There was a delayed reaction to strength seen overnight on the local market today which rallied strongly out of early session lows. Materials were the standout with a broad rally from the sector, though Gold stocks were the key contributors as the precious metal cracked 1-year highs. Financials were also strong despite a soft update from one of the regional banks. Overall the ASX had a great week with all 11 sectors finishing higher, the index put on +142pts/+1.98% and is sitting around 5-week highs.
The market finally cooled today with a stronger-than-expected March employment report the catalyst which increases the chances of the RBA going one more time, although our expectation is they’ll sit tight at 3.60% come the May meeting.
A choppy session for the ASX today with a lot of company news met with key economic data. A weaker open, although better results from key US companies aftermarket saw US Futures rally which provided some support to local stocks, before the recovery really got underway post the inflation data at 11.30 am where the RBA’s preferred measure of prices came in a touch below expectations, and this reduces the chance of another hike in May.
A quiet session as you’d expect with all the smart people taking Monday off to lock in a 4-day break ahead of ANZAC day tomorrow….The ASX opened lower and remained in a holding pattern, although there were a few moves on the stock level that caught our eye.
A mixed bag across the board today with sectors split pretty much down the middle, however, the heavy-weight sectors dragged the overall index lower. Quarterly reports from the miners dominated the news flow though it was the softness in commodity prices that mostly weighed on the sector. BOQ copped a few downgrades overnight and concerns around bad debts and competition for mortgages put pressure on the financials sector. The ASX 200 was down -31pts/-0.42% for the week.
Another tepid session for stocks with the ASX down early before a spirited fightback saw the market trade up for the day, before some selling took hold into the close. At this stage, the market simply feels tired after its stellar run as opposed to being bearish and swamped with high-volume selling. Today the winners actually outnumbered the losers (just), although a ~2% decline by the material sector is always going to weigh, offset by a good move higher by the banks.
Another fairly flat session by the ASX today, although it’s looking tired and we wouldn’t be surprised to see a near-term top evolve with the first signs of money transitioning from the edgier, high-beta areas into the more defensive plays. Still, with negative market positioning (high cash levels + high bond ownership v equities) very obvious we wouldn’t be running for the hills, meaningful tops don’t often correlate with pessimistic positioning – but a pause, consolidation, and a shallow pullback could easily play out.
A slow day for the market with a lot of fundies away for School holidays + finding compelling value is getting harder given the market’s recent run. Sometimes it’s best to sit tight and it certainly felt that way today in what proved to be a choppy but overall negative session for stocks with 65% of the index closing lower.
The local market kicked off the new week by adding to recent gains, hitting a 2-month high in the process. Financials continued their recent form to boost the index, rallying on the back of a better-than-expected start to the quarterly updates from their US peers.
There was a delayed reaction to strength seen overnight on the local market today which rallied strongly out of early session lows. Materials were the standout with a broad rally from the sector, though Gold stocks were the key contributors as the precious metal cracked 1-year highs. Financials were also strong despite a soft update from one of the regional banks. Overall the ASX had a great week with all 11 sectors finishing higher, the index put on +142pts/+1.98% and is sitting around 5-week highs.
The market finally cooled today with a stronger-than-expected March employment report the catalyst which increases the chances of the RBA going one more time, although our expectation is they’ll sit tight at 3.60% come the May meeting.
Check your email for an email from [email protected]
Subject: Your OTP for Account Access
This email will have a code you can use as your One Time Password for instant access
Verication email sent.
Check your email for an email from [email protected]
Subject: Your OTP for Account Access
This email will have a code you can use as your One Time Password for instant access
!
Invalid One Time Password
Please check you entered the correct info, please also note there is a 10minute time limit on the One Time Passcode
To reset your password, enter your email address
A link to create a new password will be sent to the email address you have registered to your account.
