A subdued start to the week with the ASX edging lower, void of any real impetus in either direction. A bank holiday, no influential companies reporting and a softer night on Friday in the States saw local investors sit largely idle, with winners and losers split evenly across the main board.
A quieter end to a more volatile week for equities with a US rating downgrade, continued volatility in bond markets, while overlapping quarterly earnings in the US and the start of FY reporting locally kept things interesting. Ultimately, stocks ended lower, bond yields were generally higher while commodities by in large remained resilient.
The ASX was down in line with overseas markets, although the selling was far from aggressive and we did bounce off the session lows. US Futures were subdued while Asian stocks were more mixed after a poor session yesterday.
A sea of red today from Shanghai to Sydney with stocks pulling back from recent highs, the RBA’s dovish move yesterday a distant memory as local reporting stumbles into gear.
The ASX was enjoying another positive session ahead of the RBA decision at 2.30 pm, with their call to sit pat at 4.1% supporting another leg higher for stocks and a leg lower for bond yields and the AUD. The associated messaging sounds increasingly like a central bank that sees the hiking job as complete, and while they will remain data dependent, this move can only be described as a ‘dovish pause’.
The calm before the earnings season to start the week & end the month of July with the ASX higher on open, soft in the middle before a recovery into the close, ultimately ending the session little changed in aggregate and still only ~3% below all time highs. July has been a volatile month for equities.
A weak session to end what has been a positive week overall for equities as the market edged tentatively towards the view that interest rates have peaked. However, as was rumoured overnight, the Bank of Japan (BOJ) today loosened its signature yield curve control measure (artificially suppressing bond yields) which means there is likely more to come.
The bulls were on the front foot today as the prospect of peak rates permeated through the market, interest rate-sensitive sectors saw the most love led by the depressed property sector.
The ASX hit a 5-month high today thanks largely to inflation that again went in the right direction, while strength across the commodity stocks continued on the expectation of Chinese stimulus. There was a slew of company news to keep markets on their toes as well, less than a week out from the start of reporting season.
Resources stocks led the charge today as signs that China is edging towards more widespread stimulus underpinned the commodity trade, while Energy also enjoyed the move. While the market was up, it wasn’t broad-based with more stocks ending the session lower. Notably, the index still managed a reasonable gain despite the highly important Financials sector down more than half a percent.
A quieter end to a more volatile week for equities with a US rating downgrade, continued volatility in bond markets, while overlapping quarterly earnings in the US and the start of FY reporting locally kept things interesting. Ultimately, stocks ended lower, bond yields were generally higher while commodities by in large remained resilient.
The ASX was down in line with overseas markets, although the selling was far from aggressive and we did bounce off the session lows. US Futures were subdued while Asian stocks were more mixed after a poor session yesterday.
A sea of red today from Shanghai to Sydney with stocks pulling back from recent highs, the RBA’s dovish move yesterday a distant memory as local reporting stumbles into gear.
The ASX was enjoying another positive session ahead of the RBA decision at 2.30 pm, with their call to sit pat at 4.1% supporting another leg higher for stocks and a leg lower for bond yields and the AUD. The associated messaging sounds increasingly like a central bank that sees the hiking job as complete, and while they will remain data dependent, this move can only be described as a ‘dovish pause’.
The calm before the earnings season to start the week & end the month of July with the ASX higher on open, soft in the middle before a recovery into the close, ultimately ending the session little changed in aggregate and still only ~3% below all time highs. July has been a volatile month for equities.
A weak session to end what has been a positive week overall for equities as the market edged tentatively towards the view that interest rates have peaked. However, as was rumoured overnight, the Bank of Japan (BOJ) today loosened its signature yield curve control measure (artificially suppressing bond yields) which means there is likely more to come.
The bulls were on the front foot today as the prospect of peak rates permeated through the market, interest rate-sensitive sectors saw the most love led by the depressed property sector.
The ASX hit a 5-month high today thanks largely to inflation that again went in the right direction, while strength across the commodity stocks continued on the expectation of Chinese stimulus. There was a slew of company news to keep markets on their toes as well, less than a week out from the start of reporting season.
Resources stocks led the charge today as signs that China is edging towards more widespread stimulus underpinned the commodity trade, while Energy also enjoyed the move. While the market was up, it wasn’t broad-based with more stocks ending the session lower. Notably, the index still managed a reasonable gain despite the highly important Financials sector down more than half a percent.
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