The ASX opened with a bang this morning rallying off the back of a strong session in the US following signs that inflation has peaked, CPI printing 8.5% versus 8.7% expected. This is a big deal, uncontained inflation is the reason why rates have risen so aggressively and why risk assets had been sold off. Stabilisation here provides more certainty and more certainty gives confidence, and we all know the market ebbs and flows in the short term on this metric.
The ASX weakened today ahead of the all-important inflation print in the US tonight with consensus tipping a result of +8.7% YoY. Tech fell on concerns bond yields will rally again while the Utilities which are more defensive + some are linked to CPI fared well.
A choppy / lackluster session today from an index perspective although there continued to be more activity under the hood. Communications & IT were strong, Utilities and Financials were not as the ASX 200 held within a very tight ~20 point trading range.
The market continues to show resilience with any selling at the index level met with reasonable buying aided by corporate activity from BHP towards Oz Minerals (OZL) i.e. when the world’s largest resource company is happy to outlay $8.2bn in an all-cash tilt for another Copper miner, it implies a strong level of confidence in the global backdrop, and it looks like that confidence permeated through the rest of the market today. The ASX200 simply grinding higher - bottom left to top right - during the session to close above 7000 again.
The market opened flat this morning but tracked higher throughout the session to close above 7000 for the first time in more than 8 weeks. It was mixed news under the hood with Energy weaker on soft commodity markets, and Tech tapering some of the strong recent gains in the sector. Materials and the consumer focussed sectors made up the bulk of the rally in the index.
A strong open for the local market however the best of the session was seen before little lunch with the ASX ending flat on the day, closing ~46 points below the session high, back below the 7000 handle. IT stocks continued to perform, particularly the small caps while Energy & Materials fell.
While large-cap Australian shares fell today, the small caps took over the performance mantle with some big moves playing out across the growthier parts of the market, the small ords added +0.83% versus the ASX 200 which fell by 0.32% although the selling was very tepid. Putting that variance in real terms, that saw our emerging companies portfolio add around ~3.70% versus the large-cap growth portfolio which fell by around ~0.10% - some...
Another solid session for the ASX with the market rallying after the RBA raised rates by 0.50% (as expected) to 1.85%. They also amended their language somewhat to imply that future hikes were not set in stone, a very similar approach to the one adopted by the US Federal Reserve last week when they hiked by 0.75%. The retailers did best, both discretionary and staples while IT stocks also rallied.
The ASX continued to climb the wall of worry today, opening near the session lows before grinding higher throughout the day to close on the high, just a whisker below 7000. Utilities & Energy were strong while some profit taking played out in the IT stocks which had bounced well from their recent lows.
Falling bond yields have helped the risk on sentiment continue for equities with the local market once again hitting a 6-week high, as it closes in on the 7000 level. All sectors bar Healthcare joined in on the rally, though Real estate found the most support today. Local equities piggy-backed on the strength in the US market overnight thanks to weaker GDP numbers and a more dovish tone from the Fed earlier in the week. Bond yields fell significantly today with Aussie 2-year yields down around 15bps to 2.42%.
The ASX weakened today ahead of the all-important inflation print in the US tonight with consensus tipping a result of +8.7% YoY. Tech fell on concerns bond yields will rally again while the Utilities which are more defensive + some are linked to CPI fared well.
A choppy / lackluster session today from an index perspective although there continued to be more activity under the hood. Communications & IT were strong, Utilities and Financials were not as the ASX 200 held within a very tight ~20 point trading range.
The market continues to show resilience with any selling at the index level met with reasonable buying aided by corporate activity from BHP towards Oz Minerals (OZL) i.e. when the world’s largest resource company is happy to outlay $8.2bn in an all-cash tilt for another Copper miner, it implies a strong level of confidence in the global backdrop, and it looks like that confidence permeated through the rest of the market today. The ASX200 simply grinding higher - bottom left to top right - during the session to close above 7000 again.
The market opened flat this morning but tracked higher throughout the session to close above 7000 for the first time in more than 8 weeks. It was mixed news under the hood with Energy weaker on soft commodity markets, and Tech tapering some of the strong recent gains in the sector. Materials and the consumer focussed sectors made up the bulk of the rally in the index.
A strong open for the local market however the best of the session was seen before little lunch with the ASX ending flat on the day, closing ~46 points below the session high, back below the 7000 handle. IT stocks continued to perform, particularly the small caps while Energy & Materials fell.
While large-cap Australian shares fell today, the small caps took over the performance mantle with some big moves playing out across the growthier parts of the market, the small ords added +0.83% versus the ASX 200 which fell by 0.32% although the selling was very tepid. Putting that variance in real terms, that saw our emerging companies portfolio add around ~3.70% versus the large-cap growth portfolio which fell by around ~0.10% - some...
Another solid session for the ASX with the market rallying after the RBA raised rates by 0.50% (as expected) to 1.85%. They also amended their language somewhat to imply that future hikes were not set in stone, a very similar approach to the one adopted by the US Federal Reserve last week when they hiked by 0.75%. The retailers did best, both discretionary and staples while IT stocks also rallied.
The ASX continued to climb the wall of worry today, opening near the session lows before grinding higher throughout the day to close on the high, just a whisker below 7000. Utilities & Energy were strong while some profit taking played out in the IT stocks which had bounced well from their recent lows.
Falling bond yields have helped the risk on sentiment continue for equities with the local market once again hitting a 6-week high, as it closes in on the 7000 level. All sectors bar Healthcare joined in on the rally, though Real estate found the most support today. Local equities piggy-backed on the strength in the US market overnight thanks to weaker GDP numbers and a more dovish tone from the Fed earlier in the week. Bond yields fell significantly today with Aussie 2-year yields down around 15bps to 2.42%.
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