A solid session for the ASX keying off a bullish night in the US, however, news that Chinese developers were getting a state-backed lifeline gave the market another kick into the afternoon. Some big moves in individual stocks, particularly those with large short exposure a clear theme while the resources were the sector to be in!
A disjointed morning before the buyers emerged following inflation data that was marginally tamer than expected printing 6.1% YoY versus the 6.3% consensus, signs that the rate of change in prices may be slowing is a good thing. Healthcare was strong today but the biggest influence from an index perspective came from the banks with CBA the standout up +2.24%.
The market remained in a holding pattern today waiting on Wednesday’s inflation print to get a better read on which direction to jump – although it has crept up to 6-week highs. Energy the standout with Coal stocks, in particular, roaring higher however we saw decent buying right across the sector, offsetting weakness that crept into retailers thanks to a downgrade from Walmart (WMT US) after-market in the US.
We edged tentatively into the new week with the ASX finishing 1pt lower as strength in Materials & Utilities was offset by weakness in Tech & Telcos – the market chopping around in a tight ~25pt range. Domestic inflation data is out on Wednesday which will likely be a big driver of stocks ahead of the US Federal Reserve decision on rates that evening. Consensus is for Aussie inflation to print 6.3% YoY while the US Central Bank is expected to hike rates by another 0.75%.
A flat day on the surface but there were plenty of moving parts underneath seemingly with little rhyme or reason to much of the daily swings. The banks were strong, offsetting weakness in telcos and energy. Tech was also though it was hardly a broad-based rally within the sector. There seemed be a short squeeze focus today with the beaten down names rallying without news.
While the ASX was only up ~0.5%, the session had a more bullish vibe to it with some big moves at the stock level as news flow heats up ahead of full-year results. The tech sector shone bright, and so too did the telco’s while the energy stocks struggled on weaker oil prices overnight and some confusion around Woodside’s guidance at their quarterly today.
Finally, the ASX popped on the upside just as the BofA’s latest survey of fund managers showed a ‘dire level of investor pessimism’ with the title of the report authored by their Chief (normally bearish) Strategist Michael Hartnett a very fitting way to describe the current mood of markets…’I’m so bearish, I’m bullish”. Money was desperate to get back into risk assets and equities caught a bid today as a result. The small cap index finished more than 2% better today while the ASX200 had its best session since the early days of the new financial year.
While stocks opened marginally lower, it was the RBA minutes from the last board meeting + Deputy Governor Bullock delivering a speech, both of which signalled sharply higher rates that prompted sellers to kick it up a notch, the IT stocks felt the brunt as did healthcare, two sectors heavily influenced by interests rates while Energy, on the other hand, keyed off a 4.6% rally in Crude prices overnight
A solid session to kick off the trading weak with the ASX choppy early on before finding its groove around lunchtime and rallying strongly, closing on its high. The risk sectors rallied with Tech, Materials & Energy all adding more than 2% while the defensive areas were used as funding.
While the ASX ended lower, the intra-day move mirrored that of Wall Street with a sharp sell-off early on followed by a sustained fightback in the latter part of the session, the ASX 200 down ~116pts at the lows before rallying +68points to close the session down 45. Resource stocks the biggest headwind on broad-based selling of commodities overnight while the defensives did their job today.
A disjointed morning before the buyers emerged following inflation data that was marginally tamer than expected printing 6.1% YoY versus the 6.3% consensus, signs that the rate of change in prices may be slowing is a good thing. Healthcare was strong today but the biggest influence from an index perspective came from the banks with CBA the standout up +2.24%.
The market remained in a holding pattern today waiting on Wednesday’s inflation print to get a better read on which direction to jump – although it has crept up to 6-week highs. Energy the standout with Coal stocks, in particular, roaring higher however we saw decent buying right across the sector, offsetting weakness that crept into retailers thanks to a downgrade from Walmart (WMT US) after-market in the US.
We edged tentatively into the new week with the ASX finishing 1pt lower as strength in Materials & Utilities was offset by weakness in Tech & Telcos – the market chopping around in a tight ~25pt range. Domestic inflation data is out on Wednesday which will likely be a big driver of stocks ahead of the US Federal Reserve decision on rates that evening. Consensus is for Aussie inflation to print 6.3% YoY while the US Central Bank is expected to hike rates by another 0.75%.
A flat day on the surface but there were plenty of moving parts underneath seemingly with little rhyme or reason to much of the daily swings. The banks were strong, offsetting weakness in telcos and energy. Tech was also though it was hardly a broad-based rally within the sector. There seemed be a short squeeze focus today with the beaten down names rallying without news.
While the ASX was only up ~0.5%, the session had a more bullish vibe to it with some big moves at the stock level as news flow heats up ahead of full-year results. The tech sector shone bright, and so too did the telco’s while the energy stocks struggled on weaker oil prices overnight and some confusion around Woodside’s guidance at their quarterly today.
Finally, the ASX popped on the upside just as the BofA’s latest survey of fund managers showed a ‘dire level of investor pessimism’ with the title of the report authored by their Chief (normally bearish) Strategist Michael Hartnett a very fitting way to describe the current mood of markets…’I’m so bearish, I’m bullish”. Money was desperate to get back into risk assets and equities caught a bid today as a result. The small cap index finished more than 2% better today while the ASX200 had its best session since the early days of the new financial year.
While stocks opened marginally lower, it was the RBA minutes from the last board meeting + Deputy Governor Bullock delivering a speech, both of which signalled sharply higher rates that prompted sellers to kick it up a notch, the IT stocks felt the brunt as did healthcare, two sectors heavily influenced by interests rates while Energy, on the other hand, keyed off a 4.6% rally in Crude prices overnight
A solid session to kick off the trading weak with the ASX choppy early on before finding its groove around lunchtime and rallying strongly, closing on its high. The risk sectors rallied with Tech, Materials & Energy all adding more than 2% while the defensive areas were used as funding.
While the ASX ended lower, the intra-day move mirrored that of Wall Street with a sharp sell-off early on followed by a sustained fightback in the latter part of the session, the ASX 200 down ~116pts at the lows before rallying +68points to close the session down 45. Resource stocks the biggest headwind on broad-based selling of commodities overnight while the defensives did their job today.
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