Proactive Investors
Published Apr 08, 2024 09:36
Updated Apr 08, 2024 10:00
The morning catch up: ASX to rise today after Wall St rebound
After a copping battering to finish last week, the ASX is set to rise today, with ASX 200 futures up 0.5% to 7,853 points.
The ASX200 finished 123 points or 1.57% lower last week at 7,773.
It was an interesting week for the local market last week, after striking a fresh record high early in the week, the ASX200 felt the pressure from rising geopolitical tensions and headwinds from Wall Street.
Looking at the sectors, IT fell 4.64%, Real Estate lost 3.91%) and Health Care dropped 2.88%. Conversely, Utilities gained 0.16%, while Energy was up 0.06%.
Novonix (ASX:NVX) was the best-performing stock gaining 17.44%, Platinum Asset Management made 9.26%, Evolution Mining was 8.94% higher, and South32gained 7.33%. On the flipside, Synlait Milk Ltd lost 18.845), Orora Ltd took a 18.75% dive, Block Inc (NYSE:SQ) lost 11.44% and Zip (ASX:ZIP) Ltd dipped 10.07%.
“The local data calendar is light this week, with the market expecting a bounce in home loans on Monday (+2.2% exp from -4.6% prior) and a bounce in consumer confidence after the minutes from the RBA’s March Board meeting showed that the RBA did not consider raising rates for the first time in nearly two years,” IG Markets analyst Tony Sycamore wrote.
US movements
Looking at the US markets, Sycamore wrote, “US stock markets rebounded on Friday, supported by Megatech, despite a firmer-than-expected jobs report that sent yields to their highest closing level this year. For the week, the Dow Jones shed 903 points (-2.27%), the S&P500 lost -0.95% and the Nasdaq lost -0.80%.
“Friday's non-farm payrolls report showed the US economy added 303,000 jobs in March, 100,000 more than the consensus forecast. The unemployment rate ticked lower to 3.8% from 3.9% prior. Providing comfort, average hourly earnings fell to 4.1% YoY, the lowest level since the pandemic, along with Fed chair Powell’s comments at the March 20 FOMC presser that a strong labour market won’t warrant a delay to rate cuts.
“This week's data-laden calendar includes CPI, PPI and retail sales reports for March along with the release of the FOMC meeting minutes. Fed Members Bowman, Goolsbee, Williams, Collins, Bostic, and Daly are scheduled to give speeches.
Finally, the Q1 2024 earnings season kicks off with reports scheduled from JP Morgan, Wells Fargo (NYSE:WFC), Citigroup, State Street (NYSE:STT), and Blackrock (NYSE:BLK).”
Europe, currencies and commodities
(source Commsec)
European sharemarkets closed lower on Friday.
Benchmark indexes across all major European economies, such as Germany, France, Italy and Spain fell over 1% each.
At a sectoral level, retail and utilities stocks lost about 2% each, while household goods shed 1.7%.
Currencies
Were weaker against the US dollar in European and US trade.
Commodities
Global oil prices rose more than US$1 a barrel during trade on Friday as markets watched for signs of any direct conflict between Israel and Iran that could further tighten supplies.
For the week, copper jumped 5.9% with aluminium up 4.9%.
On the small cap front
The S&P/ASX Small Ordinaries (XSO) dropped 0.95% on Friday and was down 0.29% for the week to 3,069.90.
It has been a reasonable start on the news front and you can read about the following and more throughout the day.
Read more on Proactive Investors AU
Disclaimer
Written By: Proactive Investors
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.