INDEPENDENT NEWS

IG Markets - Afternoon thoughts

Published: Fri 17 Dec 2010 08:34 PM
IG Markets - Afternoon thoughts
Across Asia, regional markets are mixed at best despite the positive overnight session on Wall Street. The Kospi is the standout performer, up 0.8% while the Hang Seng is 0.1% firmer. On the downside, the Nikkei 225 is down 0.1% while the Shanghai Composite has given up 0.3%.
In Australia, the ASX 200 is currently 0.2% weaker at 4775, having traded in a tight 13 point range all session. Today we are seeing the cyclical / risk sectors taking a breather with the materials and energy sectors modestly lower, while the financials have given up earlier advances to now be in negative territory. On the upside, the telecoms, healthcare and consumer sectors are all enjoying moderately positive sessions.
Apart for the strength among consumer discretionary names, particularly retailers, the market is positioned pretty defensively as traders retreat to the sidelines ahead of Christmas. Retailers are having a good session; they’ve been hit pretty hard over recent weeks on fears of a tough Christmas trading period. However, it now appears the market is reassessing these assumptions, with participants possibly seeing buying opportunities among oversold names.
There seems to be little correlation between today’s price action and that of the US overnight. Modestly stronger performances from the US materials and energy sectors are not being replicated here, with local stocks choosing to follow weaker commodities leads.
ends

Next in Business, Science, and Tech

Global Screen Industry Unites For Streaming Platform Regulation And Intellectual Property Protections
By: SPADA
General Practices Begin Issuing Clause 14 Notices In Relation To The NZNO Primary Practice Pay Equity Claim
By: Genpro
View as: DESKTOP | MOBILE © Scoop Media