Interdum stultus opportuna loquitur...

Tuesday, August 16, 2005

OzRant: XAO = Abandoned Backpack...

Note - from June 24th 2009, this blog has migrated from Blogger to a self-hosted version. Click here to go straight there.

You can see from the numbers that we have moved into the final phase of 'pass the ticking parcel'. The markets (ours and the US) trade from 'quarter to quarter', with numbers divisible by 25 proving a significant stopping point. Today for instance - the All Ords traded between 4425.5 and 4449.5; if that's not "4425-ish to 4450-ish, I dunno what is.

It's a hallmark of distribution - only 'smart hands' key off index levels in disposing of their stock. The average BHP shareholder couldn't tell you what level the All Ords trades at from one week to the next, but the folks who have turned BHP into the New New Corpse (i.e., the most heavily-traded stock on the exchange) know precisely where the index is; in fact that's about ALL they know.

Not to worry - a rising market makes everyone happy (even if they have naff-all exposure to it), and gives Tom Petrovski a reason to smirk mindlessly in his little sell-side interactions with Sandra Sully. I guess I shouldn't rail too much against poor young Tom - he obviously has a mind the size of a dried chickpea, and is doing what he can with very limited intellectual resources... trying to turn CommSec into CNBC.

Major Market Indices

The broad market - the ASX All Ordinaries (XAO) - rose by 20.80 points (0.47%), finishing at 4446.30 points. The index opened at its low (4425.50) and rose to within 3 points of 4450 within the first 40 minutes of trade. From there it just tried to hold on (in the face of the aforementioned distribution) until some late index futures buying helped generate some arb buying - and helped the All Ords to its intraday high of 4449.50 (set about a half-hour before the close).

I've been concentrating quite hard on learning the breathing pattern of the All Ords/XJO; pretty soon I'm going to have some fun with it. Index reading all depends quite critically on just how far the market can push itself after it's run out of gas; it appears that the XJO is a little more like the Nikkei (or the Hang Seng) than the S&P500 (which can hardly blow out a candle just before a reversal).

It always pays to have a few overs in the nets before taking block in the SPI one-dayers - markets really do have very different characteristics (even though I use the same methodology in all of them). It will be fun - just writing up a comprehensive 'Strategy Paper' on the index will be enthralling. I will do that this weekend, I hope.

But back to today...

Total volume traded on the ASX was 1.05 billion units, 1.6% below its 10-day average. Within the All Ords, 220 stocks rose while 138 fell. Volume was tilted in favour of the gainers by a margin of 1.6:1, with 273.85million shares traded in gainers while 168.14million shares traded in the day's losers.

The Index that forms the cash basis for the SFE's Share Price Index Futures - the S&P/ASX 200 (XJO) - rose by 21.70 points (0.49%), finishing at 4481.20 points.

The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - rose by 12.20 points (0.51%), finishing at 2399.50 points (as close to 2400 as makes no odds). Within the index members, there were 15 that rose, and 5 losers. Total volume in rising issues within the ASX20 amounted to 77 while volume in the losers totalled 25.38m units.

The major winners in the "big guns" were -

  • QBE Insurance Group (QBE), +$0.440 (2.63%) to $17.140 on volume of 2.53m shares;
  • Amcor (AMC), +$0.140 (1.98%) to $7.200 on volume of 3.06m shares;
  • Foster's Group (FGL), +$0.100 (1.76%) to $5.770 on volume of 15.82m shares;
  • AMP Limited (AMP), +$0.120 (1.72%) to $7.090 on volume of 5.7m shares; and
  • Commonwealth Bank Of Australia (CBA), +$0.530 (1.44%) to $37.380 on volume of 5.19m shares.

The following stocks made up the biggest percentage losers in the big-guns:

  • Coles Myer Ltd (CML), -$0.11 (1.12%) to $9.74 on volume of 5.57m shares;
  • BHP Billiton (BHP), -$0.22 (1.04%) to $20.94 on volume of 14m shares; and
  • Woodside Petroleum (WPL), -$0.20 (0.6%) to $33.40 on volume of 1.84m shares; and
  • Rio Tinto (RIO), -$0.27 (0.51%) to $52.75 on volume of 1.69m shares; and
  • Alumina (AWC), -$0.02 (0.33%) to $6.10 on volume of 2.29m shares.

At the smaller end of the market's capitalisation scale, the ASX Small Ordinaries Index (XSO) rose by 14.20 points (0.56%), finishing at 2543.80 points. The major winners in the "pop-guns" were -

  • Austral Coal (AUO), +$0.095 (7.01%) to $1.450 on volume of 50,000 shares;
  • Redflex Holdings (RDF), +$0.170 (5.7%) to $3.150 on volume of 75,000 shares; and
  • Virotec International (VTI), +$0.045 (5.45%) to $0.870 on volume of 189,000 shares; and
  • Petsec Energy (PSA), +$0.075 (4.92%) to $1.600 on volume of 1.08m shares; and
  • Austal (ASB), +$0.080 (4.64%) to $1.805 on volume of 1.13m shares.

The losingest-little-guys for the session were (in order of decline):

  • Resolute Mining (RSG), -$0.055 (4.35%) to $1.210 on volume of 576,000 shares;
  • Kingsgate Consolidated (KCN), -$0.140 (4.01%) to $3.350 on volume of 393,000 shares; and
  • Wattyl (WYL), -$0.100 (3.64%) to $2.650 on volume of 446,000 shares; and
  • Sino Gold (SGX), -$0.070 (3.47%) to $1.950 on volume of 120,000 shares; and
  • Agenix (AGX), -$0.010 (2.74%) to $0.355 on volume of 213,000 shares.
Index Changes
XAOAll Ordinaries4446.320.80.47%543.73m
XTLS&P/ASX 202399.512.20.51%102.38m
XFLS&P/ASX 504404.8180.41%177.75m
XTOS&P/ASX 1003635.517.30.48%323.97m
XJOS&P/ASX 2004481.221.70.49%424.1m
XKOS&P/ASX 3004475.121.60.49%0
XMDS&P/ASX Mid-Cap 504376.437.30.86%0
XSOS&P/ASX Small Ordinaries2543.814.20.56%167.38m

All Ordinaries Market Internals

Market Breadth
Advancing Volume77m189.66m227.3m273.8581.66616.49
Declining Volume25.38m112.81m141.81m168.1440.46291.84

S&P/ASX200 GICS Sector Indices

The top sector for the day was XIJ Information Technology which gained 4.21% to 438.50 points (beta is back - yet another sign of an impending top). The sector was helped by Computershare - click on the link to see the relevant announcement...

  • Computershare (CPU), +$0.470 (7.54%) to $6.700 on volume of 5.68m shares;
  • MYOB (MYO), +$0.025 (2.18%) to $1.170 on volume of 313,000 shares; and
  • Infomedia Ltd (IFM), +$0.010 (1.75%) to $0.580 on volume of 226,000 shares.

Second in the sector leadership stakes was XHJ Healthcare which gained 1.37% to 5462.50 points. The sector leaders were -

  • Cochlear (COH), +$1.640 (4.33%) to $39.500 on volume of 462,000 shares;
  • Resmed Inc (RMD), +$0.300 (3.55%) to $8.760 on volume of 369,000 shares;
  • Ansell (ANN), +$0.240 (2.45%) to $10.040 on volume of 248,000 shares;
  • Peptech (PTD), +$0.030 (2.08%) to $1.470 on volume of 478,000 shares; and
  • Novogen (NRT), +$0.090 (1.83%) to $5.020 on volume of 40,000 shares.

The bronze today went to XXJ ASX200 Financials ex Property Trusts which gained 1.05% to 5310.10 points. The sector was led by

  • Bendigo Bank (BEN), +$0.300 (2.97%) to $10.400 on volume of 325,000 shares;
  • Lend Lease Corporation (LLC), +$0.380 (2.82%) to $13.860 on volume of 1.52m shares;
  • QBE Insurance Group (QBE), +$0.440 (2.63%) to $17.140 on volume of 2.53m shares;
  • Australand Property Group (ALZ), +$0.030 (1.78%) to $1.720 on volume of 1.94m shares; and
  • AMP Limited (AMP), +$0.120 (1.72%) to $7.090 on volume of 5.7m shares.

The worst-performed sector today was XEJ Energy which lost 0.56% to 10346.10 points. The sector was dragged lower by

  • Arc Energy (ARQ), -$0.050 (2.27%) to $2.150 on volume of 1.62m shares;
  • Hardman Resources (HDR), -$0.040 (1.59%) to $2.470 on volume of 1.63m shares;
  • Tap Oil (TAP), -$0.050 (1.55%) to $3.170 on volume of 901,000 shares;
  • Santos (STO), -$0.140 (1.26%) to $10.990 on volume of 1.84m shares; and
  • Woodside Petroleum (WPL), -$0.200 (0.6%) to $33.400 on volume of 1.84m shares.

Just in front of last place on the sector table was XMJ Materials which lost 0.45% to 8252.50 points. The sector was pulled down by

  • Oxiana (OXR), -$0.080 (6.58%) to $1.135 on volume of 32.49m shares;
  • Kingsgate Consolidated (KCN), -$0.140 (4.01%) to $3.350 on volume of 393,000 shares;
  • Wattyl (WYL), -$0.100 (3.64%) to $2.650 on volume of 446,000 shares;
  • Lihir Gold (LHG), -$0.050 (3.4%) to $1.420 on volume of 7.96m shares; and
  • Boral (BLD), -$0.240 (3.23%) to $7.180 on volume of 5.74m shares.
Sector Indices
CodeGICS SectorClose+/-%Volume
XIJInformation Technology438.517.74.21%9.12m
XXJASX200 Financials ex Property Trusts5310.155.11.05%46.98m
XSJConsumer Staples5857.143.40.75%44.59m
XDJConsumer Discretionary2335.94.60.2%24.86m
XPJProperty Trusts1841.13.50.19%73.52m

All Ordinaries Major Movers

All Ords Volume Leaders
TLSTelstra Corporation4.850.040.83%24.58m
FGLFoster's Group5.770.101.76%15.82m
BHPBHP Billiton20.94-0.22-1.04%14m

All Ords Percentage Gainers
OMIOccupational & Medical Innovations0.730.1628.07%231899
SRLStraits Resources2.370.198.72%797056
AUOAustral Coal1.450.17.01%50000

All Ords Percentage Decliners
ETWEvans & Tate0.33-0.07-17.72%1.78m
TPXTasmanian Perpetual Trustees6.2-0.6-8.82%49515
BTABiota Holdings0.73-0.04-5.23%3.92m
COUCount Financial1.47-0.08-4.85%181766

Elsewhere in the Region...

Regional Indices
New ZealandNZSE503356.9418.890.57%28.11m
JapanNikkei 22512315.6759.120.48%0
SingaporeStraits Times2296.2816.520.72%0
Hong KongHang Seng15414.41-51.65-0.33%197.06m
MalaysiaKLSE Comp928.280.360.04%0