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Friday. Is there any day with fewer redeeming features? Sure, it means only one more sleep until the weekend - but the telly is always crap (although of course there's always a movie). Personally I think that 'organised' weekends should be abolished; people should negotiate which 2 days they get off per week rather than bringing 90% of the economic machine to a crawl for 2 days.
That brings me to a new term I heard this week (but had forgotten until now): GeoArb. It's short for Geographic Arbitrageur; the idea that thanks to massive improvements in communications technology, 'knowledge workers' can live somewhere other than a big city (where everything is 'spensive) - thus being able to afford a better lifestyle.
So cosider the case of The Lovely Sarah: when we were in Berrigan, she was perfectly able to do the legals for a $450 million bond rollover for a major (listed) steel company (and we didn't even have proper broadband!). I think that there would be cries of 'Oi Vey' if Moshe the Butcher's grandkids knew that the contract for their new debt was done in the upstairs bedroom of a country pub, with the senior associate wearing a 'flannie' and tracksuit pants - they're the kind of folks who think that someone has to wear a suit to be smart.
As an idea, it's wonderful. After last night's little doco on the ABC, I could be very happy renting one of 'Fucker' Fulford's cottages, and being able to Rant away in the English countryside. I've also considered renting Bill Bonner's gate house at Ouzilly to do likewise from the French countryside. At the moment, the Victorian countryside is perfectly satisfactory, but you know what Australia is like in summer... plus, there's that new sedition legislation to consider...
Anyhow - things are proceeding apace at the current Chez Rant. The Lovely Sarah taking up her Paris secondment later this month (a non-GeoArb slot with Jeantet, which is on the Avenue Kleber in Paris). I'm staying put - I coudn't live in Paris, although finding a little farmhouse outside St-Germain-en-Lay (or somewhere north of the city, even) appeals. But then The Lovely would have to retain a pied a terre in Paris, or commute 90 minutes each way... that's a non-starter. so Ballan it is.
And also I would be able to do all the pre-market analysis for the Australian market while you all were asleep - and do likewise for the US market (since the US market open lags France by 6 hours).
Major Market Indices
The broad market - the ASX All Ordinaries (XAO) - rose by 24.50 points (0.55%), finishing at 4516.80 points. The index opened at its low (4492.3) and positively skyrocketed in the first 20 minutes of trade, hitting 4520 during that time. From there it was a matter of holding the gains, if possible. This was borne out by the failure of the All Ords to get any higher than 4520 until one little 10 minute burst starting at 12:40p.m.; that burst took the indices to their session high, which for the All Ords was 4526.80 (4525-ish), ten minutes later. As usual with an opening orgasm, the index finished well below its first hour high.
Total volume traded on the ASX was 1.19 billion units, 18.5% above its 10-day average. Of the 483 stocks in the index, 157 rose while 127 fell. Volume was tilted in favour of the gainers by a margin of 1.4:1, with 364.72million shares traded in gainers while 262.58million 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 30.60 points (0.67%), finishing at 4574.30 points.
The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - rose by 21.50 points (0.88%), finishing at 2468.90 points. Within the index members, there were 19 that rose, and 1 loser - our old pal Woodside Petroleum (WPL), -$1.350 (4.07%) to $31.800 on volume of 2.21m shares. WPL continues to suffer because of falling energy prices. Total volume in rising issues within the ASX20 amounted to 116.03m shares while volume in the losers totalled 2.21m units.
The major winners in the "big guns" were -
- Woolworths (WOW), +$0.410 (2.45%) to $17.130 on volume of 2.75m shares;
- Macquarie Bank (MBL), +$1.670 (2.44%) to $70.000 on volume of 622,000 shares;
- Wesfarmers (WES), +$0.700 (1.93%) to $36.950 on volume of 1.35m shares;
- Telstra Corporation (TLS), +$0.080 (1.89%) to $4.310 on volume of 37.28m shares; and
- Westpac Banking Corporation (WBC), +$0.400 (1.81%) to $22.450 on volume of 10.54m shares.
At the smaller end of the market's capitalisation scale, the ASX Small Ordinaries Index (XSO) fell by 0.20 points (-0.01%), finishing at 2535.20 points. The major winners in the "pop-guns" were -
- Lynas Corporation (LYC), +$0.010 (8.33%) to $0.130 on volume of 222,000 shares;
- Croesus Mining (CRS), +$0.020 (6.15%) to $0.345 on volume of 4.96m shares; and
- Schaffer Corporation (SFC), +$0.230 (5.41%) to $4.480 on volume of 29,000 shares; and
- Oceana Gold (OGD), +$0.030 (4.58%) to $0.685 on volume of 798,000 shares; and
- Kresta Holdings (KRS), +$0.010 (4.55%) to $0.230 on volume of 26,000 shares.
The losingest-little-guys for the session were (in order of decline):
- Volante Group (VGL), -$0.260 (21.67%) to $0.940 on volume of 6.5m shares;
- Clough (CLO), -$0.030 (6.82%) to $0.410 on volume of 259,000 shares; and
- Multiemedia (MUL), -$0.001 (6.67%) to $0.014 on volume of 78.69m shares; and
- Centennial Coal Company (CEY), -$0.190 (4.76%) to $3.800 on volume of 3.71m shares; and
- Hardman Resources (HDR), -$0.075 (3.84%) to $1.880 on volume of 6.74m shares.
Index Changes
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XAO | All Ordinaries | 4516.8 | 24.5 | 0.55% | 702.19m |
| XTL | S&P/ASX 20 | 2468.9 | 21.5 | 0.88% | 0 |
| XFL | S&P/ASX 50 | 4490.2 | 35.9 | 0.81% | 250.8m |
| XTO | S&P/ASX 100 | 3717.7 | 26.9 | 0.73% | 402.52m |
| XJO | S&P/ASX 200 | 4574.3 | 30.6 | 0.67% | 528.32m |
| XKO | S&P/ASX 300 | 4565.5 | 30 | 0.66% | 0 |
| XMD | S&P/ASX Mid-Cap 50 | 4555 | 12.2 | 0.27% | 0 |
| XSO | S&P/ASX Small Ordinaries | 2535.2 | -0.2 | -0.01% | 235.01m |
All Ordinaries Market Internals
Market Breadth
| ASX20 | XTO | XJO | XAO | XSO | Market | |
|---|---|---|---|---|---|---|
| Advances | 19 | 61 | 97 | 157 | 73 | 486 |
| Declines | 1 | 27 | 71 | 127 | 80 | 467 |
| Advancing Volume | 116.03m | 265.01m | 312.97m | 364.72 | 71.2 | 616.64 |
| Declining Volume | 2.21m | 113.78m | 156.21m | 262.58 | 143.1 | 436.18 |
S&P/ASX200 GICS Sector Indices
The top sector for the day was the two-stock XTJ Telecommunications index which gained 1.63% to 1562.10 points. The sector's daily result is dominated by Telstra 9 times out of ten, and today was no different:
- Telstra Corporation (TLS), +$0.080 (1.89%) to $4.310 on volume of 37.28m shares; and
- Telecom Corporation Of New Zealand (TEL), +$0.020 (0.37%) to $5.410 on volume of 3.18m shares.
Second in the sector leadership stakes was XSJ Consumer Staples which gained 1.40% to 5940.60 points. The sector leaders were -
- Woolworths (WOW), +$0.410 (2.45%) to $17.130 on volume of 2.75m shares;
- Burns, Philp & Company (BPC), +$0.010 (0.88%) to $1.145 on volume of 8.65m shares;
- AWB (AWB), +$0.040 (0.75%) to $5.390 on volume of 518,000 shares;
- Ridley Corporation (RIC), +$0.005 (0.36%) to $1.375 on volume of 1.14m shares; and
- Foster's Group (FGL), +$0.010 (0.17%) to $5.760 on volume of 3.46m shares.
The bronze today went to XNJ Industrials which gained 1.30% to 5219.10 points. The sector was led by
- Qantas Airways (QAN), +$0.100 (2.81%) to $3.660 on volume of 15.06m shares;
- Leighton Holdings (LEI), +$0.370 (2.45%) to $15.450 on volume of 492,000 shares;
- Macquarie Infrastructure Group (MIG), +$0.070 (1.95%) to $3.660 on volume of 13.54m shares;
- Wesfarmers (WES), +$0.700 (1.93%) to $36.950 on volume of 1.35m shares; and
- Hills Industries (HIL), +$0.070 (1.49%) to $4.780 on volume of 164,000 shares.
The worst-performed sector today was XEJ Energy which lost 2.77% to 9835.90 points. The sector was dragged lower by
- Caltex Australia (CTX), -$1.100 (5.05%) to $20.700 on volume of 725,000 shares;
- Woodside Petroleum (WPL), -$1.350 (4.07%) to $31.800 on volume of 2.21m shares;
- Hardman Resources (HDR), -$0.075 (3.84%) to $1.880 on volume of 6.74m shares;
- Roc Oil Company (ROC), -$0.070 (2.85%) to $2.390 on volume of 1.06m shares; and
- Arc Energy (ARQ), -$0.040 (2.3%) to $1.700 on volume of 994,000 shares.
Just in front of last place on the sector table was XIJ Information Technology which lost 0.29% to 443.70 points. The sector was pulled down by
- Infomedia Ltd (IFM), -$0.015 (2.75%) to $0.530 on volume of 972,000 shares;
- Vision Systems (VSL), -$0.020 (1.2%) to $1.650 on volume of 583,000 shares;
- Baycorp Advantage (BCA), -$0.020 (0.6%) to $3.300 on volume of 337,000 shares;
- ERG (ERG), -$0.000 (0%) to $0.125 on volume of 2.63m shares; and
- Computershare (CPU), -$0.000 (0%) to $6.850 on volume of 1.15m shares.
Sector Indices
| Code | GICS Sector | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XTJ | Telecommunications | 1562.1 | 25.1 | 1.63% | 40.46m |
| XSJ | Consumer Staples | 5940.6 | 82.1 | 1.4% | 21.95m |
| XNJ | Industrials | 5219.1 | 67.1 | 1.3% | 76.7m |
| XXJ | ASX200 Financials ex Property Trusts | 5642.6 | 63.9 | 1.15% | 62.52m |
| XFJ | Financials | 5456.6 | 49.2 | 0.91% | 211.67m |
| XMJ | Materials | 8429.7 | 39.4 | 0.47% | 108.7m |
| XHJ | Healthcare | 6100 | 21.8 | 0.36% | 9.5m |
| XDJ | Consumer Discretionary | 2217.5 | 7.6 | 0.34% | 24.63m |
| XUJ | Utilities | 5262.1 | 5.5 | 0.1% | 3.07m |
| XPJ | Property Trusts | 1845.3 | 0.8 | 0.04% | 158.76m |
| XIJ | Information Technology | 443.7 | -1.3 | -0.29% | 6.42m |
| XEJ | Energy | 9835.9 | -279.9 | -2.77% | 24.87m |
All Ordinaries Major Movers
All Ords Volume Leaders
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| TLS | Telstra Corporation | 4.31 | 0.08 | 1.89% | 37.28m |
| DRT | DB Rreef Trust | 1.34 | -0.01 | -0.37% | 33.95m |
| BTA | Biota Holdings | 1.95 | 0.52 | 36.01% | 31.52m |
| MCW | Macquarie Countrywide Trust | 1.9 | -0.01 | -0.52% | 24.18m |
| MDT | Macquarie Ddr Trust | 1.16 | 0.01 | 0.43% | 15.46m |
| QAN | Qantas Airways | 3.66 | 0.1 | 2.81% | 15.06m |
All Ords Percentage Gainers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| BTA | Biota Holdings | 1.95 | 0.52 | 36.01% | 31.52m |
| PLT | Polartechnics | 0.14 | 0.02 | 17.39% | 461152 |
| PBT | Prana Biotechnology | 0.29 | 0.02 | 7.55% | 584938 |
| CRS | Croesus Mining | 0.35 | 0.02 | 6.15% | 4.96m |
| SFC | Schaffer Corporation | 4.48 | 0.23 | 5.41% | 29151 |
All Ords Percentage Decliners
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| VGL | Volante Group | 0.94 | -0.26 | -21.67% | 6.5m |
| GFD | Green's Foods | 0.57 | -0.06 | -8.87% | 176118 |
| CLO | Clough | 0.41 | -0.03 | -6.82% | 259176 |
| MUL | Multiemedia | 0.014 | -0.001 | -6.67% | 78.69m |
| CTX | Caltex Australia | 20.7 | -1.1 | -5.05% | 724814 |
Elsewhere in the Region...
Regional Indices
| Country | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| New Zealand | NZSE50 | 3269.44 | -12.13 | -0.37% | 27.09m |
| Japan | Nikkei 225 | 14172.1 | 91.22 | 0.65% | 0 |
| Korea | KOSPI | 1256.12 | 21.69 | 1.76% | 577245 |
| Singapore | Straits Times | 2270.44 | 12.19 | 0.54% | 0 |
| Hong Kong | Hang Seng | 14755.32 | 121.99 | 0.83% | 178.43m |
| Malaysia | KLSE Comp | 896.94 | -4.15 | -0.46% | 0 |
