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Sheesh...Never let it be said that Hope does not spring eternal. Frankly, the stampede into stocks today is vaguely ludicrous - but it makes for a nice jumping-off point for the new Rant season. I am typing this within the hated WinXP partition of the RantBox - but I hope that this will be the last time I need to do so.
The ticket-clipping community would be very hugely relieved at the massive influx of ticket-clippings that they will have connected today - it will save them the embarrassment of having to send their new leased hairdresser-BMWs back to the dealers.
But ask yourself - This seemingly out-of-the-blue lurch upwards... Was it predictable?
You bet your sweet tuches it was. In fact it was predicted by me last week in the heads-up announcing the return to normal rants-mission. I'm not just good-looking, y'know.If you thought that today was the start of something big, you were right. It's not the start of Days of Wine and Roses, however. It is the beginning of the end of a generational market, and the terminal phase of Life As We Know It. That is, today is not the first day of the next leg up; if one was to short today and ride the tiger, one would retire mind-bogglingly rich within a year. The next week or so would give one pause for thought (since there might be some follow through once tomorrow's pullback is finished), but for position types with moderately deep pockets this is the best shorting opportunity since May, and the odds of a significant new high in ANY of the global equities markets is as near to zero as makes no odds.
OK. That's the colours nailed to the mast (although the last shorting opportunity I identified (back in February) turned out to be VERY short term).
Let's move to the generated bits...
Major Market Indices
The broad market - the ASX All Ordinaries (XAO) - surged a whopping 256.20 points (4.52%), finishing at 5926.50 points. At first I thought it was a cockup in the RantSheet - it has been so long since they were fired in anger. But nope, there it was. The Ordinaires hit an intraday high of 5926.50 at the closing bell, just exceeding the intraday high set just after 1:30 p.m.; it was primarily a morning surge - the overwhelming bulk of the day's rise happened in the first 2 hours of trade. The low was 5670.3 - set at the open... Duh.
Total volume traded on the ASX was 2.11 billion units, 70.7% above its 10-day average. Of the 483 stocks in the index, 242 rose while 25 fell. Volume was tilted in favour of the gainers by a margin of 7.6:1, with 532.93million shares traded in gainers while 69.78million 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 261.60 points (4.61%), finishing at 5932.60 points.
The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - rose by 142.00 points (4.65%), finishing at 3195.50 points. Within the index members, there were 18 that rose, and 1 loser (Telstra). Total volume in rising issues within the ASX20 amounted to 107.82 million shares, while volume in the losers totaled 54.64m units.
The major winners in the "big guns" were -
- QBE Insurance Group (QBE), +$3.020 (10.98%) to $30.520 on volume of 5.67m shares;
- Alumina (AWC), +$0.570 (9.58%) to $6.520 on volume of 8.56m shares;
- Macquarie Bank (MBL), +$6.010 (9.28%) to $70.750 on volume of 4.67m shares;
- BHP Billiton (BHP), +$2.460 (7.58%) to $34.900 on volume of 26.01m shares; and
- AMP Limited (AMP), +$0.660 (7.18%) to $9.850 on volume of 7.02m shares.
The following stocks made up the biggest percentage losers in the big-guns:
- Telstra Corporation (TLS), -$0.050 (1.18%) to $4.190 on volume of 54.64m shares;
At the smaller end of the market's capitalisation scale, the ASX Small Ordinaries Index (XSO) - the only place where underexploited value exists with any regularity - rose by 150.50 points (4.41%), finishing at 3563.20 points. The major winners in the "pop-guns" were -
- Silex Systems (SLX), +$1.130 (17.88%) to $7.450 on volume of 411,000 shares;
- Lynas Corporation (LYC), +$0.120 (13.95%) to $0.980 on volume of 3.48m shares; and
- Globe International (GLB), +$0.130 (12.38%) to $1.180 on volume of 6,000 shares; and
- Mincor Resources (MCR), +$0.320 (12.03%) to $2.980 on volume of 1.04m shares; and
- Mosaic Oil (MOS), +$0.015 (12%) to $0.140 on volume of 2.52m shares.
The losingest-little-guys for the session were (in order of decline):
- ERG (ERG), -$0.010 (7.69%) to $0.120 on volume of 2.05m shares;
- Cellestis (CST), -$0.180 (7.26%) to $2.300 on volume of 86,000 shares; and
- Capral Aluminium (CAA), -$0.030 (6%) to $0.470 on volume of 257,000 shares; and
- Novogen (NRT), -$0.095 (5.01%) to $1.800 on volume of 57,000 shares; and
- G.U.D. Holdings (GUD), -$0.450 (4.4%) to $9.780 on volume of 1.09m shares.
Index Changes
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XAO | All Ordinaries | 5926.5 | 256.2 | 4.52% | 631.37m |
| XTL | S&P/ASX 20 | 3195.5 | 142 | 4.65% | 0 |
| XFL | S&P/ASX 50 | 5775.3 | 248.8 | 4.5% | 275.77m |
| XTO | S&P/ASX 100 | 4796 | 211.4 | 4.61% | 416.4m |
| XJO | S&P/ASX 200 | 5932.6 | 261.6 | 4.61% | 517.46m |
| XKO | S&P/ASX 300 | 5941.3 | 260.6 | 4.59% | 1495.97m |
| XMD | S&P/ASX Mid-Cap 50 | 5991.2 | 297.5 | 5.23% | 375.51m |
| XSO | S&P/ASX Small Ordinaries | 3563.2 | 150.5 | 4.41% | 176.97m |
All Ordinaries Market Internals
As might be expected on a day when idiotic optimism trumped reason, the breadth was tilted enormously in favour of advancing stocks. This is not a 'sigh of relief' as a result of the disgusting display of Corporate Welfare distributd by Central Banks last week - this is a hit from the Crack Pipe of Hope. If EVER you hear some sharp-suited ticket-clipper complaining about taxation being used to fund the lifestyles of the indolent welfare-exploiting masses, simply refer to this period of history as one in which the financial classes were exculpated from the consequences of their (predictable) stupid decisions... by Government handouts. Then spit on him annd give him a good dose of Rochambeau (i.e., a good kick "Squwayah in da Nertz" as Cartmann might once have said). Parasites - I would rather give tax money to the underprivileged ten times a week, than give handouts to the scum who are so full of their own self-importance that they seriously think that the OUGHT to have their arss rescued from the fire.
Market Breadth
| ASX20 | XTO | XJO | XAO | XSO | Market | |
|---|---|---|---|---|---|---|
| Advances | 18 | 78 | 141 | 242 | 119 | 1124 |
| Declines | 1 | 3 | 8 | 25 | 19 | 212 |
| Advancing Volume | 107.82m | 351.4m | 437.94m | 532.93 | 143.16 | 1897.9 |
| Declining Volume | 54.64m | 58.77m | 58.61m | 69.78 | 9.1 | 136.6 |
S&P/ASX200 GICS Sector Indices
The top sector for the day was XMJ Materials which gained 7.10% to 12499.40 points. The sector was helped by
- Oxiana (OXR), +$0.380 (12.97%) to $3.310 on volume of 20.26m shares;
- Zinifex (ZFX), +$1.720 (11.72%) to $16.400 on volume of 6.98m shares;
- Minara Resources (MRE), +$0.510 (11.09%) to $5.110 on volume of 2.08m shares;
- Great Southern Plantations (GTP), +$0.200 (9.8%) to $2.240 on volume of 1.11m shares; and
- Alumina (AWC), +$0.570 (9.58%) to $6.520 on volume of 8.56m shares.
Second in the sector leadership stakes was XEJ Energy which gained 6.10% to 12906.30 points. The sector leaders were -
- Roc Oil Company (ROC), +$0.280 (10.49%) to $2.950 on volume of 1.44m shares;
- Tap Oil (TAP), +$0.150 (9.68%) to $1.700 on volume of 720,000 shares;
- Caltex Australia (CTX), +$1.810 (8.71%) to $22.580 on volume of 714,000 shares;
- Worleyparsons (WOR), +$2.280 (7.89%) to $31.180 on volume of 1.18m shares; and
- Oil Search (OSH), +$0.200 (6.25%) to $3.400 on volume of 9.14m shares.
The bronze today went toXXJ ASX200 Financials ex Property Trusts which gained 5.15% to 7061.90 points. The sector was led by
- Challenger Financial Services Group (CGF), +$0.460 (11.27%) to $4.540 on volume of 2.3m shares;
- QBE Insurance Group (QBE), +$3.020 (10.98%) to $30.520 on volume of 5.67m shares;
- Macquarie Bank (MBL), +$6.010 (9.28%) to $70.750 on volume of 4.67m shares;
- Bank Of Queensland (BOQ), +$1.180 (7.22%) to $17.530 on volume of 204,000 shares; and
- AMP Limited (AMP), +$0.660 (7.18%) to $9.850 on volume of 7.02m shares.
The worst-performed sector today - the only sector which registered a deline - was XTJ Telecommunications which lost 1.02% to 1478.60 points. The sector was dragged lower by
- Telstra Corporation (TLS), -$0.050 (1.18%) to $4.190 on volume of 54.64m shares; and
- Telecom Corporation Of New Zealand (TEL), -$0.030 (0.85%) to $3.510 on volume of 2.54m shares.
Sector Indices
| Code | GICS Sector | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XMJ | Materials | 12499.4 | 828.1 | 7.1% | 114.98m |
| XEJ | Energy | 12906.3 | 741.7 | 6.1% | 27.72m |
| XXJ | ASX200 Financials ex Property Trusts | 7061.9 | 345.9 | 5.15% | 71.65m |
| XIJ | Information Technology | 572.6 | 25.5 | 4.66% | 4.71m |
| XHJ | Healthcare | 8358.9 | 343.4 | 4.28% | 9.61m |
| XSJ | Consumer Staples | 7716.4 | 266.2 | 3.57% | 17.17m |
| XNJ | Industrials | 6654.4 | 211.9 | 3.29% | 51.3m |
| XDJ | Consumer Discretionary | 2699.4 | 81.3 | 3.11% | 41.99m |
| XUJ | Utilities | 7275.3 | 211.1 | 2.99% | 17.18m |
| XPJ | Property Trusts | 2251.9 | 53.3 | 2.42% | 99.9m |
| XFJ | Financials | 6789.5 | 294.7 | 0% | 164.89m |
| XTJ | Telecommunications | 1478.6 | -15.3 | -1.02% | 57.18m |
All Ordinaries Major Movers
All Ords Volume Leaders
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| TLS | Telstra Corporation | 4.19 | -0.05 | -1.18% | 54.64m |
| BHP | BHP Billiton | 34.9 | 2.46 | 7.58% | 26.01m |
| ADY | Admiralty Resources. | 0.35 | 0.07 | 25.45% | 23.05m |
| OXR | Oxiana | 3.31 | 0.38 | 12.97% | 20.26m |
| WMT | Western Metals | 0.16 | 0.02 | 10.71% | 18.09m |
| SDL | Sundance Resources | 0.4 | 0 | 0% | 15.99m |
All Ords Percentage Gainers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| SLX | Silex Systems | 7.45 | 1.13 | 17.88% | 411203 |
| CBH | CBH Resources | 0.51 | 0.08 | 17.44% | 4.99m |
| CNT | Centamin Egypt | 1.1 | 0.14 | 14.58% | 202596 |
| MND | Monadelphous Group | 13.29 | 1.69 | 14.57% | 328764 |
| LYC | Lynas Corporation | 0.98 | 0.12 | 13.95% | 3.48m |
All Ords Percentage Decliners
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| ERG | ERG | 0.12 | -0.01 | -7.69% | 2.05m |
| CST | Cellestis | 2.3 | -0.18 | -7.26% | 85532 |
| CAA | Capral Aluminium | 0.47 | -0.03 | -6% | 256888 |
| TRU | Trust Company Of Australia | 11.1 | -0.6 | -5.13% | 24916 |
| NRT | Novogen | 1.8 | -0.1 | -5.01% | 57406 |
Elsewhere in the Region...
Regional Indices
| Country | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| New Zealand | NZSE50 | 3982.375 | 88.03 | 2.26% | 22.7m |
| Japan | Nikkei 225 | 15732.48 | 458.8 | 3% | -na- |
| Korea | KOSPI | 1731.27 | 93.2 | 5.69% | 363826 |
| Singapore | Straits Times | 3307.79 | 177.08 | 5.66% | -na- |
| Hong Kong | Hang Seng | 21384.67 | 997.54 | 4.89% | 791.64m |
| Malaysia | KLSE Comp | 1191.55 | -16.06 | -1.33% | 0 |
