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As I said yesterday, the long-side call made at 10:40-ish Oz time yesterday was a crap call - mostly thanks to the glitch at CommSec which threw out the timing of the predictable nuffie-dump; instead of a genuine nuffie spike during the opening half hour, we got the extended nuffie dump remix which unfolded over the whole day.
Today was much more like a typical nuffnuff day: the majority of the upside action happened in the first half hour, and from there the headline All Ords index fell 150 points over the next five hours, and the close was fully 120 points below the 10:30 a.m. level. So the nuffnuff theorem worked perfectly - the nuffies got the idea in their heads that all was rosy, and jumped in at the open, and got torched. That's the way nuffiedom works.
Anyhow - anyone who bought leveraged upside exposure (of whatever form) at 10:45 yesterday (giving them time to read the OzRant Supp and take action) had a very easy double within half an hour of the open this morning. It took a lot longer than the five hours previewed yesterday, unfortunately, and it had to withstand an unacceptable negative excursion, but it was as plain as the nose on my face that a bounce was going to happen. Sure, the Fed's rate cute in the US was a catalyst, but knowing the catalyst ex post facto is just the icing on the cake... the key thing is being able to assess if the conditions are setting up such that the market is seeking a catalyst.
In other words, the market was not going to have another down day, regardless as to whether the Fed cut or not. It was clear.
Major Market Indices
The broad market - the All Ordinaries (XAO) - surged a whopping 223.6 points (4.28%), finishing at 5445.6 points. Looks good until you see that the index hit an intraday high of 5567 at 10:325 a.m., and ignoring the open (a statistical artefact) the trading low for the session was 5405 at 3:40 p.m. - 150 points below the high. Anyone who went long at the open finished underwater.
Total volume traded on the ASX was 2.22 billion units, 70% above its 10-day average. The ASX's daily listing of all stocks included 1538 different 3-letter FPO's which traded (i.e., had non-zero trade volume). Of these, 1001 issues rose, with volume in rising issues totalling 1.79 billion units. Conversely (or even contrariwise), 329 stocks were dragged below the Plimsoll line, with aggregate volume traded of 310.3 million shares.
Of the 478 All Ordinaries components, 349 rose while 94 fell. Volume was tilted in favour of the gainers by a margin of 5.4:1, with 1.16 billion shares traded in gainers while 213.68 million 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) - hurtled skyward to the tune of 225.5 points (4.35%), closing out the session at 5412.3 points.
The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - had a bit of a moonshot, stacking on 128.1 points (4.46%), closing out the session at 2997.7 points.
Among the 20 big guns, things were relatively upbeat: only one index component sought to rain on the bull's parade. The 21 stocks (remember there are two bits of Telstra) which make up the index traded a total of 279.3 million units; 20 index components rose, with rising volume amounting to 268.26 million shares, while the sole declining stock traded 11.04 million units. The major percentage gainers within the index were
- Telstra (Installment Receipts) (TLSCA), +$0.27 (10.89%) to $2.75 on volume of 63.2 million shares;
- BHP Billiton Limited (BHP), +$3.04 (9.81%) to $34.04 on volume of 27 million shares;
- Wesfarmers Limited (WES), +$2.49 (7.66%) to $34.99 on volume of 3.3 million shares;
- Woodside Petroleum Limited (WPL), +$3.11 (7.59%) to $44.08 on volume of 4.3 million shares; and
- Telstra Corporation Limited. (TLS), +$0.28 (6.93%) to $4.32 on volume of 56.1 million shares.
On the less salubrious side of the big-cap fence, the following stocks were the worst-performed within the index:
- National Australia Bank Limited (NAB), -$0.2 (0.61%) to $32.70 on volume of 11 million shares.
At the other end of the market-cap spectrum lie the denizens of the ASX Small Ordinaries (XSO). The small end of the market slightly underperformed its large-cap counterpart. The Small Ords had a bit of a moonshot, stacking on 112.3 points (3.71%), closing out the session at 3142.2 points.
Among the stocks that make up the Small Caps index, 138 index components finished to the upside, and of the rest, 46 closed lower for the session.
The 192 stocks which make up the index traded a total of 411.6 million units: volume in the 138 gainers totalling 349.59 million shares, with trade totalling 52.82 million units in the index's 46 declining components. The major percentage gainers within the index were- Deep Yellow Limited (DYL), +$0.07 (38.89%) to $0.25 on volume of 8.4 million shares;
- Timbercorp Limited (TIM), +$0.19 (23.75%) to $0.99 on volume of 7.8 million shares;
- City Pacific Limited (CIY), +$0.50 (21.65%) to $2.81 on volume of 1.4 million shares;
- Bannerman Resources Limited (BMN), +$0.43 (19.11%) to $2.68 on volume of 633.9 thousand shares; and
- St Barbara Limited (SBM), +$0.11 (17.74%) to $0.73 on volume of 9.4 million shares.
In the red-zone of the little-stock index, the following list represents the biggest downers (in terms of percentage decline):
- Rubicon Europe Trust Group (REU), -$0.1 (25.68%) to $0.28 on volume of 7.1 million shares;
- Boom Logistics Limited (BOL), -$0.17 (12.59%) to $1.18 on volume of 2.2 million shares;
- MYOB Limited (MYO), -$0.15 (10.74%) to $1.21 on volume of 1.4 million shares;
- Babcock & Brown Power (BBP), -$0.18 (8.54%) to $1.88 on volume of 10.8 million shares; and
- OceanaGold Corporation (OGC), -$0.18 (7.63%) to $2.18 on volume of 1.4 million shares.
Index Changes
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XAO | All Ordinaries | 5445.6 | 223.6 | 4.28 | 1406.7m |
| XFL | ASX 50 | 5273.9 | 220.3 | 4.36 | 481.9m |
| XJO | ASX 200 | 5412.3 | 225.5 | 4.35 | 1132.1m |
| XKO | ASX 300 | 5415.6 | 224.2 | 4.32 | 1256.1m |
| XMD | ASX Mid-Cap 50 | 5547.9 | 242.8 | 4.58 | 362.5m |
| XSO | ASX Small Ordinaries | 3142.2 | 112.3 | 3.71 | 411.6m |
| XTL | ASX 20 | 2997.7 | 128.1 | 4.46 | 279.3m |
| XTO | ASX 100 | 4388.8 | 184.6 | 4.39 | 844.5m |
Market Breadth
| ASX20 | XTO | XJO | XAO | XSO | Market | |
|---|---|---|---|---|---|---|
| Advances | 20 | 88 | 89 | 348 | 138 | 1001 |
| Declines | 1 | 11 | 11 | 94 | 46 | 329 |
| Advancing Volume | 268.3m | 696.5m | 699m | 1.15b | 349.6m | 1.79 billion |
| Declining Volume | 11m | 125.3m | 125.3m | 213.7m | 52.8m | 310.3 million |
GICS Industry Indices
Among the 11 industry indices, it was green across the board, as every sector managed to keep its head above water.
The best performing index was Materials (XMJ), which added 973.2 points (8.16%) to 12901.4 points. The 42 stocks which make up the index traded a total of 248.99 million units; 40 index components rose, with rising volume amounting to 243.62 million shares, while the 2 decliners had volume traded totalling 5.37 million units. The major percentage gainers within the index were
- Timbercorp Limited (TIM), +$0.19 (23.75%) to $0.99 on volume of 7.8 million shares;
- Lihir Gold Limited (LGL), +$0.53 (17.67%) to $3.53 on volume of 26 million shares;
- Sino Gold Mining Limited (SGX), +$1.08 (16.85%) to $7.49 on volume of 2.1 million shares;
- Independence Group NL (IGO), +$0.99 (15.33%) to $7.45 on volume of 796 thousand shares; and
- Pan Australian Resources Limited (PNA), +$0.10 (14.49%) to $0.79 on volume of 16.6 million shares.
Second in the index leadership stakes was Telecommunications (XTJ), which gained 105.1 points (7.44%) to 1517.4 points. The 4 stocks which make up the index traded a total of 125.99 million units; all to the upside. The major percentage gainers within the index were
- Telstra (Installment Receipts) (TLSCA), +$0.27 (10.89%) to $2.75 on volume of 63.2 million shares;
- Telstra Corporation Limited. (TLS), +$0.28 (6.93%) to $4.32 on volume of 56.1 million shares;
- Singapore Telecommunications Limited. (SGT), +$0.09 (3.25%) to $2.86 on volume of 4.3 million shares; and
- Telecom Corporation Of New Zealand Limited (TEL), +$0.06 (1.74%) to $3.51 on volume of 2.3 million shares.
The bronze medal for today goes to Energy (XEJ), which climbed 764.6 points (6.29%) to 12914 points. The 18 stocks which make up the index traded a total of 66.59 million units; 17 index components rose, with rising volume amounting to 65.26 million shares, while sole declining stock traded 1.33 million units. The major percentage gainers within the index were
- AED Oil Limited (AED), +$0.35 (16.43%) to $2.48 on volume of 2.3 million shares;
- Paladin Energy Limited (PDN), +$0.63 (15.99%) to $4.57 on volume of 6.1 million shares;
- Arrow Energy NL (AOE), +$0.23 (15.44%) to $1.72 on volume of 5.6 million shares;
- Oil Search Limited (OSH), +$0.50 (13.44%) to $4.22 on volume of 14.8 million shares; and
- Roc Oil Company Limited (ROC), +$0.25 (10.82%) to $2.56 on volume of 1.3 million shares.
As mentioned above, there were no declining sectors today - so we can move on down to the Asian market stuff now.
Sector Indices
| Code | GICS Sector | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XMJ | Materials | 12901.4 | 973.2 | 8.16 | 249m |
| XTJ | Telecommunications | 1517.4 | 105.1 | 7.44 | 126m |
| XEJ | Energy | 12914 | 764.6 | 6.29 | 67m |
| XSJ | Consumer Staples | 7922 | 336.2 | 4.43 | 35m |
| XHJ | Healthcare | 8864.1 | 354.1 | 4.16 | 14m |
| XNJ | Industrials | 5596.1 | 173.5 | 3.2 | 109m |
| XXJ | ASX200 Financials ex Property Trusts | 6064.4 | 145.3 | 2.45 | 156m |
| XIJ | Information Technology | 451 | 10.8 | 2.45 | 3m |
| XDJ | Consumer Discretionary | 2284.8 | 48.4 | 2.16 | 66m |
| XUJ | Utilities | 5801.8 | 102.3 | 1.79 | 63m |
| XPJ | Property Trusts | 1691.9 | 24.7 | 1.48 | 245m |
All Ordinaries Major Movers
All Ords Volume Leaders
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| TLSCA | Telstra (Installment Receipts) | 2.75 | 0.27 | 10.89 | 63.2m |
| TLS | Telstra Corporation Limited. | 4.32 | 0.28 | 6.93 | 56.1m |
| AFG | Allco Finance Group Limited | 2.22 | -0.77 | -25.75 | 38.7m |
| CNP | Centro Properties Group | 0.37 | -0.04 | -8.75 | 33.9m |
| CER | Centro Retail | 0.25 | 0.02 | 6.52 | 33.4m |
All Ords Percentage Gainers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| DYL | Deep Yellow Limited | 0.25 | 0.07 | 38.89 | 8.4m |
| BGD | Boulder Steel Limited | 0.20 | 0.06 | 37.93 | 40.2k |
| TZN | Terramin Australia Limited. | 2.75 | 0.65 | 30.95 | 508.8k |
| PFG | Prime Financial Group Limited | 0.52 | 0.10 | 23.81 | 70k |
| TIM | Timbercorp Limited | 0.99 | 0.19 | 23.75 | 7.8m |
All Ords Percentage Losers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| ERG | ERG Limited | 0.05 | -0.03 | -35.62 | 13.9m |
| AFG | Allco Finance Group Limited | 2.22 | -0.77 | -25.75 | 38.7m |
| REU | Rubicon Europe Trust Group | 0.28 | -0.10 | -25.68 | 7.1m |
| BOL | Boom Logistics Limited | 1.18 | -0.17 | -12.59 | 2.2m |
| MYO | Myob Limited | 1.21 | -0.15 | -10.74 | 1.4m |
