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Poor old Kevin Rudd; finally gets every politician's wet dream (the reins of power) and within a few months he's presiding over the worst market in a generation.
Just kidding - as you ought to be well aware, I am incapable of having sympathy for politicians. To my way of thinking, any event which causes psychic pain to any politician, is an expression of karma. I will open a window to give a blowfly the opportunity to get out of the house; I will rescue a spider from drowning in the shower; I routinely save moles, mice and other critters from my cats.
But politicians? If I saw one that was drowning, I would actively prevent any attempt at rescue, on the basis that humanity would in all probability be better off. Sure, there are probably one or two good politicians somewhere on the planet, but frankly the entire metier ought to be actively discouraged. I would rather have a child that was a drug addict and burglar than one who was a politician, simply because a drug addict doesn't have armed goons to force the extraction of his supper from the wealth-generating power of the market. Politicians are even worse than parasitic worms, some of which actually have a slight symbiotic effect (by reducing histamine response for example... thus reducing asthma and allergic reactions). Politicians are entirely a negative for every segment of their respective polity, except for defence contractors and other corporate folks whose existence would be far less profitable if they didn't get handouts from the government. As to the little guy, the benefit to him of having a bunch of politicos, is negative. Anyone who says otherwise has taken a very very partial view of things.
What about schools? What about War? What about government debt? What about the inherent wrongness of forcing money out of the hands of people who generate it, without any form of contract whatsoever? Let those who vote Labour (or Liberal), collect money between themselves, and I would be perfectly OK with whatever they decided to do... to each other. But those who voted for the other side ought not have to subsidise them. you see that is what political power is about - being able to force EVERYBODY to subsidise whatever whackery politicians decide upon. And it's never good, except if they are dismantling government control (which happens about once in a hundred years).
But back to the Strayan markets... 11 in a row is unprecedented in the post-1983 markets. I used to have data prior to 1983, and I probably still do, but for the moment we can rest a assured that this string of losses is the worst in a generation.
Major Market Indices
The broad market - the All Ordinaries (XAO) - slid savagely, posting a loss of 168.5 points (2.91%), finishing at 5630.9 points. The intraday high of 5789.8 was a tthe open, while the low for the day was 5630 - set at the close.
Total volume traded on the ASX was 1.63 billion units, just above its 10-day average. The ASX's daily listing of all stocks included 1497 different 3-letter FPO's which traded (i.e., had non-zero trade volume). Of these, 300 issues rose, with volume in rising issues totalling 399.6 million units. Conversely (or even contrariwise), 943 stocks were dragged below the Plimsoll line, with aggregate volume traded of 1.11 billion shares.
Of the 478 All Ordinaries components, 100 rose while 333 fell. Volume was tilted in favour of the losers by a margin of 5.9:1, with 126.1 million shares traded in gainers while 741.4 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) - was taken to the woodshed, losing 166.9 points (2.9%), closing out the session at 5580.4 points.
The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - was given an absolute hiding, sliding 106.4 points (3.34%), closing out the session at 3076.8 points. The big loser was Rio Tinto, as people started to lose patience with the stockbroking community's touting of Rio as merger candidate. Sure, acquiring CEO's routinely over-pay for acquired assets, but Rio was getting ridiculous.
Among the 20 big guns, only one component - Woolworths Limited (WOW) - kept its head off the chopping block. WOW managed to add $0.28 (0.91%) to close at $31.03 and traded 3.89 million shares in the process. The 21 stocks which make up the index traded a total of 198.28 million units; The lone rising index component had volume amounting to 3.89 million shares, while the 20 decliners had volume traded totalling 194.38 million units.
On the less salubrious side of the big-cap fence, the following stocks were the worst-performed within the index:
- Rio Tinto Limited (RIO), -$9.75 (7.86%) to $114.25 on volume of 2.2 million shares;
- Telstra (Installment Receipts) (TLSCA), -$0.13 (4.58%) to $2.71 on volume of 49.6 million shares;
- Commonwealth Bank Of Australia (CBA), -$2.42 (4.55%) to $50.78 on volume of 7.2 million shares;
- BHP Billiton Limited (BHP), -$1.51 (4.34%) to $33.29 on volume of 20.9 million shares; and
- Woodside Petroleum Limited (WPL), -$2.06 (4.33%) to $45.50 on volume of 2.3 million shares.
At the other end of the market-cap spectrum lie the denizens of the ASX Small Ordinaries (XSO) - the place where non-mania excess returns lie. The small end of the market, did significantly better than its large-cap counterpart. The Small Ords got a bit of a kicking nonetheless, sliding 75.1 points (2.21%), closing out the session at 3328.1 points.
Among the stocks that make up the Small Caps index, 34 index components finished to the upside, and of the rest, 149 closed lower for the session.
The 192 stocks which make up the index traded a total of 237.9 million units: volume in the 34 gainers totalling 41.28 million shares, with trade totalling 190.69 million units in the index's 149 declining components. The major percentage gainers within the index were- Seek Limited (SEK), +$0.49 (7.36%) to $7.15 on volume of 2.3 million shares;
- Bannerman Resources Limited (BMN), +$0.17 (5.65%) to $3.18 on volume of 443.6 thousand shares;
- Western Areas NL (WSA), +$0.20 (4.41%) to $4.74 on volume of 2.3 million shares;
- Silex Systems Limited (SLX), +$0.20 (4.3%) to $4.85 on volume of 539.6 thousand shares; and
- Babcock&Brown Japan Property Trust (BJT), +$0.05 (3.67%) to $1.27 on volume of 3 million shares.
In the red-zone of the little-stock index, the following list represents the biggest downers (in terms of percentage decline):
- Deep Yellow Limited (DYL), -$0.05 (15.79%) to $0.24 on volume of 4 million shares;
- AED Oil Limited (AED), -$0.51 (15.64%) to $2.75 on volume of 1.6 million shares;
- Rubicon America Trust (RAT), -$0.09 (14.41%) to $0.51 on volume of 1.5 million shares;
- IBA Health Limited (IBA), -$0.09 (13.33%) to $0.59 on volume of 5.9 million shares; and
- Mintails Limited (MLI), -$0.07 (12.73%) to $0.48 on volume of 197 thousand shares.
Index Changes
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XAO | All Ordinaries | 5630.9 | -168.5 | -2.91 | 886.9m |
| XFL | ASX 50 | 5420.3 | -168.4 | -3.01 | 373.8m |
| XJO | ASX 200 | 5580.4 | -166.9 | -2.9 | 725.7m |
| XKO | ASX 300 | 5589.6 | -166.4 | -2.89 | 816.4m |
| XMD | ASX Mid-Cap 50 | 5743.1 | -162.5 | -2.75 | 204.7m |
| XSO | ASX Small Ordinaries | 3328.1 | -75.1 | -2.21 | 237.9m |
| XTL | ASX 20 | 3076.8 | -106.4 | -3.34 | 198.3m |
| XTO | ASX 100 | 4515.6 | -138.4 | -2.97 | 578.5m |
Market Breadth
| ASX20 | XTO | XJO | XAO | XSO | Market | |
|---|---|---|---|---|---|---|
| Advances | 1 | 17 | 18 | 100 | 34 | 300 |
| Declines | 20 | 80 | 80 | 332 | 149 | 943 |
| Advancing Volume | 3.9m | 76.5m | 79.5m | 126.1m | 41.3m | 399.6 million |
| Declining Volume | 194.4m | 489.3m | 489.3m | 734.7m | 190.7m | 1.11 billion |
GICS Industry Indices
Among the 11 industry indices, the news was universally negative: not a single sector managed to break into the "Win" column.
Since none of the industry sectors registered a gain for the session, there is no point in burdening ourselves with the internal behaviour of advancing sectors... on to the losers.
The worst-performed index for the session was Energy (XEJ), which dipped 564.8 points (4.01%) to 13514.6 points. The 18 stocks which make up the index traded a total of 40.99 million units; The 15 decliners had volume traded totalling 32.93 million units, and 2 index components rose, with rising volume amounting to 5.25 million shares, The major percentage decliners within the index were
- AED Oil Limited (AED), -$0.51 (15.64%) to $2.75 on volume of 1.6 million shares;
- Paladin Energy Limited (PDN), -$0.42 (7.79%) to $4.97 on volume of 4.9 million shares;
- Worleyparsons Limited (WOR), -$2.75 (6.71%) to $38.25 on volume of 1.3 million shares;
- Riversdale Mining Limited (RIV), -$0.51 (5.92%) to $8.11 on volume of 779.9 thousand shares; and
- Woodside Petroleum Limited (WPL), -$2.06 (4.33%) to $45.50 on volume of 2.3 million shares.
Just missing out on the wooden spoon was Materials (XMJ), which slid 502.4 points (3.71%) to 13044.1 points. The 42 stocks which make up the index traded a total of 144.57 million units; The 33 decliners had volume traded totalling 121.07 million units, and 8 index components rose, with rising volume amounting to 22.14 million shares, The major percentage decliners within the index were
- Fortescue Metals Group Ltd (FMG), -$0.52 (8.36%) to $5.70 on volume of 6.7 million shares;
- Rio Tinto Limited (RIO), -$9.75 (7.86%) to $114.25 on volume of 2.2 million shares;
- Sally Malay Mining Limited (SMY), -$0.29 (6.68%) to $4.05 on volume of 874.9 thousand shares;
- Kagara Zinc Limited (KZL), -$0.27 (5.48%) to $4.66 on volume of 1.8 million shares; and
- Compass Resources NL (CMR), -$0.11 (5.47%) to $1.90 on volume of 553.7 thousand shares.
Third-to-last amongst the sector indices was ASX200 Financials ex Property Trusts (XXJ), which slid 232.3 points (3.53%) to 6347.5 points. The 28 stocks which make up the index traded a total of 114.84 million units; The 27 decliners had volume traded totalling 106.11 million units, and volume in the lone rising index component was 8.73 million shares, The major percentage decliners within the index were
- Allco Finance Group Limited (AFG), -$1.7 (35.42%) to $3.10 on volume of 13.6 million shares;
- Challenger Financial Services Group Limited (CGF), -$0.68 (16.23%) to $3.51 on volume of 16.9 million shares;
- Babcock & Brown Limited (BNB), -$2.57 (12.24%) to $18.43 on volume of 4.8 million shares;
- City Pacific Limited (CIY), -$0.32 (9.97%) to $2.89 on volume of 1 million shares; and
- Australian Wealth Mgt (AUW), -$0.19 (8.72%) to $1.99 on volume of 1.7 million shares.
Sector Indices
| Code | GICS Sector | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XHJ | Healthcare | 9007.4 | -19.7 | -0.22 | 11m |
| XSJ | Consumer Staples | 7999.3 | -57.1 | -0.71 | 32m |
| XIJ | Information Technology | 466.1 | -5.3 | -1.12 | 3m |
| XUJ | Utilities | 6105.9 | -78.6 | -1.27 | 26m |
| XPJ | Property Trusts | 1779.4 | -27.5 | -1.52 | 147m |
| XDJ | Consumer Discretionary | 2360.5 | -39.6 | -1.65 | 41m |
| XNJ | Industrials | 5822.1 | -159.5 | -2.67 | 72m |
| XTJ | Telecommunications | 1503.6 | -54.8 | -3.52 | 93m |
| XXJ | ASX200 Financials ex Property Trusts | 6347.5 | -232.3 | -3.53 | 115m |
| XMJ | Materials | 13044.1 | -502.4 | -3.71 | 145m |
| XEJ | Energy | 13514.6 | -564.8 | -4.01 | 41m |
All Ordinaries Major Movers
All Ords Volume Leaders
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| CNP | Centro Properties Group | 0.47 | -0.02 | -3.12 | 51.2m |
| TLSCA | Telstra (Installment Receipts) | 2.71 | -0.13 | -4.58 | 49.6m |
| TLS | Telstra Corporation Limited. | 4.27 | -0.14 | -3.17 | 38.6m |
| HFA | HFA Holdings Limited | 1.16 | -0.15 | -11.15 | 27.6m |
| AGM | Allegiance Mining NL | 1.06 | -0.01 | -0.47 | 21.4m |
All Ords Percentage Gainers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| NRT | Novogen Limited | 1.24 | 0.12 | 10.71 | 9.9k |
| CUV | Clinuvel Pharmaceuticals Limited | 0.42 | 0.04 | 9.09 | 183.7k |
| NFL | Natural Fuel Limited | 0.13 | 0.01 | 8.33 | 309.2k |
| SEK | Seek Limited | 7.15 | 0.49 | 7.36 | 2.3m |
| SRV | Servcorp Limited | 4.79 | 0.29 | 6.44 | 23.2k |
All Ords Percentage Losers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| AFG | Allco Finance Group Limited | 3.10 | -1.70 | -35.42 | 13.6m |
| CPK | CP1 Limited | 0.36 | -0.09 | -19.32 | 632.6k |
| MFI | Mariner Financial Limited | 0.30 | -0.06 | -16.67 | 694.9k |
| CGF | Challenger Financial Services Group Limited | 3.51 | -0.68 | -16.23 | 16.9m |
| DYL | Deep Yellow Limited | 0.24 | -0.05 | -15.79 | 4m |
