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Those of an optimistic bent may be tempted to read today's market as the first day of the impending bounce that I have written about for a little over a week. That's not the case; sure, today had a significant intraday bounce. It was not brought on by a fear induced selling climax, though... it was brought on mostly by the 'never short a dull market' nostrum, and the ability of the Strayan market to be squeezed in the early afternoon.
Among the signs that this reversal was not the start of a short term rebound: advance-decline numbers were not horrible enough, volume breadth was not horrible enough, and there was significant flight upwards within the 'TopX' indices; that is to say, folks might have jettisoned stocks first thing in the morning, but they bought big caps pretty much all day thereafter. In former times one might have talked of a flight to quality, however a lot of Strayan big caps are in rather dicey territory:
- Banks have toxic balance sheets, the full nature of which they will disclose only when forced;
- the Materials sector will experience difficulty in global markets, plus the problem of earning in USD and reporting in AUD... and
- have you noticed Woodside? Oil at $100, and WPL has made what looks like a failed attempt to challenge its old high.
Major Market Indices
The broad market - the All Ordinaries (XAO) - declined gently, dropping 18.5 points (0.33%), finishing at 5644.5 points. The index hit an intraday high of 5659 at 10:02 am (when only most stocks had not opened), while the low for the day was 5578.9 - set at 10:41 am Sydney time.
The market then traded sideways in a contracting range until just after 2 p.m.; when it gave no sign of going lower , it broke to the upside - the standard outcome in a market which remains too bullish. Everybody is looking for some or other catalyst which will make all the pain go away, instead of battening down the hatches and stocking up on the portfolio equivalent of tinned corn.
Total volume traded on the ASX was 1.89 billion units, 15% above its 10-day average. The ASX's daily listing of all stocks included 1354 different 3-letter FPO's which traded (i.e., had non-zero trade volume). Of these, 494 issues rose, with volume in rising issues totalling 518.4 million units. Conversely, 572 stocks closed lower, with aggregate volume traded of 627.6 million shares.
Of the 478 All Ordinaries components, 167 rose while 245 fell. Volume was tilted in favour of the losers by a margin of 1.7:1, with 281.95 million shares traded in gainers while 485.04 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) - fell mildly, losing 23.5 points (0.42%), closing out the session at 5559.9 points.
| Name | Close | +/-(%) |
|---|---|---|
| All Ordinaries | 5644.50 | -18.50 (0.3%) |
| ASX 50 | 5361.40 | -20.10 (0.4%) |
| ASX 200 | 5559.90 | -23.50 (0.4%) |
| ASX 300 | 5567.40 | -22.20 (0.4%) |
| ASX Mid-Cap 50 | 5878.00 | -23.10 (0.4%) |
| ASX Small Ordinaries | 3358.50 | -18.90 (0.6%) |
| ASX 20 | 3035.10 | -3.80 (0.1%) |
| ASX 100 | 4490.40 | -16.90 (0.4%) |
The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - slid modestly, falling 3.8 points (0.13%), closing out the session at 3035.1 points.
The 21 stocks which make up the index traded a total of 183.98 million units; 8 index components rose, with rising volume amounting to 37.65 million shares, while the 13 decliners had volume traded totalling 146.34 million units. The major percentage gainers within the index were
- Wesfarmers Limited (WES), +$2.60 (7.32%) to $38.10 on volume of 5.9 million shares;
- Australia & New Zealand Banking Group Limited (ANZ), +$0.38 (1.73%) to $22.38 on volume of 8.5 million shares;
- Rio Tinto Limited (RIO), +$2.27 (1.7%) to $135.95 on volume of 1.4 million shares;
- CSL Limited (CSL), +$0.55 (1.57%) to $35.55 on volume of 1.7 million shares; and
- BHP Billiton Limited (BHP), +$0.55 (1.41%) to $39.55 on volume of 12.3 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), -$0.79 (2.67%) to $28.76 on volume of 8.7 million shares;
- Westfield Group (WDC), -$0.46 (2.58%) to $17.36 on volume of 14 million shares;
- Westpac Banking Corporation (WBC), -$0.57 (2.47%) to $22.48 on volume of 6.7 million shares;
- Suncorp-Metway Limited. (SUN), -$0.34 (2.21%) to $15.05 on volume of 2.1 million shares; and
- Commonwealth Bank Of Australia (CBA), -$0.95 (2.19%) to $42.50 on volume of 5 million shares.
At the other end of the market-cap spectrum, the ASX Small Ordinaries (XSO) had a significantly worse day than its large-cap counterpart. That said, the Small Ords was not badly mauled, falling 18.9 points (0.56%), closing out the session at 3358.5 points.
The 192 stocks which make up the index traded a total of 218.68 million units: volume in the 67 gainers totalling 82.74 million shares, with trade totalling 117.87 million units in the index's 108 declining components. The major percentage gainers within the index were- Jabiru Metals Limited (JML), +$0.12 (18.75%) to $0.76 on volume of 5.7 million shares;
- AED Oil Limited (AED), +$0.28 (15.14%) to $2.13 on volume of 4.9 million shares;
- Australian Agricultural Company Limited. (AAC), +$0.33 (11.79%) to $3.13 on volume of 407.2 thousand shares;
- Super Cheap Auto Group Limited (SUL), +$0.28 (9.33%) to $3.28 on volume of 706.4 thousand shares; and
- Challenger Diversified Property Group (CDI), +$0.06 (7.79%) to $0.83 on volume of 1.4 million shares.
In the red-zone of the little-stock index, the following list represents the biggest downers (in terms of percentage decline):
- Corporate Express Australia Limited (CXP), -$0.36 (6.55%) to $5.14 on volume of 243.7 thousand shares;
- SAI Global Limited (SAI), -$0.15 (5.66%) to $2.50 on volume of 180.6 thousand shares;
- Austar United Communications Limited (AUN), -$0.09 (5.66%) to $1.50 on volume of 2.1 million shares;
- Charter Hall Group (CHC), -$0.09 (5.52%) to $1.46 on volume of 317.5 thousand shares; and
- Wattyl Limited (WYL), -$0.12 (5.31%) to $2.14 on volume of 125.2 thousand shares.
Index Changes
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XAO | All Ordinaries | 5644.5 | -18.5 | -0.33 | 805.9m |
| XFL | ASX 50 | 5361.4 | -20.1 | -0.37 | 324.1m |
| XJO | ASX 200 | 5559.9 | -23.5 | -0.42 | 705.7m |
| XKO | ASX 300 | 5567.4 | -22.2 | -0.4 | 767.6m |
| XMD | ASX Mid-Cap 50 | 5878 | -23.1 | -0.39 | 224.9m |
| XSO | ASX Small Ordinaries | 3358.5 | -18.9 | -0.56 | 218.7m |
| XTL | ASX 20 | 3035.1 | -3.8 | -0.13 | 184m |
| XTO | ASX 100 | 4490.4 | -16.9 | -0.37 | 548.9m |
Market Breadth
| ASX20 | XTO | XJO | XAO | XSO | Market | |
|---|---|---|---|---|---|---|
| Advances | 8 | 34 | 34 | 167 | 67 | 494 |
| Declines | 13 | 64 | 65 | 245 | 108 | 572 |
| Advancing Volume | 37.6m | 184.2m | 184.2m | 282m | 82.7m | 518.4 million |
| Declining Volume | 146.3m | 353m | 354.2m | 485m | 117.9m | 627.6 million |
GICS Industry Indices
Among the 11 industry indices, 4 registered an advance for the session, the remaining 7 lost ground.
The best performing index was Materials (XMJ), which added 153.7 points (1.02%) to 15163.5 points. The 42 stocks which make up the index traded a total of 135.5 million units; 17 index components rose, with rising volume amounting to 89.17 million shares, while the 23 decliners had volume traded totalling 41.36 million units. The major percentage gainers within the index were
- Zinifex Limited (ZFX), +$0.69 (7.29%) to $10.15 on volume of 6.6 million shares;
- Minara Resources Limited (MRE), +$0.39 (6.96%) to $5.99 on volume of 2.5 million shares;
- Oxiana Limited (OXR), +$0.17 (4.75%) to $3.75 on volume of 21.8 million shares;
- Aquarius Platinum Limited (AQP), +$0.59 (3.36%) to $18.14 on volume of 416.8 thousand shares; and
- Alumina Limited (AWC), +$0.19 (3.11%) to $6.29 on volume of 10.8 million shares.
Second in the index leadership stakes was Information Technology (XIJ), which gained 3.9 points (0.77%) to 510 points. The 2 stocks which make up the index traded a total of 3.46 million units; The lone rising index component had volume amounting to 2.23 million shares, while sole declining stock traded 1.23 million units. The only gainer within the index was
- Iress Market Technology Limited (IRE), +$0.23 (3.8%) to $6.28 on volume of 2.2 million shares.
The bronze medal for today goes to Consumer Staples (XSJ), which climbed 50.9 points (0.66%) to 7817.6 points. The 10 stocks which make up the index traded a total of 39.79 million units; 2 index components rose, with rising volume amounting to 7.74 million shares, while the 8 decliners had volume traded totalling 32.04 million units. The major percentage gainers within the index were
- Wesfarmers Limited (WES), +$2.60 (7.32%) to $38.10 on volume of 5.9 million shares; and
- Lion Nathan Limited (LNN), +$0.19 (2.06%) to $9.42 on volume of 1.8 million shares.
The worst-performed index for the session was Property Trusts (XPJ), which dipped 49.9 points (2.81%) to 1726.4 points. The 20 stocks which make up the index traded a total of 142.1 million units; The 16 decliners had volume traded totalling 102.25 million units, and 2 index components rose, with rising volume amounting to 29.31 million shares, The major percentage decliners within the index were
- Macquarie Countrywide Trust (MCW), -$0.09 (5.38%) to $1.50 on volume of 15.8 million shares;
- GPT Group (GPT), -$0.18 (4.96%) to $3.45 on volume of 6 million shares;
- ING Office Fund (IOF), -$0.07 (4.81%) to $1.29 on volume of 6.8 million shares;
- DB RREEF Trust (DRT), -$0.08 (4.65%) to $1.64 on volume of 10 million shares; and
- Apn/Uka European Retail Property Group (AEZ), -$0.03 (4.03%) to $0.72 on volume of 1.3 million shares.
Just missing out on the wooden spoon was Utilities (XUJ), which slid 132.6 points (2.23%) to 5825.9 points. The 11 stocks which make up the index traded a total of 16.77 million units; The 9 decliners had volume traded totalling 13.81 million units, and 2 index components rose, with rising volume amounting to 2.95 million shares, The major percentage decliners within the index were
- Envestra Limited (ENV), -$0.04 (4.35%) to $0.77 on volume of 725.7 thousand shares;
- Hastings Diversified Utilities Fund (HDF), -$0.11 (4.06%) to $2.60 on volume of 337.6 thousand shares;
- Sp Ausnet (SPN), -$0.05 (3.53%) to $1.23 on volume of 1.5 million shares;
- AGL Energy Limited (AGK), -$0.42 (3.47%) to $11.70 on volume of 942.1 thousand shares; and
- Babcock & Brown Power (BBP), -$0.06 (2.88%) to $2.02 on volume of 878.6 thousand shares.
Third-to-last amongst the sector indices was ASX200 Financials ex Property Trusts (XXJ), which slid 69.5 points (1.24%) to 5521.8 points. The 28 stocks which make up the index traded a total of 81.17 million units; The 17 decliners had volume traded totalling 48.07 million units, and 9 index components rose, with rising volume amounting to 30.11 million shares, The major percentage decliners within the index were
- City Pacific Limited (CIY), -$0.15 (5.08%) to $2.80 on volume of 278 thousand shares;
- Tower Australia Group Limited (TAL), -$0.09 (3.6%) to $2.41 on volume of 336.5 thousand shares;
- Insurance Australia Group Limited (IAG), -$0.14 (3.57%) to $3.78 on volume of 5 million shares;
- Henderson Group PLC (HGI), -$0.07 (3.38%) to $2.00 on volume of 2.5 million shares; and
- Australian Wealth Mgt (AUW), -$0.06 (3.13%) to $1.70 on volume of 4.6 million shares.
Sector Indices
| Code | GICS Sector | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XMJ | Materials | 15163.5 | 153.7 | 1.02 | 135m |
| XIJ | Information Technology | 510 | 3.9 | 0.77 | 3m |
| XSJ | Consumer Staples | 7817.6 | 50.9 | 0.66 | 40m |
| XHJ | Healthcare | 8910.9 | 18.2 | 0.2 | 14m |
| XDJ | Consumer Discretionary | 2339.7 | -6.9 | -0.29 | 51m |
| XNJ | Industrials | 5571.7 | -30.5 | -0.54 | 72m |
| XEJ | Energy | 14820.4 | -87 | -0.58 | 53m |
| XTJ | Telecommunications | 1672.1 | -20.7 | -1.22 | 97m |
| XXJ | ASX200 Financials ex Property Trusts | 5521.8 | -69.5 | -1.24 | 81m |
| XUJ | Utilities | 5825.9 | -132.6 | -2.23 | 17m |
| XPJ | Property Trusts | 1726.4 | -49.9 | -2.81 | 142m |
All Ordinaries Major Movers
All Ords Volume Leaders
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| TLS | Telstra Corporation Limited. | 4.76 | -0.03 | -0.63 | 58.3m |
| TLSCA | Telstra (Installment Receipts) | 3.18 | -0.05 | -1.55 | 25.2m |
| OXR | Oxiana Limited | 3.75 | 0.17 | 4.75 | 21.8m |
| CNP | Centro Properties Group | 0.50 | 0.03 | 5.32 | 20.2m |
| MCW | Macquarie Countrywide Trust | 1.50 | -0.09 | -5.38 | 15.8m |
All Ords Percentage Gainers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| PFG | Prime Financial Group Limited | 0.64 | 0.12 | 23.08 | 82.7k |
| JML | Jabiru Metals Limited | 0.76 | 0.12 | 18.75 | 5.7m |
| MFI | Mariner Financial Limited | 0.21 | 0.03 | 17.14 | 1.6m |
| AED | AED Oil Limited | 2.13 | 0.28 | 15.14 | 4.9m |
| AAC | Australian Agricultural Company Limited. | 3.13 | 0.33 | 11.79 | 407.2k |
All Ords Percentage Losers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| CTX | Caltex Australia Limited | 14.82 | -1.68 | -10.18 | 1.8m |
| BMX | Bemax Resources NL | 0.22 | -0.02 | -8.33 | 255k |
| TCQ | Trinity Consolidated Group | 1.30 | -0.11 | -7.5 | 119.7k |
| PBD | Port Bouvard Limited | 1.28 | -0.10 | -7.27 | 765.5k |
| CXP | Corporate Express Australia Limited | 5.14 | -0.36 | -6.55 | 243.7k |
