The Aussie market is kicking off a holiday-shortened week with modest gains; the ASX 200 up by 0.38 per cent while remaining near an 11-month high at lunch. The index remains above 6800pts after breaking out of the 6600- 6800pts range late last week. This is the final week before the Australian profit reporting season slowly kicks off in early February.
This week is set to be a busy one despite the market closing for the Australia Day holiday on Tuesday. Apple, Amazon, Microsoft, Facebook and Tesla are all set to post earnings in the United States this week. Dozens of Australian mining and energy stocks will post quarterly updates, while a consumer inflation report will be released mid-week.
While almost all sectors are lifting at lunch, a handful of stocks are pushing the market higher most. This includes Fortescue Metals (FMG), BHP, Afterpay (APT), Wesfarmers (WES), Woolworths (WOW), Coles (COL) and the major banks.
Energy stocks, gold miners and travel are dropping back. The price of oil slid by 1.6 per cent following a surprising lift in US oil inventories last week. While Woodside (WPL) and Oil Search (OSH) are both down today, they have surged by ~15 per cent so far this month.
Ampol (ALD) is down 4.6 per cent after completing its $300m off-market share buyback at a 14 per cent discounted price.
Silver Lake (SLR) is down largely in-line with its peers despite maintaining its gold production goals for FY21 and slightly raising its copper output expectations.
Lynas (LYC) is down ~5 per cent. This follows a near 14 per cent jump on Friday on news it will build a rare earths facility in Texas for the US Department of Defence.
Travel stocks are underperforming, with Flight Centre (FLT), Webjet (WEB), Qantas (QAN) and Transurban (TCL) all heading backwards. This is despite no new locally acquired cases in NSW, VIC or QLD in the past day and Australia’s medical regulator approving Pfizer’s vaccine for distribution.
3.9bn shares have changed hands so far today, worth a light $2.4bn. 739 stocks are up, 601 down and 360 are flat.
Published by CommSec