The Aussie market is rebounding from a heavy loss on Monday. The ASX 200 is climbing 123 points or 2.7% to 4,669 at lunch. The improvement is despite another fall on Wall Street overnight where major US indices fell as much as 3% even with the US Federal Reserve saying it is expanding its bond buying program to shore up the financial system.
Gains have been across most sectors with only the consumer staples and utilities in reverse. Property and tech stocks sectors have seen the largest percentage increases after substantial losses yesterday. The heavyweight banks, miners and healthcare stocks are contributing most to broader improvements. Commonwealth Bank (CBA) is leading the bank moves, as it firms 4%. Cochlear is (COH) advancing 8.5% even as it trades ex-dividend and BHP Group (BHP) is up 3.5%.
One of the best performers has been buy-now pay-later provider Afterpay (APT). It has been one of the most impacted stocks in the past month and is advancing 22% in the first few hours of trade, but is still down ~67% in March alone. Another tech market darling, Wisetech Global (WTC)is 13% higher so far.
Gold miners are also big improvers with Ramelius Resources (RMS) jumping 24%. Perseus Mining (PRU) is
also lifting more than 23% while Saracen Minerals (SAR) and Resolute Minerals (RSG) are both climbing more than 18%. OceanaGold (OGC) is the exception as it slides 5% due to a temporary shutdown at its NZ operations.
Graincorp (GNC) is the biggest decliner with a 51% fall. The decline is related to the demerger of its malt business which is now completed. GNC’s former Malt business will now be listed on the ASX as United Malt Group (UMG).
Michael Hill (MHJ) is down 11% as the jewellery retailer looks to suspend its retail stores in Australia and New Zealand in reaction to the coronavirus outbreak. Shaver Shop (SSG) is falling by 19% with sales hit hard in recent times, like-for-like sales at its brick and mortar stores slumped 23% last week on the same time last year.
The Aussie dollar is also rebounding and has jumped close to 1 US cent today to buy 59.1 US cents. So far, 1.5b units have traded worth $3.4b with 675 stocks higher, 364 lower and 269 unchanged.
Published by CommSec