Sunset Strip | Aussie Afternoon Institutional Market Wrap

Aussie market made another remarkable recovery to follow up Friday’s effort to remain again on a thin edge positive when US markets are nearly down 3.5% in two days. The US markets were expected to have a pullback short term as global business models that dominate the US indices are likely to pull back with rising rates and stronger currency. The big move on Friday in US was fuelled by the “Quadruple Witching” day (i.e. expiry of index and stock options and futures falling on the same day). The substantially high volume levels, multiple layers of expiry and negative US sentiment were mainly US oriented rather than the global growth picture. The bank dividends from ANZ and NAB dropped into the accounts last week and now WBC dividends come through today. History shows that these dividends tend to roll back in to the equity markets and push them higher. We have started the school holiday period where Institutional investors are away with their families and the retail investors take control. Notable moves today were: ….. (VIEW LINK)