ASX 200 recoups early losses as major banks push higher, tech stocks pull back

The S&P/ASX 200 closed 9 points higher, up 0.12%.

ASX 200 Session Chart

Markets

Today's Evening Wrap is an overview only due to Kerry and Carl being assigned to other projects this afternoon.

• ASX 200 finished higher, up from session lows of -0.38%
• ASX 200 slightly eased following the weaker-than-expected 4Q23 GDP data but started to trend higher from 1:00 pm AEDT onwards
• Intraday turnaround was driven by a notable turnaround in heavyweight banks – The big four banks opened around breakeven and finished around 1.0% higher
• Technology stocks led to the downside following a weak lead from the Nasdaq
• Major tech losers include Dicker Data (-10.0%), Iress (-6.0%), Life360 (-5.0%), Wisetech Global (-2.6%) and Technology One (-2.4%)

Economy

• AU GDP December Quarter +0.2% (vs forecast +0.2% & September +0.3% upgraded from initial +0.2% estimate)

• 02:00 – US Speech by Federal Reserve Chairman Jerome Powell
• 02:00 – US JOLTS Job Openings January (forecast 8.8M vs 9.03M December)

• 00:15 – ECB Meeting & Monetary Policy Statement (forecast no change at 4.5%)
• 02:00 – US Federal Reserve Chairman Jerome Powell semiannual monetary policy testimony to a House committee

• Saturday
• 00:30 – US Non-Farm Employment Change February (forecast +198K vs 353K January), Unemployment Rate (forecast 3.7% vs 3.7% January), & Average Hourly Earnings (forecast +0.2% vs +0.6% January)
• 12:30 – CHN Consumer Price Index (CPI) February (forecast +0.3% vs -0.8% January)
• 12:30 – CHN Producer Price Index (PPI) February (forecast -2.5% vs -2.5% January)

Interesting Movers

Trading higher

• +7.85% Magellan Financial Group (MFG) - Funds Under Management - February 2024
• +5.39% Talga Group (TLG) - Becoming a substantial holder, bounced off short-term uptrend ribbon
• +4.46% Zip Co (ZIP) - Becoming a substantial holder, rise is consistent with prevailing short and long-term uptrends
• +4.44% Anteris Technologies (AVR) - No news, continued positive response to last week's Preliminary Final Report
• +2.36% Select Harvests (SHV) - No news, continued positive response to last week's H1 FY24 Results, rise is consistent with prevailing short and long-term uptrends

Trading lower

• -14.38% Cettire (CTT) - Response to Media Article & Response to ASX Price Query
• -9.71% Arcadium Lithium (LTM) - Media reports company is about to close Mt Cattlin Lithium Mine, fall is in response to 12% drop in NYSE listing, fall is consistent with prevailing short and long-term downtrends
• -10.04% Dicker Data (DDR) - Partial Share Sale - David Dicker
• -7.62% Omni Bridgeway (OBL) - No news, fall is consistent with prevailing short and long-term downtrends
• -6.00% Iress (IRE) - Response to ASX Price Query (not aware of competing takeover bid)

Broker Notes

• Audinate Group (AD8) retained at Macquarie; Price Target: $17.90
• Aeris Resources (AIS) retained at buy at Bell Potter; Price Target: $0.23
• Altium (ALU) downgraded at Macquarie; Price Target: $68.50
• ASX (ASX) retained at underweight at Morgan Stanley; Price Target: $53.50
• BHP Group (BHP)
  • Retained at outperform at Macquarie; Price Target: $48.00
  • Retained at neutral at UBS; Price Target: $45.00 from $44.00
• Boral (BLD) retained at neutral at Jarden; Price Target: $5.80
• Credit Corp Group (CCP) retained at neutral at Macquarie; Price Target: $18.32 from $16.89
• Champion Iron (CIA) retained at outperform at Macquarie; Price Target: $9.20
• Delta Lithium (DLI) initiated at neutral at Barrenjoey; Price Target: $0.30
• Deterra Royalties (DRR) retained at neutral at Macquarie; Price Target: $4.80
• Elders (ELD) retained at buy at Shaw and Partners; Price Target: $10.00 from $9.00
• Evolution Mining (EVN) retained at buy at UBS; Price Target: $3.65 from $3.50
• Fortescue (FMG) retained at underperform at Macquarie; Price Target: $18.50
• Graincorp Class A (GNC) retained at buy at Bell Potter; Price Target: $9.30
• Healius (HLS) retained at sell at Citi; Price Target: $1.10
• Magellan Financial Group (MFG) retained at underweight at Morgan Stanley; Price Target: $7.85
• Mount Gibson Iron (MGX) retained at outperform at Macquarie; Price Target: $0.55
• Mineral Resources (MIN)
  • Retained at outperform at Macquarie; Price Target: $75.00
  • Retained at sell at UBS; Price Target: $60.00 from $51.00
• Megaport (MP1) retained at Macquarie; Price Target: $15.90
• Medibank Private (MPL)
  • Retained at hold at Citi; Price Target: $3.80
  • Retained at neutral at Goldman Sachs; Price Target: $3.70
  • Retained at neutral at Macquarie; Price Target: $3.60
• Macquarie Group (MQG) retained at overweight at Morgan Stanley; Price Target: $202.00
• NIB Holdings (NHF)
  • Retained at buy at Citi; Price Target: $8.60
  • Retained at buy at Goldman Sachs; Price Target: $8.10
  • Retained at neutral at Macquarie; Price Target: $7.30
• NextDC (NXT) retained at Macquarie; Price Target: $20.00
• Orica (ORI) retained at buy at Jarden; Price Target: $17.75
• Perpetual (PPT) retained at overweight at Morgan Stanley; Price Target: $27.70
• Platinum Asset Management (PTM)
  • Upgraded to hold from sell at Bell Potter; Price Target: $1.13 from $0.84
  • Retained at underweight at Morgan Stanley; Price Target: $1.30
• QBE Insurance Group (QBE) retained at overweight at Morgan Stanley; Price Target: $19.80
• Rio Tinto (RIO)
  • Retained at neutral at Macquarie; Price Target: $120.00
  • Retained at neutral at UBS; Price Target: $127.00 from $125.00
• South32 (S32) retained at buy at UBS; Price Target: $4.00 from $3.95
• Sandfire Resources (SFR) retained at buy at UBS; Price Target: $8.85 from $7.60
• Sigma Healthcare (SIG) initiated overweight at Barrenjoey; Price Target: $1.30
• Technology One (TNE) retained at Macquarie; Price Target: $16.80
• Wildcat Resources (WC8) initiated at overweight at Barrenjoey; Price Target: $0.80
• Wisetech Global (WTC) retained at Macquarie; Price Target: $81.90
• Xero (XRO)
  • Retained at buy at Citi; Price Target: $159.00 from $129.40
  • Downgraded to neutral from overweight at Craigs Investment Partners; Price Target: $124.73