The Match Out: Stocks lower into the weekend, strength in Energy offset by weakness in real estate

The ASX fell today with real-estate the biggest drag as the IMF highlighted issues with our hot local property market – their expectation for another +20% gain this year is a bullish one + their rhetoric comes on the back of both ANZ and CBA flagging similar concerns. House prices are clearly hot, even boat prices are as well and everything in between as low rates and a lack of overseas travel fuels demand.

• The ASX 200 was trading down ~30pts /-0.42% to 7339 at 2.15pm – an early ‘Match Out’ from MM today
• Energy stocks again strong today while they were the top sector for the week up nearly 5%, pipping the Utilities which ended +4% underpinned by the takeover of AusNet (AST)
• Materials were weak again today and the biggest drag on the weak, although down 2.6% for the 5 days collectively is not a disaster
• Gold was lower during Asian trade today ~$US1752 which was weighing on the gold stocks, most down more than 2%
• Iron Ore Futures were trading higher, still the Iron Ore stocks were sluggish after a tough week
• In Asia, Japan was trading +2% higher mid-afternoon, China was +0.53% while Hong Kong was flat
• US Futures are flat

Sector Moves

Sandfire Raised to Buy at Jefferies; PT A$8.80 Sandfire Cut to Neutral at Credit Suisse; PT A$6 GUD Holdings Raised to Overweight at Wilsons; PT A$11.80 Sandfire Raised to Outperform at RBC; PT A$7.50 Premier Investments Raised to Buy at Bell Potter; PT A$31.25 Make informed investment decisions At Market Matters, we write a straight-talking, concise, twice daily note about our experiences, the stocks we like, the stocks we don’t, the themes that you should be across and the risks as we see them. Click here for your free trial. The Match Out will be available each day after the market close. Follow my profile to be notified when the latest report is live.