What a week…markets cave in ~10%
Wow, what a week, it started on the back foot on Monday morning as the market came under significant pressure with the spread of the coronavirus outside of China, a void of buyers turned into a capitulation style move across the market today – simply all stocks were dumped as traders liquidated positions ahead of the weekend. For the week the ASX 200 dropped 9.77%, the total decline from the 7197 high set last Thursday has been -757pts / -10.5%, many stocks were down multiples of that number on the week, unsurprisingly headed by the travel stocks + the high beta IT style stocks which have taken a real bath. That said, there hasn’t really been anywhere to hide, gold stocks have even been hit hard with just 4 stocks out of the ASX 200 closing up on the week led by funeral provider Invocare, hardly a good omen!
It was end of month today and it’s hard to remember a more volatile start to a year, the ASX200 up +4.85% in January and now down -8.21% in February.
Overall, the ASX 200 closed down -216pts or -3.25% today to 6441, Dow Futures are trading down -277pts/-1.08%.
ASX 200 Chart
ASX 200 Chart
CATCHING MY EYE;
Simply a week of red, the aggressive nature of the selling was extreme, with the volatility index ticking up to 39 overnight.
Volatility Index (VIX) Chart
Sectors this week:
Stocks this week:
BROKER MOVES;
· AP Eagers Cut to Neutral at Macquarie; PT A$9.40
· AP Eagers Raised to Overweight at JPMorgan; PT A$10.50
· Ainsworth Game Raised to Outperform at Macquarie
· Bank of Queensland Raised to Buy at Bell Potter; PT A$8.30
· Bank of Queensland Raised to Equal-Weight at Morgan Stanley
· Bank of Queensland Raised to Hold at Shaw and Partners
· Ramsay Health Cut to Neutral at Citi; PT A$75
· Afterpay Cut to Neutral at Goldman; PT A$37.70
· NZ Refining Raised to Outperform at Jarden Securities
· PolyNovo Cut to Market-Weight at Wilsons; PT A$2.25
· Healius Cut to Hold at Morningstar; PT A$3.36
· Domain Holdings Raised to Hold at Morningstar
· Qube Raised to Hold at Morningstar
· Metcash Raised to Hold at Morningstar
· OZ Minerals Raised to Buy at Morningstar
· Link Administration Raised to Outperform at Credit Suisse
· Woolworths Group Raised to Hold at Shaw and Partners
· Auswide Bank Cut to Hold at Bell Potter; PT A$6.90
· Stanmore Coal Raised to Buy at Bell Potter; PT A$1.15
· Pendal Group Raised to Neutral at Evans & Partners Pty Ltd
Get regular market updates
Market Matters publishes daily market reports and sends SMS alerts when we transact on our portfolio. To get our latest market views and hear when we take new positions, trial Market Matters for 14 days at no cost by clicking the 'CONTACT' button bellow.
1 topic