Monday, November 23, 2009

Market Comments 23/11/09

The market remained in limbo today. Another inside day - modestly up at 0.7% So the market remains between the two key levels: 4820 and 4690. This is only a gap of 130 points.

The materials were up strongly at 1.7%. Financials were down -0.1%. Consumer discretionary was line ball with the XAO at 0.7% after Jerry Harvey gave a bullish account of pre-Xmas trading. Industrials were up reasonably at 1.2%. But the defensives were equal to or better than the broader market: Consumer Staples +1.0%, Health 0.7%, Telecommuniccations 0.8% and Utilities 1.0%.

It's very difficult to read anything of substance into those figures.

At the time of writing, American futures are up strongly at +86. Rarely do we see a down day when the futures are up that strongly even though there is some time to go before the American market opens.

The Ozzie Dollar was up about half a cent - and this supported our market.

Gold in US$ is currently at $1166 - up strongly from Friday.

Gold in AUD was up over 2.05% today. It's difficult to reconcile a rise in AUD-Gold and a rise in the XAO. Something has to give. This is against the "natural order" of asset markets.

We'll have to wait and see which way it turns.

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