The ASX200 trades 49 points higher at 7014 at 3.00 pm Sydney time.
Behind todays rebound, month-end rebalancing flows, as well as a thumping earnings report from energy giant Woodside which included a 414% increase in NPAT to $1.81bn and its biggest interim dividend payout since 2014.
Woodside and the broader ASX200 energy sector have benefited from surging energy prices. With the price of crude oil trading at $97.00, 13% above its mid-August $85.73 low and looking buoyant, the good times for Australian energy stocks look to continue.
Woodside's share price is currently trading at $35.95 (1.7%), above the downtrend resistance, coming in at $35.60 from the 2014 $43.74 high. A weekly close above $35.60 would allow the share price to retest the $39.38 high of October 2018 before a move towards the all-time $43.74 high.
Tech stocks have attempted to make amends after a cleanout in the sector yesterday. Novonix added 4.3% to $2.32, EML Payments added 4.1% to $0.90c, Wisetech Global added 4.11% to $58.58, Altium added 3.7% to $35.96 and Sezzle added 2.5% to $0.63c.
Material stocks have had a mixed day as the market digests the implication of the Fed Chairs' "higher for longer" message from Jackson Hole. BHP fell 0.84% to $41.83. Rio fell 0.4% to 95.88, FMG added 0.85% to $19.06. Mineral Resources climbed by 5.25% to $67.35, a record high after it committed to a new $3bn iron ore mine in the Pilbara.
A sharp 17.2% fall in Australian Building Approvals for July has not stopped the share price of the big banks from recording gains. ANZ added 1% to $22.67, NAB added 0.8% to $30.09 CBA added 0.4% to $96.71 and Westpac added 0.25% to $21.32.
Consumer Discretionary stocks have also rebounded, led by Webjet, which added 4.6% to $5.12, Kogan added 4% to $3.39, Flight Centre added 3.3% to $17.31 on speculation the company is looking at buying Altour International, a travel management company based in the U.S.
A2M is now up almost 15% in two days to be trading at $5.62, after yesterday's earnings report suggests the worst is now behind for the company. Going the other way, BUBS Australian tumbled by 4.1% to $0.58c. Despite reporting a 127% increase in Revenue to $89.3m, the company still recorded a full-year loss of $11.4m.
After holding and bouncing from the solid band of support 6960/40 area, we look for a retest of resistance and the top of the range, 7130/50 area.
Source Tradingview. The figures stated are as of August 30th, 2022. Past performance is not a reliable indicator of future performance. This report does not contain and is not to be taken as containing any financial product advice or financial product recommendation
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