The S&P/ASX 200 jumped almost 1% on the open, but has retraced after absorbing bad retail and building figures. It is currently 33 points or 0.7% up just after midday, now at 4624 points.
Other Asian markets are up following the strong lead from Wall Street on Friday, with the Nikkei 225 up 1.05% at 9971 points, and the Hang Seng up 1.78% to 22,796 points.
Other risk assets are up, the AUD at 1.0735 after slipping a little on retail results, whilst gold has surged back up to $1492 USD an ounce. WTI crude is also up at $95.33 USD per barrel
Movers and Shakers
It’s green green green across the board. The four major banks are all up around 0.5%, whilst BHP is up nearly 1%, at $44.16 and RIO up 0.6% to $83.36
In other ASX200 stocks, Gunns (GNS) continues to make day traders happy up 9%, followed by a rebound in Lynas (LYC) up over 6%.
Tiger Airway’s woes are the other airlines gains, with QANTAS (QAN) up over 4.5% and Virgin up nearly 10%
The losers include Murchison Metals (MMX) down 4%, Nexus (NXS) down nearly 3% whilst Woolworths (WOW) and Fosters (FGL) are the only ASX50 stocks down, albeit marginally.
The daily chart shows current prices continue their breakout out from the downtrend channel but there is still significant downward pressure on the index as the next critical level is 4700 points. As I’ve been saying the 4500 points level has switched to support on the back of (another) Greek bailout. Technical indicators only suggest a small rally at this stage, with no confirmation of momentum or directional range.