Skip to main content

Morning Bell 13 March

Sam Kanaan
March 13, 2024

Wall St closed higher overnight as stocks resumed the recent rally after key inflation data came in-line with expectations. The Dow Jones climbed 0.61%, the S&P500 traded 1.12% higher and the tech-heavy Nasdaq rose 1.54%. Investors took confidence in the slight rise in inflation through the latest CPI data, indicating core inflation rose 0.4% in February from January and 3.8% year-on-year, while the inflation rate in the US rose just 0.1% to 3.2% in February.

Over in Europe, markets closed higher in the region as investors responded to the latest US inflation data report. The STOXX600 rose 1% driven by automotive stocks while Germany’s DAX rose 1.23%, the French CAC added 0.84% and, over in the UK, the FTSE100 gained 1.02% on Tuesday.

British unemployment rate data came out yesterday indicated a rise to 3.9% for January from 3.8% in December and slowing wage growth which provide further supportive evidence for interest rate cuts to come.

Locally yesterday, the ASX ended Tuesday’s rollercoaster session 0.1% higher after a morning rally was overturned in midday trade by a US-inflation data fear driven sell off, before settling the day up 0.1%. Gains were led by the information technology and utilities sectors which rose 1.15% and 0.88% respectively. This was offset by the energy sector which lost 0.77%.

What to watch today:

  • The Australian share market is set to open higher, with the SPI futures suggesting a rise of 0.18% at market open this morning.
  • On the commodities front this morning,
    • Oil is trading 0.16% higher at US$78.05 cents a barrel following OPEC’s optimistic outlook on global oil demand growth in 2024 and 2025.
    • Gold is trading 1.1% lower at US$2158 an ounce, following US inflation data coming back slightly above expectations.
    • And iron ore is trading down 5.96% to US$110.50 a tonne following subdued demand in China causing a cautious approach among steelmakers who are hesitant on restocking supply.

Trading Ideas:

  • Bell Potter has maintained a buy rating on Telstra Group (ASX:TLS) and has an unchanged 12-month price target of $4.25. The buy rating is maintained by Bell Potter as the FY24 results are seen as a potential catalyst to meet the guidance with the highlights being continued strong growth in the core mobile and infrastructure businesses and signs of some turnaround in Enterprise.
  • And Trading Central has identified a bullish signal in GUD Holdings (ASX:GUD), indicating that the stock price may rise from the close of $11.42 to the close of $13.40-$13.90, on a pattern formed over 25 days according to the standard principles of technical analysis.

Morning Bell 21 November

Bell Direct
November 21, 2024

Morning Bell 20 November

Bell Direct
November 20, 2024

Morning Bell 19 November

Bell Direct
November 19, 2024

Morning Bell 18 November

Bell Direct
November 18, 2024

Weekly Wrap 15 November

Bell Direct
November 15, 2024

Morning Bell 14 November

Bell Direct
November 14, 2024

Morning Bell 13 November

Bell Direct
November 13, 2024

Morning Bell 12 November

Bell Direct
November 12, 2024

Morning Bell 11 November

Bell Direct
November 11, 2024

Weekly Wrap 8 November

Bell Direct
November 8, 2024

Morning Bell 7 November

Bell Direct
November 7, 2024

Morning Bell 6 November

Bell Direct
November 6, 2024