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ASX 200 rebounds on global optimism and strong corporate earnings
The ASX 200 rose 95 points (1.13%) to 8512, driven by optimism from Wall Street and strong corporate earnings, including a 6.15% gain for News Corp after its quarterly report. The financial sector rebounded, while the energy sector struggled, with Beach Energy down 3.63% despite a 20% earnings surge. The index remains in a bullish trend, supported above 8380-8360.
retail data hints at potential interest rate cuts in australia
November's retail trade data in Australia showed a 0.8% month-on-month increase, below the expected 1.0%, raising the likelihood of a February interest rate cut to around 75%. The Black Friday sales boosted retail activity, but analysts warn of challenging conditions ahead, particularly for companies like Myer and Lovisa, which are facing stagnant household activity and cost pressures.
The ASX 200 rose 13 points (0.16%) to 8476, buoyed by record highs on Wall Street and expectations of earlier interest rate cuts from the RBA. Bitcoin's recent surge is expected to drive momentum buying, with targets of 105,000 and 120,000 by 2025, contrasting with the ASX's gradual gains.Technology and consumer discretionary sectors saw significant gains, while energy and mining stocks declined ahead of an OPEC+ meeting. Analysts suggest the ASX 200 needs to break above 8500 for a more decisive upward move, amid ongoing fluctuations since September.
retail sector poised for growth ahead of black friday and cyber monday
Retail sales in Australia are projected to surge by $69.7 billion leading up to Christmas, with $6.7 billion expected to be spent during Black Friday and Cyber Monday, marking a 5.5% increase from last year. Consumer sentiment is on the rise, encouraging retailers to enhance their offerings as competition intensifies. Despite some caution in the discretionary sector, companies like JB Hi-Fi and Harvey Norman are positioned to benefit from increased sales, particularly in trending products like robot vacuums.
ASX 200 gains momentum ahead of key US earnings and inflation data
The ASX 200 rose 29 points (0.36%) to 8250, marking a potential third consecutive day of gains amid lighter trading volumes. Key upcoming events include US tech earnings and Australian Q3 inflation data, with expectations that a lower trimmed mean inflation could prompt an RBA rate cut. Notable stock movements included ZIP surging 12.37% after a strong Q1 update, while major banks and mining stocks also saw gains ahead of their quarterly reports.
myer faces challenges amid store closures and strategic review for recovery
Myer Holdings (ASX: MYR) faced a challenging FY24, marked by store closures and rising costs, leading to a 61% drop in total dividends. Despite a 0.4% increase in comparable store sales, shares fell 11% post-results but are up 40% year-to-date. The company is undergoing a strategic review and exploring a potential merger with Premier Investments' Apparel Brands division to enhance profitability and market position.
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