The share market today

Expert commentary on today’s stock market from Ric Spooner (Chief Market Analyst, CMC Markets).

ASX 200 unwinds yesterday’s overshoot

This morning’s soft start for the ASX 200 has unwound a little of yesterday’s outperformance as investors await further developments, including Theresa May’s Brexit speech and Donald Trump’s inauguration.

The material sector led the ASX 200 index higher yesterday but overnight action in metals markets were mixed creating some question about upside momentum today. The spot iron ore price had yet another good day but other base metal prices were weaker in response to the market’s overall guarded tone in a week of political uncertainty.

Rio Tinto has produced another solid production report, containing little to concern investors or change the market outlook. Differences with guidance and overall market expectations were minor.  Overall, the company is now well placed to withstand any down in metals prices with a strong balance sheet and prospects of further gains in productivity. If iron ore prices do hold up longer than anticipated, markets may begin to anticipate the possibility of capital management.

You can read more commentary and analysis on the CMC Markets blog.

Top 5 winner and Losers of the ASX 200 (09/01/2017 to 16/01/2017)
Winners Losers
Rank  Company Change (%) Rank  Company Change (%)
1 ST Barbara Ltd 10.2 1 Magellan Fin Group Ltd -38.5
2 Woolworths Ltd 10.1 2 Medibank Private Ltd -10.5
3 Genworth Mortgage 9.7 3 Henderson Group Chess Depositary Interests -8.5
4 Charter Hall Group Stapled Securities US Prohibited 8.0 4 Syrah Resources -8.3
5 NEXTDC Ltd 7.6 5 Technology One -7.0

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