Market wraps 8th April 2021
Morning Bell - Jessica Amir
Yesterday the Aussie share market rose for the 4th day, closing at its highest level since the pandemic – 6,928 points. Today, the futures are suggesting we’ll get closer to that all-time high of over 7,000 points, and lift 0.5%.
Of significance overnight, the US Federal Reserve reflected on the improved economic outlook, and also that the US Central Bank would continue to buy bonds until employment was back to normal.
What to watch today
- International flights return to Melbourne for the first time in two months – returning Victorians home from overseas. The biggest carrier Qantas (ASX:QAN) is in an uptrend on the back of the NZ-Australia bubble. Qantas expects international flights to reopen by the year end.
- Australia’s vaccination rollout – 857,200 people have been vaccinated – ScoMo wants 25 million Aussies to have had their first jab by October.
- Commodity stocks – will be back in focus. China wants to raise its use of scrap steel in the steelmaking process, to cut its imported iron ore. So look at Steel stocks – given iron ore stocks to face pressure. Keep an eye on Sims Metal Management (ASX:SGM) and BlueScope Steel (ASX:BSL).
- Companies going ex-dividend today, including ARB (ASX:ARB) and Universal Store (ASX:UNI).
- Afterpay (ASX:APT) had its Buy rating reiterated by Morgan Stanley with a $149 target, as it’s on track to expand in Europe and Asia while its app downloads tripled in the US in March.
- Bell Potter reiterated its Buy call on cloud company Rhipe (ASX:RHP) with a $2.50 target, as it’s diversified its business away from Microsoft while going into cyber security.
- Shiro Holdings (ASX:SHM), Asian Medusa Mining (ASX:MML) and Pinnacle Investment Management (ASX:PNI) are all giving off bullish charting signals according to Trading Central.