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FIVE at FIVE AU: ASX dips as pullback continues but a recovery looms

Published 16/01/2024, 04:03 pm
© Reuters FIVE at FIVE AU: ASX dips as pullback continues but a recovery looms
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The ASX is lower today. The S&P/ASX200 dropped 79.80 points or 1.06% to 7,416.50. The index has lost 1.38% for the last five days, but is virtually unchanged over the last 52 weeks.

The bottom-performing stocks are Lovisa Holdings Ltd and Ansell Ltd, down 5.80% and 4.39% respectively.

It was a sea of red for the sectors, with nothing in the green. The worst performed were Utilities down 1.70% and Energy which lost 1.47%. Materials dropped 1.54%.

On the small cap front, the S&P/ASX Small Ordinaries (XSO) dipped by 0.93% to 2,874.20. Over the five days, it is 0.21% higher.

moomoo market strategist Jessica Amir believes the market will recover but not before a further pullback.

“So far this year the ASX200 has fallen 1.2% but we’ll likely go through some more negative days before we reach some happier ones,” she said.

“I think the Aussie market is due for a pullback because the ASX200 rose 13% from November to December last year. Normally, when a market or stock goes up by about 10%, we then see investment managers take profits off the table. It’s quite normal in professional investment management."

Amir said savvy investors would buy into stocks they liked on down days, to catch stocks ‘on sale’.

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