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FIVE at FIVE AU: ASX rises as investors keep close eye on economic data

Published 12/12/2023, 04:02 pm
Updated 12/12/2023, 04:30 pm
© Reuters.  FIVE at FIVE AU: ASX rises as investors keep close eye on economic data
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The ASX is higher today. The S&P/ASX200 gained 33.90 points or 0.47% to 7,232.90, setting a new 50-day high. Over the last five days, the index has gained 2.43% and is currently 4.42% off of its 52-week high.

Top-performing stocks in this index were Telix Pharmaceuticals and Xero Ltd, up 3.97% and 4.63% respectively.

Looking at the sectors, only Materials was in the red, losing 0.10%. The strongest performers were Information Technology and Consumer Staples up 2.12% and 1.37% respectively.

On the small cap front, the S&P/ASX Small Ordinaries is 0.022% higher today at 2,766.50. Over the past five days, it has gained 1.54%.

Data matters

While the markets are higher, investors are still keeping a close eye on economic data.

“There’s so much to come over the next few days, which could determine how markets end the year and start 2024,” Oanda’s Craig Erlam said.

“The Federal Reserve decision on Wednesday is unlikely to be controversial but the forecasts, dot plot and press conference that accompany it may well be.”

The Westpac Consumer Sentiment and NAB Business Confidence reports were released today.

CreditorWatch’s chief economist Anneke Thompson said, “Consumer sentiment lifted slightly following Westpac’s November survey, however, it still hovers around record low levels.

"Business confidence is now turning decidedly sluggish and not surprisingly the retail sector recorded the biggest fall. And while business conditions are still running above their long-run average, the trend in this index shows a consistent downward shift since early 2023.

“Today’s confidence data reflects CreditorWatch’s November Business Risk Index trends, which shows the average value of invoices issued in November 2023 is now around half the value compared to three years’ ago.

"High interest rates and the expectation from consumers and businesses alike that these will stay high until well into 2024, are causes for concern for both mortgage holders and business owners.

“On a more positive note, a still strong employment market is helping Australians weather what is a fairly brutal cost of living storm. However, the expectation is that unemployment will also rise through the first half of 2024, which is likely to further dent business confidence.”

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