daytrade diaries... november 10 part 2

Half-time round-up:

The Australian stock market is on target to complete its best three-day rise since July, led by the big miners and banks.

At lunchtime the ASX 200 was up 62 points or 1.34% at 4737 and heading for a three-day gain of around 5%. The mining sector spearheaded advances this morning, adding 1.8%. Also strongly up: IT +2.5%, materials +1.8%, energy +1.6% and financials +1.3%.

In economic news, business confidence bounced back last month after September's wobble. The NAB monthly survey of business confidence increased by two points to +16 points in October, prompting the bank to raise its 2009 and 2010 growth forecasts. Business conditions improved sharply in October, gaining nine points to twelve - a level last seen before the global financial crisis in early 2008.

In a sign of changing business practices, corporate Australia raised a record amount of equity this year, according to a senior RBA official. The RBA's head of domestic markets department John Broadbent this morning said leverage has declined and been replaced by a substantial increase in equity raisings.

"Listed corporates have raised a record amount of equity this year, totalling some $60 billion, with issues broadly based across all sectors," Mr Broadbent said. "This compares with an annual average of around $20 billion in the three years prior to the financial crisis."

Asian markets advanced this morning. Japan's Nikkei was up 1.65% and Hong Kong's Hang Seng 1.57%. Dow futures were neutral at -5. The spot gold price drifted $1.30 lower to $1101.60. Crude oil futures were also softer, down almost 30 cents at $79.02.


A solid morning here. Caught the early run on BEN. Scalped WCP on the bounce and added some ORN at 5.3. Had hoped to add a few more this morning but the shares I wanted opened too rich and most have since fallen back.