Shares recovered from a one-month low as global markets moved on from yesterday's Italian election scare.
The ASX 200 bounced 26 points or 0.4% to 6011 but remained in the red for a third straight week as geopolitics and the simmering threat of a trade war dampened risk appetite. Energy stocks spearheaded the rally, rising 2.3% following a tentative rebound in crude overnight. Other notable gains included metals & mining +1.5%, the Small Ords +0.8% and gold +0.9%. The defensive health sector eased 0.6%
Global markets recovered overnight after Italy's interim Prime Minister indicated it was still possible that a coalition government will form, averting the need for a second election. Italy's FTSE MIB jumped 2.09% and the USA's S&P 500 1.27%. S&P 500 futures were recently off 3.25 points or 0.12% following reports that China is recruiting allies for a trade war with the US. Read more here.
China's Shanghai Composite put on 0.55%, Hong Kong's Hang Seng 0.52% and Japan's Nikkei 0.43%.
Crude oil futures gave back 11 cents or 0.16% this morning to US$68.10 a barrel. Gold futures held steady at US$1,306.50 an ounce. The dollar was buying 75.54 US cents.
Signs of life this morning at the end of a fairly dreary month. Tax-loss selling will muddy the picture next month, for the first few weeks at least. I've had a very scrappy week. Cleaned up the books by exiting NNW and IMU from yesterday for brokerage. Made a wage from KFE, but it has been a week of low returns.
