Yesterday the ASX reversed early losses to close higher on Tuesday after morning news of a Republican Party draft bill to repeal and replace Obamacare sparked a 50-point rally in the benchmark index.
The rebound was led by the big four banks and a 1.1 per cent gain in bio-pharmaceutical company CSL, pushing the S&P/ASX 200 index up 15 points, or 0.3 per cent, to close at 5761.
1
U.S. equities traded mostly lower on Tuesday as investors mulled over the prospects of tighter monetary policy and the House Republicans' legislation to repeal and replace Obamacare.
"This is typical of a market that is re-assessing why it went into orbit," said Peter Cardillo, chief market economist at First Standard Financial. "That's why you're seeing the market not do much of anything."
"We may actually be on the cusp of some sort of consolidation of the incredible gains we've seen post election," said Peter Boockvar, chief market analyst at The Lindsey Group, in a note.
S&P - .2%
Nasdaq - .14%
