daytrade diaries... february 3 part 2

Half-time round-up:

The mining sector led the Australian share market higher for a second day but selling among the big banks trimmed the morning's gains.

At lunchtime the ASX 200 was up 25 points or 0.56% at 4631 but well off the morning high of 4656. Resource stocks again accounted for much of the advance, headed by gold +2.5, metals & mining +2.3% and materials +2.3%. However, the big banks lost ground after the RBA's decision to hold interest rates steady yesterday, dragging the financial sector down 0.6%. Defensive sectors also weighed on the market.

Recent interest rate rises were blamed for a contraction in the services sector last month, the first in four months. The AIG/CBA Performance of Services Index dropped 2.6 points to 47.4 in January, below the 50-point level that separates expansion from contraction.

"The consecutive increases in the official interest rate in the final three months of 2009, compounded by the diminished impact of government stimulus, have significantly curtailed services activity," said Australian Industry Group Chief Executive Heather Ridout.

Asian markets pushed higher. Japan's Nikkei rose 0.31%, Shanghai 0.15% and Hong Kong's Hang Seng 1.06%. Dow futures were at +3.

Crude oil futures gave back some of last night's rapid gains, dropping 44 cents to $76.88 a barrel this morning. The spot gold price was little changed at $1,113.70 an ounce.


Well done to the successful ANP traders and well-called, Tweets. I read your post but couldn't bring myself to pay that fat opening price - more fool me. Instead, I traded the bounces in ROC and MQA. Also took profits in MML from a few days ago.