Half-time round-up:Surging financial stocks helped the ASX 200...

Half-time round-up:

Surging financial stocks helped the ASX 200 carve out a new 2009 high this morning.

At lunchtime the ASX 200 was 80 points or 1.72% higher at 4757, propelled by a 2% run on financials. There was strength across the bourse: miners climbed 1.7%, materials 1.7%, IT 3.7%, industrials 1.6% and property trusts 1.3%.

The rally came as the Federal Government revealed that the final budget deficit for last financial year was $5 billion less than forecast in May. Treasurer Wayne Swan said the better-than-expected figures marked a "tentative step forward" for the nation's economy.

Asian markets embraced the strong lead from Wall Street. Hong Kong's Hang Seng charged 2.13% higher, followed by Japan's Nikkei, up 0.95%, and Shanghai, up 0.12%. Dow futures were neutral at +5. Crude oil futures slipped to $60.87.

This is the sort of day where anything less than bumper profit feels like under-achievement. And I've under-achieved. Well done to the MOG mob this morning - missed that. Instead, a tiny scalp on TEL. Took some money off the table from SRL yesterday. Used this morning's strong open to exit AVO for brokerage from two days ago - it's near support but the selling is persistent. Opened a small speculator in TRY at the $2 support level - starting to look overdone. Grabbed some UXC at $1.

Potential overnight holds: BLY at 33 or above. The bounces in KAR and ASB could have more legs. BOQ might be ready to play catch-up with the rest of the banks.