Market wrap: this global rally won't quit. The major US indexes closed 2.5 - 4% higher overnight, boosted by financials and consumer-discretionary stocks after a bounce in housing starts. Stocks rallied strongly through to the close as the Dow cemented a 12% rise from its March 9 low.
The US rally was broad-based, with gold miners the only laggards after the pog slid 0.5% to $917. REITs reversed yesterday's losses, climbing 8%. Banks indexes were up more than 5%.
Oil continued to benefit from the improvement in global sentiment, nearing $50 before dropping back to recently trade at $48.83, up nearly 4%. Base metals were generally marginally softer after yesterday's big gains.
Our market pre-empted much of that action yesterday but the SPI reckons we're good for another 27 point rise today, closing at 3506.
I've been too bearish throughout this rally but it's starting to smell like the real deal. We're overdue a pullback in the short term but our March 10 low is starting to look significant.
I bought MEL near the close yesterday after it recovered well from a rights announcement. Looks good to resume its recent uptrend.
