Monday Morning, page-2

The Monday Report – 24 August 2020

Daily Market Reports | 8:58 AM

By Greg Peel

Spending Spree

The futures had suggested up 10 points on Friday morning but instead the ASX200 jumped 46 points in the first ten minutes. Given any strength on Wall Street had been all about FAAMG and little else, such an open seemed curious.

The market agreed, and by lunchtime the index was down -16 points as earnings results flowed. A late push led to a slightly positive close.

Aside from the day’s result reports, Friday was notable for a lot of squaring up against prior earnings result responses on the one hand, and “kicking on” on the other. Often initial jubilation/shock is tempered by broker analysis of a result the following day, which is not always prima facie what it seems.

Reversals from prior earnings responses included Webjet ((WEB)), up 11.8%, Nearmap ((NEA)), up 10.2% (both these stocks are heavily shorted),