ASX 200 afternoon report: 3 December 2024

The ASX 200 trades 55 points (0.66%) higher at 8503 as of 3.00pm AEDT.

ASX 200 surpasses 8500 mark

The ASX 200 surged above 8500 for the first time today, buoyed by strong United States (US) economic data and dovish remarks from Federal Reserve (Fed) Chair Waller.

Following a surprise increase in the US ISM manufacturing purchasing managers' index (PMI) in November (48.4, up from 46.5), Fed Governor Waller indicated support for a interest rate cut at the December meeting. His comments, more dovish than recent Fed communications, raised the likelihood of a 25 basis point (bp) rate cut to about 73%.

ASX 200 stocks

Healthcare stocks

• Ramsay Health Care rose 3.15% to $41.25
• Pro Medicus gained 2.37% to $254.70
• CSL added 1.5% to $284.80
• Cochlear rose 1.14% to $305.78

Consumer discretionary stocks

Consumer discretionary stocks extended gains after a stronger-than-expected October retail sales report (0.6% month-on-month vs 0.4% expected).

• Temple & Webster surged 2.45% to $12.12
• Domino's Pizza climbed 2.2% to $33.41
• Baby Bunting rose 1.14% to $1.78
• Kogan edged up 1.2% to $5.04

Supermarket stocks

• Metcash soared 6.1% to $3.38
• Coles gained 1.47% to $19.00
• Woolworths slipped 0.40% to $30.19, amid ongoing disputes with the Australian Competition & Consumer Commission (ACCC) over alleged fake discounts.

Technology stocks

A record high in the tech-heavy Nasdaq 100 overnight boosted local tech stocks.

• Block jumped 5.36% to $143.31
• Life360 rose 3.7% to $26.43
• Tyro Payments added 2.56% to $0.90
• Appen climbed 1.9% to $2.40

Financial sector

• Macquarie gained 1.2% to $233.70
• ANZ rose 1.1% to $31.71
• Westpac added 0.9% to $33.57
• NAB climbed 0.84% to $39.63
• CBA edged up 0.1% to $158.33

Mining sector

The release of a better-than-expected Caixin manufacturing PMI for November in China (51.5 vs 50.3 prior) supported gains for the big miners.

• Mineral Resources rose 3.36% to $36.92
• Fortescue climbed 3.1% to $19.63
• Rio Tinto gained 0.24% to $119.57
• BHP edged up 0.2% to $40.80

ASX 200 technical analysis

Following the ASX 200’s sequence of higher highs over the past six weeks, we have redrawn our trend channel resistance higher. The ASX 200 needs to see a sustained break above trend channel resistance, currently at around 8495, to signal a more impulsive move higher is underway.

Otherwise, we expect to see more of the two-step forward, one-step back type price action viewed since September.

ASX 200 daily chart

• _{Source: TradingView. The figures stated are as of 3 December 2024. Past performance is not a reliable indicator of future performance. This report does not contain and is not to be taken as containing any financial product advice or financial product recommendation.}