Description

Wall St rebounded overnight from yesterday’s sell off with all three of the major indexes closing in the green. The Dow Jones added 0.48%, the S&P500 gained 0.6%, while the Nasdaq rebounded the most, up 0.9%. The AI sector which was hit particularly hard yesterday recovered a lot of ground lead by AMD, which posted strong third quarter earnings and beat guidance. 

European markets saw a similar rebound, with advances across the board. The pan-European Stoxx600 closed up 0.23%, the UK’s FTSE gained 0.64%, the German DAX advanced 0.42% and the French CAC added 0.1%.

Locally yesterday, the ASX closed down 0.1%, marking its 6 day of losses in the last 7 trading days. Materials were the main sector weighing down the market, with big names seeing losses across the board. Fortescue (ASX:FMG) and Rio Tinto (ASX:RIO) slipped 2.5% and 1.2% respectively, while in Gold Ramelius Resources (ASX:RMS) and Capricorn Metals (ASX:CMM) also saw declines of over 1%. 

Popular defence stock DroneShield (ASX:DRO) tumbled 7.5% yesterday on news that it had vested more than 40 million performance options to employees upon hitting key revenue targets. 

What to watch today:

• Looking ahead to today, following overseas trends the SPI futures indicate that the ASX will rebound from recent losses with a 0.75% jump at the open. 
• In commodities, Crude Oil is trading down a further 1.5% at 59.65USD per barrel, Gold and Silver have both rebounded 1.3% and 1.9% respectively to 3983USD and 48USD per ounce, and Iron Ore is up 0.2% to 104.73USD per tonne. 

Trading Ideas:

• Bell Potter have maintained their Buy rating on integrated marketing communications provide IVE Group (ASX:IGL), and increased their 12 month target price to $3.25 after the company announced two new business acquisitions and a marketing services agreement, with the impact of which expected to hit over the next 12 months.
• And Trading Central have identified a bullish signal in Woodside Energy Group (ASX:WDS), indicating that the price may rise from the close of $25.16 to the range of $27.10 to $27.50 over a period of 35 days, according to the standard principles of technical analysis.