ASX Retreats After Record High Amid Sector-Wide Declines

November 20, 2024 06:13 PM AEDT | By Team Kalkine Media

Google News:

ASX Retreats After Record High Amid Sector-Wide Declines — Image source: shutterstock

Recent News

Kaolin Clay, Community, and Commitment: Celebrating 125 Years at Covia...

DXC Opens Farnborough Office, Launches Aerospace and Defense Hub in th...

Qualcomm Signs the Rome Call for AI Ethics

New Zealand Named One of the World’s Most Peaceful and Prosperous Coun...

Highlights

ASX200 falls 0.57% after touching a record high near 8,400 points.

Health Care sector posts modest gains despite broad losses.

Small-cap stocks show strong individual performances.

The Australian Securities Exchange (ASX) experienced a pullback on November 20, with the ASX200 index falling 0.57% to close at 8,326.3 points. This decline comes a day after the index reached a record high near 8,400 points. Despite the drop, the ASX200 has climbed 1.62% over the past five days and remains 1.42% below its 52-week peak. Year-to-date, the index has risen 10%, with November gains standing at 2.6%, surpassing the month’s historical averages.

Sector Performance and Key Contributors

Broad losses were recorded across most sectors, including Energy, Industrials, Consumer Discretionary, and Communication Services, which each declined by over 1%. The Health Care sector stood out, managing a modest 0.27% gain. Leading the day’s advances was Tabcorp Holdings (ASX:TAH), which rose 2.78% to close at $0.555 per share. Conversely, Neuren Pharmaceuticals (ASX:NEU) dropped 7.5% to $13.69, making it one of the worst performers of the day.

Economic and Market Insights

Australia’s economy continues to perform above expectations, leading to upward revisions of earnings forecasts for 2025. The recent surge in Bitcoin to record highs has had a positive ripple effect on technology firms like Block (ASX:SQ2). Meanwhile, a weakening US dollar is expected to drive up commodity prices, which could support commodity-related stocks and contribute to a broader market rally in the near term.

Small-Cap Highlights

Several small-cap stocks showed impressive gains, counterbalancing the day’s broader declines. Lightning Minerals (ASX:L1M) surged 22.86% to $0.086, while Element 25 (ASX:E25) soared 24% to a daily high of $0.31. Lumos Diagnostics (ASX:LDX) climbed 16.67% to $0.035, and Alto Metals (ASX:AME) advanced 16.46% to $0.092. Yandal Resources (ASX:YRL) increased by 5.48% to $0.385, and Sovereign Metals (ASX:SVM) rose 3.95% to $0.79.

Despite today’s downturn, the ASX continues to showcase resilience, with certain small-cap stocks and sectors such as Health Care providing notable highlights. The combination of strong economic fundamentals, sector rotations, and individual stock movements ensures the Australian market remains dynamic.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.