Warren Buffet-effect has lost its shine
In afternoon trading, the market continues to come under downward pressure as profit taking triggers panic selling and index rotation. The market switched to wide spread selling after options expiries finished their course. Gold Based stocks were the only sector to be spared of the local market exodus.
Supermarket wars were set aside as both Woolworths and Wesfarmers faced 2.5% and 1.5% falls respectively. Woolworth’s share price dripped to fresh three year lows following the CEO’s self-elected retirement yesterday.
The Warren-Buffet-effect on the banks also lost its shine after the financials came under heavy selling pressure. The “Oracle of Omaha’s” bias towards Australian banks sent them back in vogue on Wednesday trading. Thursday’s session saw all the gains made from the previous session erased.
The local currency sits steady in early 0.77 ranges. Unemployment claims and inflation data due out from the US overnight might see some volatility in the dollar.
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Frequently Asked Questions about this Article…
The market faced downward pressure due to profit taking, which triggered panic selling and index rotation. This widespread selling occurred after options expiries concluded.
Gold-based stocks were the only sector spared from the local market exodus during the downturn.
Both Woolworths and Wesfarmers experienced declines, with Woolworths falling by 2.5% and Wesfarmers by 1.5%. Woolworths' share price hit a three-year low following the CEO's retirement announcement.
The Warren Buffet effect on Australian banks lost its shine as financials came under heavy selling pressure, erasing the gains made in the previous session.
The local currency remains steady in the early 0.77 ranges. However, upcoming unemployment claims and inflation data from the US might introduce some volatility.
The widespread selling was triggered by profit taking and the conclusion of options expiries, leading to panic selling and index rotation.
Woolworths' share price dropped to a three-year low following the announcement of the CEO's self-elected retirement.
The release of US unemployment claims and inflation data could introduce volatility to the local currency, which is currently steady in the early 0.77 ranges.
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