Market wraps 23rd March 2021

Morning Bell - Jessica Amir

Overnight US tech stocks marched forward with the Nasdaq gaining 1.2% while the broader S&P500 followed up 0.7%. Meanwhile, the benchmark 10-year bond yield fell back to 1.695%. Banks continued to fall off their recent highs, after the Fed decided banks should be holding more capital now.

What to watch today:

  • Today is the one year anniversary of the COVID-19 bottom. Since then the market has gained 48%. Fundamentals and technicals suggest that the market will continue to rise over the long term.
  • Today the focus will again be on two key areas – rebound tech stocks and company news as there is no economic news to go by.
  • The oil price attempted to stabilise, lifting  0.1%
  • Copper stocks should have a good day after copper rose 0.7%
  • Yesterday, the most traded stocks on our active trader desk, Bell Direct Advantage were: Freedom Foods (ASX:FNP) which fell 83%, Oneview Healthcare (ASX:ONE) which gained 9%, and 88 Energy (ASX:88E) which rose 35%.

Trading ideas:

  • Bell Potter initiated coverage of EROAD (ASX:ERD) as a BUY with a bullish $4.87 target
  • Citi increased Beach Energy’s (ASX:BPT) price target to $1.81, but maintained the stock as a hold
  • Praemium (ASX:PPS), Bendigo and Adelaide Bank (ASX:BEN) and Washington H. Soul Pattinson (ASX:SOL) are all giving off bullish charting signals according to Trading Central.