By the end of the day's trade on 27 January 2022, ASX 200 settled in the red zone, driven by the weak global market. The benchmark index dropped sharply by 1.771% and settled at 6838.3. The index settled lower on 27 January 2022 because of losses in most indices on ASX. Indices like technology, consumer discretionary, healthcare, and telecommunication services sectors were amongst the worst performers for the day, with a significant drop of more than 3% in their respective index values. The information technology sector was the worst hit, with a decline of 4.955% in the index value.
What are the Possible reasons of weak market performance globally?
Most stocks markets worldwide ended the session in the red zone because of the sharp fall in the global markets after the indication of an interest rate hike in the coming month by the US Federal Reserve. On Wednesday, S&P 500 dropped 0.1% post the Fed Reserve indicated its plan to increase the interest rate to cool inflation.
Other than this, there seem to be rising concerns over political tension between Russia and Ukraine, which might have worsened concerns over tight market supply. Thus keeping oil prices raised at a multi-year high.
In the past five days, the index lost 6.87%. However, it is virtually unaffected over the last 52-weeks.
Worst performing Sectors for the day:
Information technology (Down: 4.955%)
Consumer discretionary (Down: 3.703%)
Health care (down: 3.453%)
Telecommunication services (down: 3.118%)
Top performing Sectors for the day:
Energy (Up: 2.113%)
Utilities (Up: 1.18%)
Top Gainers and Losers:
On 27 January 2022, Beach energy limited (ASX: BPT) and Platinum asset management limited (ASX: PTM) were amongst the top gainers on ASX 200. At the same time, Evolution mining limited (ASX: EVN) and Silver lake resources limited (ASX: SLR) were the top two losers on ASX.
BPT shares surged as the company announced a quarterly report for the period ended 31 December 2021. On the other hand, EVN shares slipped near 11% on the weak quarterly numbers.
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Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Maven Capital Pty Ltd (AFSL No. 418504). The information contained in this article is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.
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Market Close Commentary: 27 January 2022
By the end of the day's trade on 27 January 2022, ASX 200 settled in the red zone, driven by the weak global market. The benchmark index dropped sharply by 1.771% and settled at 6838.3. The index settled lower on 27 January 2022 because of losses in most indices on ASX. Indices like technology, consumer discretionary, healthcare, and telecommunication services sectors were amongst the worst performers for the day, with a significant drop of more than 3% in their respective index values. The information technology sector was the worst hit, with a decline of 4.955% in the index value.
What are the Possible reasons of weak market performance globally?
Most stocks markets worldwide ended the session in the red zone because of the sharp fall in the global markets after the indication of an interest rate hike in the coming month by the US Federal Reserve. On Wednesday, S&P 500 dropped 0.1% post the Fed Reserve indicated its plan to increase the interest rate to cool inflation.
Other than this, there seem to be rising concerns over political tension between Russia and Ukraine, which might have worsened concerns over tight market supply. Thus keeping oil prices raised at a multi-year high.
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In the past five days, the index lost 6.87%. However, it is virtually unaffected over the last 52-weeks.
Worst performing Sectors for the day:
Top performing Sectors for the day:
Top Gainers and Losers:
On 27 January 2022, Beach energy limited (ASX: BPT) and Platinum asset management limited (ASX: PTM) were amongst the top gainers on ASX 200. At the same time, Evolution mining limited (ASX: EVN) and Silver lake resources limited (ASX: SLR) were the top two losers on ASX.
BPT shares surged as the company announced a quarterly report for the period ended 31 December 2021. On the other hand, EVN shares slipped near 11% on the weak quarterly numbers.
Customer Notice:
Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Maven Capital Pty Ltd (AFSL No. 418504). The information contained in this article is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.
Kapitales Research, Suite 1A, Level 2, 802-808 Pacific Highway, Gordon NSW 2072, Australia | 1800 005 780 | info@kapitales.com.au.au