Australia Market ends softer

Australia stock market finished session marginally lower on Tuesday, 17 January 2023, snapping four days winning streak as investors opted to secure recent gains after weak economic data from China stirred concerns about a global recession.

At closing bell, the benchmark S&P/ASX200 index was down 1.88 points, or 0.03%, to 7,386.29. The broader All Ordinaries index declined 7.40 points, or 0.1%, to 7,597.59.

Total 6 of 11 sectors ended higher. Consumer Staples was the best performing sector, gaining 1.81%, while utilities was worst performing sector, erasing 1.25%.

The top performing stocks in S&P/ASX200 index were NOVONIX and METCASH, up 5.5% and 2.74% respectively. The bottom performing stocks in S&P/ASX200 index were IMUGENE and CAPRICORN METALS, down 5.88% and 5.63% respectively.

Consumer staples sector ended in the green, with groceries giants Woolworths and Coles led the climb, adding 2.6% and 2% each, along with alcoholic drinks retailer Endeavour Group, up 2.2%.

Shares of materials declined, weighed down by decline in iron ore prices amid news that China would be tightening oversight of iron ore prices. South32 shed 3.7%. BHP fell 1.3%, and Fortescue Metals Group shed 1.5%.

Coal miners Yancoal, New Hope Corporation and Whitehaven also declined, losing 3.5%, 2.6% and 2.2%, respectively, as the coal price fell 2.3%.

ECONOMIC NEWS: Australia Westpac Consumer Confidence Rises To 5% In December - Australia's consumer confidence improved for the second straight month in January to mark its biggest monthly rise since April 2021, as consumers got a temporary boost due to an interval from the Reserve Bank's rate hikes, although the overall economic picture is still gloomy, survey results from Westpac showed on Tuesday. The Westpac Melbourne Institute Index of Consumer Sentiment rose 5% to 84.3 in January from 80.3 in December.

The survey revealed that the lift in confidence was because January was the first month since April last year that did not see an increase in the RBA cash rate. The break in the tightening cycle appeared to have provided some comfort, even if that was due to the absence of an RBA Board meeting in the month rather than a deliberate decision by the Bank to leave rates steady.

CURRENCY NEWS: The Australian dollar was stood at 0.6947 against greenback on Monday, appreciated by 0.09% from previous trading day closure at 0.6954 after trading in the range of 0.6944-0.6978.

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