Index Update: The S&P/ASX 200 closed sharply higher on Wednesday, rising 147.40 points, or 1.66%, to 9,014.80, marking a new 50-day high. The index has gained 0.97% over the past five sessions and sits 1.10% below its 52-week high. Eight of 11 sectors finished higher, led by Financials (+3.48%) and Utilities (+2.42%), with Materials up 2.11%, while Health Care fell 2.50%, offsetting some of the broader upside despite earnings-driven gains across major index heavyweights, financial stocks.
Macro Update: First home buyer loan approvals rose 6.8% to 31,783 in the December quarter of 2025, marking the strongest quarterly increase since late 2023, according to ABS data released today. The value of these loans climbed 15.5%, while investor approvals increased 5.5% and owner-occupier non-first home buyer loans rose 3.6%. The pickup followed policy support including the expanded 5% Deposit Scheme and the Help to Buy program. Overall dwelling loan commitments grew 5.1% in number and 9.5% in value.
Top Market Movers: Top gainers on the session were Aussie Broadband (ASX:ABB), which climbed to AUD 5.200, up AUD 0.670 or 14.79%, AGL Energy (ASX:AGL), rising to AUD 9.890 after a AUD 1.040 gain or 11.75%, and James Hardie Industries (ASX:JHX), advancing to AUD 36.870, up AUD 3.630 or 10.92%. On the downside, CSL (ASX:CSL) fell to AUD 163.440, down AUD 20.200 or 11.00%, while ResMed (ASX:RMD) and Superloop (ASX:SLC) also closed lower by 4.5% and 3.2%, respectively.
Commodity Update: The Japanese yen retained firm gains, supported by a rally in domestic equities and expectations that Prime Minister Sanae Takaichi’s decisive election win may reinforce fiscal discipline. The U.S. dollar traded cautiously ahead of the non-farm payrolls report after softer economic indicators. Gold rose 0.91% to USD 5,076.70, silver gained 2.16% to USD 82.11, copper edged up 0.10%, and Brent crude advanced 0.60% to USD 69.18.
Our Stance: The S&P/ASX 200 surged 1.66% to 9,014.80 on Wednesday, marking a fresh 50-day high and extending weekly gains as Financials and Utilities led broad-based buying, while Health Care lagged. Macro tailwinds supported sentiment, with ABS data showing first home buyer loans rising 6.8% in Q4 2025 and total dwelling loan commitments up 5.1% by volume, signalling resilient housing demand. Stock-specific moves were sharp, with Aussie Broadband, AGL Energy and James Harddie leading gains, while CSL weighed on the index. Overall, the momentum remains constructive, led by cyclicals and financials. Near-term volatility may persist around macro data, but dips look buyable.
In the latest session, the S&P/ASX 200 Index advanced 28.70 points to close at 9,043.50, forming a bullish candlestick on elevated trading volumes—an indication of strong investor confidence and healthy market participation. On the daily chart, the index continues to trade comfortably above its 21-period SMA, which is acting as key dynamic support and reinforcing the short-term uptrend. Immediate support is seen near 8,960.70, and holding above this level would help preserve the bullish structure while allowing for consolidation or further upside. A decisive break below this support could introduce short-term volatility. On the weekly chart, the index remains well above its 21-period SMA, highlighting a robust medium- to long-term trend and confirming that the broader market bias remains positive despite near-term fluctuations.







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