InQueensland

NEWS •⁠ POLITICS •⁠ BUSINESS •⁠ CULTURE

Get InQueensland in your inbox Subscribe

Market powers to seven-month high, leaving bad 2020 memories behind

Business

The ASX 200 hit just over 6200 points today, a seven-month high that eases some of the painful memories of 2020.

Print article

It still has a steep climb to recover all the losses for 2020. The ASX 200 reached 7139 on February 21 before the slide to a low on March 23 of 4546.

The market has shown remarkable resilience considering the economic impact of the pandemic and during the past seven days of trading it has rallied 7 per cent. Just before close the ASX 200 fell to just below the 6200 mark.

Some of the biggest movers since the start of the year have been the New Zealand-based software company Xero whose shares are up 93 per cent. A2 Milk is up 37 per cent, Afterpay is up 167 per cent for the year but much more when it is considered its shares sank to $8.90 in March and today were trading at $95.31.

The rebound in the ASX200 has been driven largely by the response from governments around the globe who have pumped liquidity into the market.

It has been aided by low interest rates and a confidence that the economy would rebound.

Homebuyers have also shrugged off the pandemic and jumped into the real estate market. Owner-occupier home loans in Queensland are up 34 per cent for the year.

In Queensland, battery maker Novonix has had a wild ride. Its shares got to the edge of $2 before Elon Musk killed off speculation that there would be a deal with the Brisbane-based company. Since then its shares have sunk back to $1.19, still a healthy rise from 24 cents in March.

Some of the big losers include travel stocks such as Flight Centre, which has fallen from highs above $45 in January to $14.43. Corporate Travel Management has not been as badly affected. Its high this year was $22.26 and today it was trading at $17.74.

More Business stories

Loading next article