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ASX 200 morning report – ResMed shares in focus

Australian investors had some respite on Friday, as volatility disappeared and the S&P/ASX 200 (ASX: XJO) gained 2.2% to finish the week.

There was little news driving the rebound, aside from perhaps the realisation that whilst rates may rise sooner than expected, they remain fixed near zero.

CSL Limited (ASX: CSL) was a major contributor, gaining 3.2% after a difficult week. But it was the consumer sectors, both discretionary and retailers, that drove returns gaining 3.3% each.

Traditional value sectors and the beaten-down ASX technology group continued to underperform.

Big names delivered strong rallies, including Boral Limited (ASX: BLD) and Macquarie Group Ltd (ASX: MQG), which gained close to 5% each.

Featured video: 4 ASX ideas for 2022 & beyond

ResMed delivers growth

ResMed (ASX: RMD) released its second-quarter update, delivering another 12% in top-line revenue growth, hitting US$894.9 million.

However, margins weakened by more than 1% as cost pressures continued to bite.

Profit increased 12% as US growth in sleep apnea product sales resumed. ResMed shares finished broadly flat.

ASX 200 drops 2.6% for the week

Over the week, the market still finished 2.6% lower, with every sector finishing in the red.

ASX technology shares felt the brunt of the selling pressure, as borderline profitable companies suffered significant drawdowns, pulling the group down more than 7%.

ASX 200 today

Looking ahead, the ASX 200 is set to open lower this morning. This comes despite a positive lead from US markets, with all three US benchmarks rallying to finish the week.

Apple (NASDAQ: AAPL) was a highlight, jumping 7% on the back of a powerful quarterly earnings report. To find out more, check out my US stock market report.

The Golden Rules of Investing

We might be experts in retirement, but with combined financial advice experience of 35+ years, we’ve nearly seen it all. 

In mid-2023, our senior team at Wattle Partners Financial Planning put the finishing touches on a brand-new report “The Golden Rules of Investing“.

In this free report, we outline the key principles that determine all of the portfolio construction and investment decisions of Wattle Partners. Collated over decades, this paper should be seen as a work-in-progress, constantly under review in light of the ever-evolving nature of markets. 

You’ll find the free report on my Author page. Simply click the button below to view the Golden Rules.

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Disclosure: At the time of publishing, Drew owns shares in CSL.

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Wattle Partners is a financial advice firm, servicing clients around Australia, specialising in retirement planning (pre and post retirement). 

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