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All Ordinaries (ASX:XAO) holds on despite tech selloff: Inflation increases to 5.2%

The local sharemarket nearly overcame deep selling pressure in the technology sector, with the S&P/ASX200 (INDEXASX: XJO) posting a loss of just 0.1% on Wednesday.

The tech sector fell 1% and healthcare 0.7% as bond yields continue to increase around the world and place pressure on long-term growth companies.

Offsetting the selling pressure was Resmed CDI (ASX: RMD) which rallied by more than 5% after broker Goldman Sachs Group Inc (NYSE: GS), suggested popular weight loss drugs may have less impact on sleep apnea sales than previously expected.

Resmed CDI (ASX: RMD) share price

The property sector unexpectedly outperformed on a day in which inflation looked to be accelerating once again, with the Charter Hall Long Wale REIT (ASX: CLW) trust increasing 2.1%. As was the case in prior days, growth tech stocks Life360 Inc (ASX: 360) and WiseTech Global Ltd (ASX: WTC) both fell by close to 2%.

Corporate stress at Endeavour Group Ltd (ASX: EDV): Inflation acceleration hits market

Casino operator Star Entertainment Group Ltd (ASX: SGR) fell by more than 15% after the company recommenced trading following a $565 million capital raising.

Star Entertainment Group Ltd (ASX: SGR) share price

Interestingly, key shareholder Bruce Mathieson chose not to engage in the 60 cent per share raising at risk of diluting his only recently purchased holding.

Sticking with Mathieson, Endeavour Group Ltd (ASX: EDV) was broadly flat after shareholders voted against his own nomination of a new director to the board. While it must be taken with a grain of salt, monthly inflation data showed an accelerate in cost pressures from 4.9% to 5.2% for the last 12 months. Once again, housing, transport and food were the key contributors, with many suggesting this puts greater pressure on the Reserve Bank to continue hiking rates.

Gas explorer Tamboran Resources Ltd (ASX: TBN) rallied by more than 11% after the company confirmed a significant gas resource at its NT site.

Markets mixed as economic resilience continues, Costco Wholesale Corporation (NASDAQ: COST) outperforms as theft drops

The Dow Jones Industrial Average (INDEXDJX: .DJI) sank again on Wednesday, falling 0.2% on the back of news that durable goods orders increased at a faster than expected 0.2% in August.

The S&P500 (INDEXSP: .INX) finished flat, while the Nasdaq Inc (NASDAQ: NDAQ) gained 0.2% as the tech sector held ground.

The oil price remains an issue with the benchmark hitting a 13-month high and threatening to keep inflation elevated.

In company specific news Costco Wholesale Corporation (NASDAQ: COST) shares gained slightly after delivering a better than expected earnings report. Theft at the company had risen less than expected, something that had become an issue as the cost of living continued to bite.

Costco Wholesale Corporation (NASDAQ: COST) share price

Same store sales were positive once again, 1.1% higher, taking annual revenue to US$242 billion.

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At the time of publishing, the author or their clients may have a financial interest in some of companies or securities mentioned.

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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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