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All Ords (INDEXASX:XAO) rallies on iron ore

The All Ordinaries (INDEXASX: XAO) posted another positive day despite growing pressure from a renewed surge in bond yields towards 4.2 per cent.

Once again it was strength in the iron ore price, as the world awaits more stimulus in China, which sent it towards US$110, and boosted the likes of Rio Tinto Ltd (ASX: RIO) by 3 per cent.

Utilities also gained, boosted by AGL Energy Limited (ASX: AGL) which was 2.7 per cent higher, while property sold off by 1 per cent on another threat to valuations.

Shares in blood plasma maker and treatment provider CSL Ltd (ASX: CSL) were unmoved despite suggestions by Macquarie that the share price could reach $500 in the future.

Glove maker Ansell Ltd (ASX: ANN) was the top of the large caps, gaining 6.5 per cent on news the company had completed a $400 million raising at $22.45 per share to fund the purchase of Kimberly-Clark Corp (NYSE: KMB) PPE business.

Rio Rinto share price

Commodity miners rally, on silver, lithium price

It was good news for the broader mining sector as copper and silver producers were supported by the strongest prices in close to a year.

The likes of South32 (ASX: S32) added 1.6 per cent while lithium miner Liontown Resources Ltd (ASX: LTR) gained close to 9 per cent. Ricegrowers (Sunrice) gained 1.9 per cent after the NSW confirmed it would extend an export license agreement, while shares in Santos Ltd (ASX: STO) sunk by 2 per cent. Santos continues to struggle with a planned PNG LNG project, costing as much as $15 billion, still awaiting a final investment decision.

The build cost is being seen as ‘uneconomic’ following a number of contractor quotes.

On the positive side, business conditions and confidence were unchanged in March, with positive signs in the retail and construction sector offsetting weakness elsewhere.

Markets stagnate ahead of inflation data

Both the S&P 500 (INDEXSP: .INX) and Nasdaq Composite (INDEXNASDAQ: .IXIC) managed small gains on Tuesday, up 0.1 and 0.3 per cent respectively, while the Dow Jones Industrial Average (INDEXDJX: .DJI) fell by less than 0.1 per cent. It markets three straight winning days for the tech-focused benchmark and was boosted by Alphabet Inc Class A (NASDAQ: GOOGL) reaching a new record high.

The Alphabet announced it would be making its AI-powered processing chip to cloud customers in the coming months as it seeks to get an edge on Amazon.com Inc (NASDAQ: AMZN); shares gained 1.1 per cent.

Markets are awaiting another important inflation print on Wednesday morning which will drive sentiment ahead of earnings season. Shares in Boeing Co (NYSE: BA) fell 1.9 per cent after Boeing reported its lowest level of deliveries since mid-2021 as its slow turnaround continues.

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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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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