The Aussie market is on for its third day of gains, with the futures suggesting a lift of 0.3%. It comes as global equities closed mostly higher overnight, after the UK became the first country to approve the Pfizer/BioNTech COVID-19 vaccine for use, with plans for it to be rolled out as early as next week.
What to watch today:
- Home loan data is out, as well as import and export data for October.
- Yesterday we learnt that Australia’s economy officially snapped out of its first recession in 29 years, as expected. The economy grew 3.3% from July to September beating expectations of 2.6% growth. This is for the September quarter so does not factor in the government’s new budgetary support, and that Victoria was in lockdown. So next quarter should be another strong month for economic growth. You could consider companies that benefit from that; so stocks in banking, property, consumer spending, airlines, travel, and tourism.
- Citi upgraded Qube’s (ASX:QUB) Buy rating with an increased $3.50 price target (implying 20% upside).
- UBS upgraded its Buy rating on Worley (ASX:WOR), an energy and chemical company. UBS increased Worley’s price target to $14.43. Citi also upgraded Worley with a new $14.18 price target.
- Bell Potter reiterated its ‘must have’ champion stocks are likely to see superior earnings and share price growth over the coming years. They include Amcor (ASX:AMC), Transurban Group (ASX:TCL), Challenger (ASX:CGF), Goodman Group (ASX:GMG), Netwealth Group (ASX:NWL), Brambles (ASX:BXB), CSL (ASX:CSL) and Sonic Healthcare (ASX:SHL).
- Medusa Mining (ASX:MML), Baby Bunting (ASX:BBN) and Stanmore Coal (ASX:SMR) are all showing bullish charting signals according to Trading Central.