Conditions are much calmer on the ASX today.
After yesterday's hammering, which saw the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) shed more than 2%, the market has recovered 0.6% today, following the lead set by the Dow Jones overnight and China yesterday.
Australia's energy companies appear to be providing the most drive after a strong rise in oil prices overnight. Woodside Petroleum Limited (ASX: WPL), Oil Search Limited (ASX: OSH) and Santos Ltd (ASX: STO) have all recovered between 3% and 4% while BHP Billiton Limited (ASX: BHP) has edged 0.1% higher.
Meanwhile, most of Australia's banks are also trading in the black with Australia and New Zealand Banking Group (ASX: ANZ) the only exception. While ANZ has fallen 0.1%, Commonwealth Bank of Australia (ASX: CBA) and National Australia Bank Ltd. (ASX: NAB) have risen 0.1%. Westpac Banking Corp (ASX: WBC) is also up 0.6%.
Elsewhere, Telstra Corporation Ltd (ASX: TLS) and Wesfarmers Ltd (ASX: WES) are also on the way up today. Telstra is up 0.8% while Wesfarmers gained 0.4%.
Indeed, today's gains will certainly come as a relief for local investors – many of whom have likely watched their share portfolios hit for six in recent weeks.
As scary as it may be however, now could actually be an excellent time to wade into the market by buying high-quality companies trading at more reasonable prices. While it's possible that there is further pain to be endured in the short-term, shares are highly likely to recover in the long-term, rewarding those investors who buy while prices are low.
