Last week the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) bounced back from its market meltdown with a series of solid gains. The benchmark index finished the week with a gain of approximately 3.2%.
Playing a role in this gain were the four shares listed below. Here's why they were the best performers on the ASX 200 last week:
Leading the way last week was the Syrah Resources Ltd (ASX: SYR) share price which was the best performer on the index with a 24.4% gain. This was quite the turnaround for the graphite miner's shares after falling to a five-year low a week earlier. It looks as though investors felt its shares had bottomed after a horror run over the last 12 months following a series of production disruptions.
Not too far behind was the Orocobre Limited (ASX: ORE) share price which recorded a gain of 19.4%. Earlier in the week the lithium miner's shares tumbled to a 52-week low following the release of its quarterly update. But since then the buyers have been queuing up as investor sentiment shifts positively.
Another resources share recording a strong gain last week was Lynas Corporation Ltd (ASX: LYC). The Lynas share price wasn't far behind Orocobre with an 18.3% gain. The market appears to have responded positively to media reports stating that the extension of its temporary permission to store Neutralisation Underflow Residue (NUF) at the Lynas Malaysia site is until mid-February 2019. Management advised that the extension is consistent with the period requested by the company at its under-fire operation.
Galaxy Resources Limited (ASX: GXY) was another lithium miner on the rise last week. The Galaxy share price recorded a 17.8% gain after bouncing back from hitting a 52-week low. I wouldn't be surprised if a lot of this rise was caused by short sellers buying back shares to close positions.
And finally, the Afterpay Touch Group Ltd (ASX: APT) share price was another strong performer last week. The payment solutions company's shares bounced back with an impressive 15% gain after bargain hunters swooped in to take advantage of recent share price weakness.
