Within the ASX 200 (Index: ^AXJO) (ASX: XJO) there are 26 shares which have hit 52-week highs today according to the Australian Financial Review.
There have been a few different catalysts for today's boost and the rise of the Australian share market in recent weeks. The Liberal Federal Election win has given a number of shares a boost.
Today in-particular we learned that US President Donald Trump, the tweeter-in-chief, tweeted "Had a very good telephone conversation with President Xi of China. We will be having an extended meeting next week at the G-20 in Japan. Our respective teams will begin talks prior to our meeting."
Healthy world trade as a whole is essential for Australia which is a large exporter. A lot of Australia's exports, particularly materials, go to China which then exports products to a lot of the world. Both China and the US are very important partners for Australian politically and economically.
Some of the shares to hit year-highs, or even all-time highs, today have been REA Group Limited (ASX: REA), Magellan Financial Group Ltd (ASX: MFG), ASX Ltd (ASX: ASX), BHP Group Ltd (ASX: BHP), Brambles Limited (ASX: BXB) and Nanosonics Ltd. (ASX: NAN).
Time to go all in?
I hope you can tell by the way I worded that question that I don't think now is the time to invest heavily with the market at a multi-year high. 'Buying high' could be just as unwise as 'selling low'.
If you have a regular investment plan then it's probably best to continue with it. It's true that as each day goes by we get closer to another recession. But it could be years away, or even decades away – although that's very unlikely.
As long as you stick to investing in good businesses with solid long-term prospects then I don't think you can go too far wrong. However, as weird as interest rates are these days, we still have to retain a focus on sane valuations.
