Over the past week, the S&P/ASX 200 Index (ASX: XJO) rose 4.7%, making it one of the best weeks of the calendar year so far. There were several double-digit ASX 200 winners last week.
The market was led early in the week by optimism about the loosening of pandemic restrictions. ASX travel and tourism shares led early in the week. The major ASX bank shares led throughout the week with some minor profit-taking on Friday.
This is against a backdrop of continuing international tensions and warnings that Western Australia is headed into a recession. Unrest in Hong Kong likely worked to weigh the market down towards the end of the week.
5 ASX 200 winners
Overall, the market started to price in a return to normalcy across several sectors. While still fragile, I believe this trend is likely to continue over the coming weeks. Albeit with a few minor stumbles along the way.
Mid-cap ASX bank share Virgin Money UK (ASX: VUK) was one of the largest ASX 200 winners last week. The company’s share price rose by 20.73% across the week from Monday’s open, carried upwards by the rally in ASX banking shares across the board. Of the banking majors, the Australia and New Zealand Banking GrpLtd (ASX: ANZ) share price rose the most at 16.17%.
The Austal Limited (ASX: ASB) share price rose by 19.29% over the week. The shipbuilder announced on Friday that it was increasing its full-year earnings guidance. Austal is still trading below its 10-year average price-to-earnings ratio.
The Kogan.com Ltd (ASX: KGN) share price rose by 15.42% this week. Across the month of May, the Kogan share price shot up by an impressive 40.55%. On 15 May, the company announced it had purchased furniture outlet Matt Blatt.
Finally, the Flight Centre Travel Group Ltd (ASX: FLT) share price rose by 13.74% over the course of the week. Over May, the company’s share price has jumped by 19.02%.
Unlike the ASX 200 winners, large scale decliners were not common. The market appeared to decline generally across Thursday and Friday in response to global tensions.
One of the few ASX shares to decline by double figures was Freedom Foods Group Ltd (ASX: FNP). The company’s share price fell by 11.64% from Monday’s open, predominantly on Friday. This was in response to an announcement of falls across its revenue channels during the COVID-19 lockdown.
Saracen Mineral Holdings Limited (ASX: SAR) fell by 7.43% over the week, likely due to profit-taking in the gold mining sector. Falls in the AUD gold price have been due to the rising Australian dollar. The US gold price remains at near record-high levels.
Healthcare giant and the ASX’s reigning largest company, CSL Limited (ASX: CSL), saw its share price fall by 6.74% from Monday’s opening price. With a very well-received presentation on future strategic direction, the company slumped on profit-taking on Thursday and Friday.
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Daryl Mather owns shares of Austal Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Austal Limited and CSL Ltd. The Motley Fool Australia owns shares of and has recommended Kogan.com ltd. The Motley Fool Australia has recommended Flight Centre Travel Group Limited and Freedom Foods Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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