Real estate and technology were neck-and-neck in the race for the best-performing ASX 200 market sector this week.
ASX property shares came out on top with a 3.98% gain vs. ASX technology shares at 3.92%.
Overall, seven of the 11 market sectors finished the week higher. The S&P/ASX 200 Index (ASX: XJO) gained 1.16% over the past five trading days to close at 7,049.4 points on Friday.
Let's review the week.
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Real estate led the ASX sectors this week
Both the real estate and technology sectors were significantly buoyed by United States inflation data released on Tuesday evening Australian time.
Headline US inflation declined to 3.2% for the 12 months to October, down from 3.7% over the past two months. Core inflation (which excludes volatile items) came in at its lowest level in two years at 4%.
These numbers could signal the end of interest rate rises in the world's biggest economy.
Some of the sector's rapid risers this week were Cromwell Property Group (ASX: CMW) shares, up 18.4%, Centuria Capital Group (ASX: CNI) shares, up 15.1%, Lendlease Group (ASX: LLC) shares, up 9.2%, and Charter Hall Group (ASX: CHC) shares, up 7.9%.
Centuria held its annual general meeting today, where joint CEO John McBain discussed the impact of higher interest rates and rising bond yields in 2023.
McBain said:
Bond yields have risen to levels not experienced in 15 years and all these factors have led to increased volatility across the wider ASX 200 real estate indices and challenging conditions for all companies.
Bell Potter recently initiated coverage on a bunch of ASX REIT stocks. The broker has a buy rating on Centuria Capital shares with a 12-month price target of $1.55. Centuria closed at $1.41 on Friday.
ASX 200 market sector snapshot
Here's how the 11 market sectors stacked up this week, according to CommSec data.
Over the past five days:
| S&P/ASX 200 market sector | Change this week |
| A-REIT (ASX: XPJ) | 3.98% |
| Information Technology (ASX: XIJ) | 3.92% |
| Materials (ASX: XMJ) | 3.11% |
| Healthcare (ASX: XHJ) | 1.68% |
| Industrials (ASX: XNJ) | 1.37% |
| Consumer Discretionary (ASX: XDJ) | 0.09% |
| Consumer Staples (ASX: XSJ) | 0.07% |
| Utilities (ASX: XUJ) | (0.05%) |
| Financials (ASX: XFJ) | (0.53%) |
| Communication (ASX: XTJ) | (1.33%) |
| Energy (ASX: XEJ) | (1.88%) |
