The S&P/ASX 200 Index (ASX: XJO) is storming higher on Friday thanks to strong gains in the banking sector. At the time of writing, the benchmark index is up 1.6% to 5,969.9 points.
Four shares that have climbed more than most today are listed below. Here’s why they are surging higher:
The Adbri Ltd (ASX: ABC) share price has risen 5% to $2.85. Investors have been buying the building materials company’s shares on Friday after the government announced plans to relax its responsible lending rules. This has sparked hopes that it could boost the housing market and ultimately lead to increasing demand for Adbri’s products. This would be a big lift for its struggling Australian business.
The Brickworks Limited (ASX: BKW) share price is up almost 3% to $19.20. This appears to have been driven by a positive broker note. This morning analysts at Morgans upgraded the company’s shares to an add rating with an improved price target of $19.98. It was pleased with Brickworks’ better than expected FY 2020 result and notes that management’s outlook was cautiously optimistic.
The Northern Star Resources Ltd (ASX: NST) share price has climbed 2.5% to $13.51. Investors have been buying Northern Star and other gold mining shares today after the spot gold price rebounded from its two-month low overnight. This has led to the S&P/ASX All Ordinaries Gold index rising by a solid 2% at the time of writing.
The Westpac Banking Corp (ASX: WBC) share price has jumped almost 7% to $17.49. This follows the aforementioned news that the government intends to relax responsible lending rules. These changes should be a boost to the bank’s lending in the near term. In addition, this morning analysts at Goldman Sachs put a buy rating and $19.80 price target on its shares. They believe Westpac’s shares could re-rate higher now its AUSTRAC issue has been settled.
Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.
Find out the names of our 3 Post COVID Stocks – For FREE!
*Returns as of 6/8/2020
More reading
- Why the Westpac (ASX:WBC) share price is storming 6% higher
- Is the Soul Patts (ASX:SOL) share price a buy?
- 5 things to watch on the ASX 200 on Friday
- ASX 200 falls 0.8%, Afterpay (ASX:APT) share price drops 6%
- Westpac (ASX:WBC) share price hits 4-month low. Is it time to buy the ASX bank?
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Brickworks. 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.
The post Why Adbri, Brickworks, Northern Star, & Westpac shares are surging higher today appeared first on Motley Fool Australia.
from Motley Fool Australia https://ift.tt/2RXXxrm
Leave a Reply