Mid-Session 29 May 20: ASX 200 retreats as investors opt for caution ahead of the weekend

Local shares are giving back nearly all of yesterday’s gains, this follows losses on Wall Street as US President Trump announced he would hold a press conference discussing China with tensions building between the two countries. Despite today’s declines the benchmark index is still ~5% higher for the week, making it a fifth consecutive weekly improvement, while also advancing for a second month in a row, up 4.5% in May. At its lows in late March the ASX 200 was down 34% for the year but has since recovered to be down 12% year-to-date.

This report is approved and distributed in Australia by Commonwealth Securities Limited ABN 60 067 254 399, AFSL 238814 (CommSec) a wholly owned but non-guaranteed subsidiary of Commonwealth Bank of Australia ABN 48 123 123 124, AFSL 234945 (the Bank). The Bank and its subsidiaries have effected or may effect transactions for their own account in any investments or related investments referred to in this report. This report is not a recommendation to buy, sell or hold any securities or financial products, and has been prepared without taking account of the objectives, financial or taxation situation or needs of any particular individual. For this reason, any individual should, before acting on the information in this report, consider the appropriateness of the information, having regard to the individual's objectives, financial or taxation situation and needs and, if necessary, seek appropriate professional advice. This report is produced by Commonwealth Research based on information available at the time of publishing. We believe that the information in this correspondence is correct and any opinions, conclusions or recommendations are reasonably held or made as at the time of its compilation, but no warranty is made as to accuracy, reliability or completeness. To the extent permitted by law, neither the Bank nor any of its subsidiaries accept liability to any person for loss or damage arising from the use of this report.