The listed property sector has roared back into life with an $18 billion comeback that has seen the sector regain about 50 per cent of its value since crashing to rock-bottom lows two months ago.
(Source: The Australian)
The sector clawed back more than $1.5billion across most property stocks in yesterday’s trading session alone, with the benchmark S&P/ASX 200 REITs index finishing up 809.3 points, compared with 783.9 points in the previous day’s trade.
It comes as researchers become more upbeat on the sector, with property companies improving their debt position through equity raisings.
GPT was yesterday’s star performer, rocketing 12.5 per cent or 6c to close at 54c a security.
Westfield Group gained 71c to close at $12.35, while Stocklands shares ended 16c higher at $3.48.
Citigroup property analyst Peter Cashmore said Australia’s real estate investment trusts had gained more than 49 per cent (or $18 billion) since hitting the bottom on March 9.
He said speculation suggested there were analysts and investors who had upgraded the sector from underweight to neutral or hold in a shift of strategy.
Read Florence Chong’s full article “Real estate trusts blast back to life” in The Australian (June 4, 2009).