Materials Sector: "Maintain Underweight On Miners" – Macquarie

With the extent of translation through to earnings remains uncertain in the Materials sector, Macquarie analysts believe time is not ripe to go long on Materials sector. Jason Todd and team in their April 19 research piece titled: “Romancing the Stone” says Materials need sustained commodity price upside. Recent outperformance needs earnings delivery for Materials Thanks to rise in stimulus spending and investment activity in China during the first quarter, ASX breached 5200 on April 20 for the first time since January 4. Much of the recent move has been driven by the Materials sector, with the sector ranked the…