Source : Perth Now news
Australia’s share market is trading higher, trailing a tech-led Wall Street rally that pushed the Nasdaq to a record close.
The benchmark S&P/ASX200 index rose 47.6 points by midday, up 0.55 per cent, to 8734, as the broader All Ordinaries advanced 47.5 points, or 0.54 per cent, to 8906.7.
“Local investors are taking their cue from another record-breaking session on Wall Street, where relentless momentum across technology and artificial intelligence infrastructure continues to outrun bond market headwinds,” Moomoo chief market strategist Tapas Strickland said.
A slide in Brent crude oil futures to US$100 a barrel – aided by G7 reserve releases – provided additional relief for local sentiment at the opening bell, he said.
Only two of 11 local sectors were trading significantly lower by lunchtime, with energy and technology companies on the back foot.
The dip in crude prices weighed on local energy stocks, the sector down 0.1 per cent as oil, gas, coal and uranium producers sold off, along with refinery operators.
Local technology companies’ 1.4 per cent slump was relatively broad-based, excepting Xero, which gained 1.6 per cent as dip-buyers stepped in.
The accounting software player has plummeted more than 70 per cent since June amid fears of a “SaaS-pocalypse” — the perceived threat artificial intelligence could render Software as a Service (SaaS) models obsolete.
The health care and real estate sectors each gained more than one per cent in their own respective rebounds from recent selling pressure.
Heavyweight raw materials stocks did some major lifting, with the sector up 0.7 per cent as mega miners BHP, Rio Tinto and Fortescue ambled higher and copper prices advanced for a third session, despite iron ore futures trading at two-year lows around $US91.50 a tonne.
Gold stocks continued to stagnate as the precious metal traded at $US4138 ($A5926) an ounce, having consolidated within a tight trading range for more than a week.
Recently under-pressure financials stocks crept 0.3 per cent higher, with decent lifts in insurers, investment firms and financial services, but the banks remained mixed.
NAB shares gained 0.8 per cent to $38.71, while ANZ and CommBank dropped 0.3 per cent each, and Westpac traded roughly flat.
Consumer discretionary stocks gained 0.8 per cent, after tumbling as much as 17 per cent since August, as living costs and higher interest rates continued to weigh on confidence.
The rebound came as both ANZ and Westpac’s monthly surveys showed consumer confidence has continued to decline.
In company news, Droneshield has poached Candice Driver from Regal Partners to become its company secretary, replacing Carla Balanco.
A Macquarie investigation into KPMG found the latter’s use of the bank’s confidential data indicated “culture issues” at the accounting firm, which was dropped as Macquarie’s preferred auditor in August.
The Australian dollar is buying 69.70 US cents, up from 69.41 US cents on Monday at 5pm.
