Source : Perth Now news
Australia’s share market is creeping higher, supported by a rebound in banking, retail, and real estate stocks, as investors shrugged off a slump in US technology companies.
The benchmark S&P/ASX200 index rose 33.2 points by midday on Friday, to be up 0.39 per cent to 8694.1, as the broader All Ordinaries gained 30.8 points or 0.35 per cent, to 8854.
The top-200 is on track for a second week of modest gains, but is down almost 6.4 per cent from early August’s record high of 9296.7.
The bourse shrugged off an overnight slump on Wall Street, after an OpenAI revenue miss dragged chip stocks lower, but capital didn’t flee equities entirely, Moomoo chief market strategist Tapas Strickland said.
“Instead, funds rotated into cyclical and defensive corners, nudging the Dow Jones higher and creating an orderly setting for local resource and financial names,” he said.
Local banks followed the trend, with financials up 0.6 per cent, while Australian IT stocks continued to rebound, along with consumer cyclicals and real estate trusts.
Commonwealth Bank was the best of the big four, up 0.8 per cent to $149.28, while major insurers, AMP and Challenger also outperformed.
Australian miners missed the memo, with raw materials down 0.4 per cent as Fortescue extended its losses after Thursday’s disappointing trading update
BHP fell 0.5 per cent to $60.89 despite a rebound in copper prices.
Gold miners were mixed, the sub-index inching less than 0.2 per cent higher as the precious metal firmed to $US4148 ($A5957) an ounce, while silver traded at $US59.48 ($A85.40) as it narrowed on a third straight week of losses.
The energy sector retreated after advancing for most of the week, after Brent crude eased to $US103.70 after hitting almost $US106 overnight, following a spate of attacks on shipping in the Hormuz Strait and a hurricane disrupting US output.
US President Donald Trump told social media the US was having “productive discussions” with Iran, promising no further attacks until after the midterm elections on November 3.
In company news, construction services group Maas is in a trading halt after Firmus, in which Maas holds a 3.2 per cent stake, pulled its multi-billion dollar listing amid reports it was struggling to find buyers to support its targeted $11 issue price.
Mexican-themed takeaway chain Guzman y Gomez sales surged more than 18 per cent in the September quarter, after fully exiting its US expansion.
Beacon Lighting has appointed former JB Hi-Fi group financial controller James Gray as its chief financial officer, to replace David Gray in January.
The Australian dollar was buying 69.66 US cents, up from 69.46 US cents on Thursday at 5pm.
