The Australian stock market is modestly higher on Friday, extending the modest gains in the previous session, with the benchmark S&P/ASX 200 staying above the 7,300 level, following the firmly positive cues overnight from Wall Street, led by energy, technology and mining stocks amid rising crude oil and metal prices. The upside is limited as the country struggles to contain the domestic coronavirus situation, primarily in Victoria.
Victoria reported 2,179 new locally acquired cases and six deaths on Thursday, with active cases now totalling 21,324 across the state. NSW has reported 399 new local cases of COVID-19 and four deaths.
The benchmark S&P/ASX 200 Index is gaining 18.20 points or 0.25 percent to 7,329.90, after touching a high of 7,373.20 earlier. The broader All Ordinaries Index is up 20.30 points or 0.27 percent to 7,640.50. Australian markets ended modestly higher on Thursday.
Among major miners, BHP Group is gaining more than 2 percent, Mineral Resources is rising almost 2 percent, Fortescue Metals is higher by almost 1 percent and OZ Minerals is adding almost 4 percent. Rio Tinto losing more than 1 percent after it downgraded its full year iron ore shipment targets.
Oil stocks are mostly higher. Woodside Petroleum is gaining almost 1 percent, Origin Energy is edging up 0.2 percent and Beach energy is adding more than 1 percent. Oil Search is edging down 0.1 percent. Santos is flat.
Among tech stocks, Xero, WiseTech Global and Afterpay are gaining more than 1 percent each, while Appen is adding almost 3 percent.
Among the big four banks, ANZ Banking is edging up 0.4 percent and Westpac is edging up 0.1 percent, while Commonwealth Bank is edging down 0.2 percent. National Australia Bank is flat.
Gold miners are mixed. Gold Road Resources is losing almost 2 percent and Northern Star Resources is edging down 0.3 percent, while Resolute Mining, Newcrest Mining and Evolution Mining are flat.
Shares in IAG are shedding more than 3 percent after it has being sued by the regulator for failing to pass on $60 million worth of discounts to NRMA home, motor, caravan and boat insurance customers.
Shares in Treasury Wine Estates are declining more than 5 percent after the winemaker warned investors that it is running behind expectations as lockdowns and soaring case numbers continue to hinder sales.
In the currency market, the Aussie dollar is trading at $0.742 on Friday.
On Wall Street, stocks moved sharply higher over the course of the trading session on Thursday, adding to the gains posted on Wednesday. With the strong upward move, the Dow ended the session at its best closing level in over a month.
The major averages ended the session just off their best levels of the day. The Dow jumped 534.75 points or 1.6 percent to 34,912.56, the Nasdaq surged 251.79 points or 1.7 percent to 14,832.43 and the S&P 500 shot up 74.46 points or 1.7 percent to 4,438.26.
The major European markets also moved to the upside on the day. While the U.K.’s FTSE 100 Index advanced by 0.9 percent, the German DAX Index and the French CAC 40 Index surged up by 1.3 percent and 1.4 percent, respectively.
Crude oil futures settled higher Thursday as the International Energy Agency (IEA) lifted its global oil demand forecast. West Texas Intermediate Crude oil futures for November rose $0.87 or 1.1 percent at $81.31 a barrel, the highest level since October 2014.
Market Analysis
Australian Market Modestly Higher
2021-10-15 01:28:21
