Advertisement

Updated January 19th, 2024 at 07:44 IST

Financials, mining rally ends Australian shares' 5-ay losing streak

The recovery was driven by a resurgence in the mining and financial sectors, with traders assessing improving conditions in commodities and global markets.

Business Desk
ASX
Australian shares | Image:ASX
Advertisement

Australian shares snap losing streak: Australian shares broke a five-day losing streak on Friday, rebounding with a 1.2 per cent gain in the S&P/ASX 200 index to reach 7,422.10 points by 00:10 GMT. 

The recovery was driven by a resurgence in the mining and financial sectors, with traders assessing improving conditions in commodities and global markets.

Advertisement

US shares closed near record highs on Thursday, contributing to the positive momentum in global markets. 

In the Australian market, heavyweight mining stocks rebounded after four consecutive sessions of losses, aligning with an uptick in iron ore prices and reducing weekly losses to 3.8 per cent. 

Advertisement

Notable gains were observed in mining giants BHP Group (1.2 per cent), Rio Tinto (0.8 per cent), and Fortescue (1.6 per cent).

Financials also saw a notable uptick, surging up to 1.3 per cent to reach their highest level since February 8, 2023. 

Advertisement

The "big four" banks experienced gains ranging from 1.1 per cent to 1.8 per cent. Energy stocks rose by 1.4 per cent, benefitting from higher oil prices following the International Energy Agency's optimistic forecast for global demand growth.

Whitehaven Coal, Australia's largest independent coal miner, emerged as the top gainer on the market with a 7.3 per cent jump. This was prompted by the company's announcement of increased quarterly production and plans to sell a stake in a recently acquired mine from BHP.

Advertisement

Gold stocks recovered after three consecutive days of losses, supported by safe-haven demand amid the Middle East conflict. 

The gold sub-index rose by 0.8 per cent on Friday, though it remained on track for a weekly decline of 5.5 per cent. Notable performers included Northern Star Resources (1.3 per cent climb) and Evolution Mining (1.4 per cent jump).

Advertisement

Information technology firms in Australia followed the upward trend set by their Wall Street counterparts, experiencing gains of up to 2.4 per cent. Additionally, healthcare companies posted a 1.6 per cent increase.

Across the Tasman Sea, New Zealand's benchmark S&P/NZX 50 index climbed by 0.4 per cent, reaching 11,728.24 points.

Advertisement

Published January 19th, 2024 at 07:44 IST

Your Voice. Now Direct.

Send us your views, we’ll publish them. This section is moderated.

Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Whatsapp logo