Australia: Banks, healthcare stocks lift shares

AUSTRALIAN shares closed higher on Wednesday (Oct 19), as gains in the healthcare and financial sectors overshadowed losses in gold and energy stocks, while strong US corporate earnings also bolstered sentiment.

The S&P/ASX 200 index finished 0.3 per cent higher. The benchmark rose 1.7 per cent on Tuesday.

Global risk confidence received a boost from Wall Street overnight on positive financial results, even as investors remained cautious about how much hawkish central banks worldwide are willing to be to fight inflation.

“I think the market is probably due for some more upward movement going forward,” said Brad Smoling, managing director at Smoling Stockbroking. “I think we’ve gone through the maximum pessimism phase and people are looking for bargains.”

However, Kerry Craig, global markets strategist from JPMorgan, said investors should be prepared for volatility in the local market to continue, as the bourse has experienced some large swings in the last two weeks.

Back home, financials led gains, climbing about 0.4 per cent, with the three of the country’s “Big Four” banks rising in the range of 0.7 to 1.4 per cent.

The healthcare sector rose 0.5 per cent, helped by a higher US dollar, with index major CSL advancing nearly 0.5 per cent.

On the flip side, the energy sub-index lost about 0.8 per cent, with Woodside Energy and Santos dropping about 1 per cent and 1.3 per cent, respectively.

Additionally, the gold index was dull, falling about 1.1 per cent, on a stronger dollar, with Newcrest Mining trading 1.9 per cent lower.

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Australia: Shares rise as strong US corporate earnings boost banks, tech stocks

Whitehaven Coal shares rose 1.1 per cent, even as it reported a 23 per cent drop in quarterly production due to flooding in New South Wales, where its projects are located.

Inclement weather across South-east Australia has disrupted operations across various companies, as the country continues to reel under the La Nina effect.

In New Zealand, the benchmark S&P/NZX 50 index rose about 0.6 per cent to end at 10,916.7. REUTERS