Australia: Mining and energy stocks push shares higher

AUSTRALIAN shares edged higher on Tuesday, as strong commodity prices boosted mining and energy stocks, while investors braced for a likely 75-basis-point rate hike by the US Federal Reserve this week.

The S&P/ASX 200 index had risen 0.14 per cent by 0021 GMT after closing little changed in the previous session.

Iron ore prices rose on Monday as hopes grew of a third-quarter economic rebound in top steel producer China, while oil prices jumped on supply fears and a dip in the US dollar.

Miners jumped 1.4 per cent to lead gains on the benchmark, with iron ore behemoths BHP Group and Rio Tinto rising more than 1 per cent each.

Energy stocks climbed 1.4 per cent, with oil and gas majors Woodside Energy and Santos adding 1.1 per cent and 2 per cent, respectively. Financials advanced 0.31 per cent, with three of the “big four” banks trading in positive territory. 

Technology stocks dropped 0.92 per cent, tracking losses in their Wall Streets peers as investors fretted that aggressive rate hikes could tip the US economy into recession.

ASX-listed shares of Block Inc slipped 3.1 per cent, while software company Iress skidded 6.4 per cent and was the top loser on the sub-index.

Gold stocks fell 1.4 per cent on weak bullion prices, with Newcrest Mining, the country’s largest miner, declining 2.9 per cent. 

Among individual stocks, Woolworths Group dropped 1.5 per cent as the country’s largest supermarket chain operator said its chairman would retire in October after seven years in the role.

SEE ALSO

Australia: Shares end subdued ahead of inflation data, Fed decision

New Zealand’s benchmark S&P/NZX 50 index rose 0.04 per cent to 11,203.59. REUTERS