Australia: Shares climb for fourth day, Fortescue gains on leadership changes

AUSTRALIAN shares rose for a fourth straight session on Wednesday, lifted by mining and technology stocks, while miner Fortescue Metals jumped after it announced the return of its founder Andrew Forrest to oversee the iron ore business. The benchmark S&P/ASX 200 index jumped 1.2 per cent to 7,195.5 by 0031 GMT. In other key global markets, Japan’s Nikkei was up 1.4 per cent at 27,034 and S&P 500 E-minis futures were up 0.06 per cent.

Global sentiment improved on signs of demand revival in top consumer China as Covid-19 curbs were set to ease in Shanghai, while US growth stocks showed strength after April retail sales eased worries of a economic slowdown. Nevertheless, US Federal Reserve Chair Jerome Powell said that interest rates would be hiked as much as required to combat surging inflation, a trend other geographies are expected to follow. Export-reliant miners emerged as the top gainers on the Australian benchmark, climbing over 2 per cent on higher iron ore prices. Sector giants BHP Group, Rio Tinto climbed 3.1 per cent and 2.5 per cent, respectively. Fortescue Metals Group, the world’s fourth-largest iron ore miner, climbed near 1 per cent after announcing management changes including the return of its billionaire founder Andrew Forrest as the group’s executive chairman, to specifically oversee the group’s iron ore business. Technology stocks added nearly 1 per cent, hitting their highest in a week, as they tracked overnight gains on Wall Street. ASX-listed shares of Block Inc. and Xero gained 3.7 per cent and 0.4 per cent, respectively. Financials shed 0.1 per cent, with two of the four so-called “Big Four” banks trading in the negative territory. Energy stocks jumped close to a percent on higher oil prices, with sector major Santos marginally edging up. New Zealand’s benchmark S&P/NZX 50 index rose 0.5 per cent to 11,197.6 points by 0031 GMT. REUTERS