Australia: Shares rebound on boost from banks, tech

AUSTRALIAN equities climbed on Thursday (Jun 23) after closing slightly lower in the previous session, as gains in financial and tech stocks outweighed losses in mining and energy shares.

The S&P/ASX 200 index rose 0.59 per cent to 6,546.7 by 12.59 am GMT. The benchmark had ended 0.23 per cent lower on Wednesday.

Wall Street's main indexes had erased losses overnight after Federal Reserve Chair Jerome Powell's comments on the central bank's aim to bring down inflation, but then they faded into the close.

Recession worries, however, appear to be paradoxically supporting the stock market by halting the climb in bond yields, which relieves concerns about share market valuations.

In Australia, financials advanced 1.1 per cent, with the "Big Four" banks trading in positive territory. Commonwealth Bank of Australia, the country's biggest lender, climbed 0.5 per cent, while National Australia Bank led the gains, with a rise of 1.3 per cent to a near 2-week high.

Tech stocks jumped the most in a week, climbing 2.1 per cent. ASX-listed shares of Block advanced 4.3 per cent to hit their highest in a week, while battery materials and tech firm Novonix surged 3.1 per cent.

Energy stocks skidded 2.5 per cent to be the biggest laggards on the main index, after oil prices tumbled overnight as investors worried that Fed rate hikes could push the US economy into recession, dampening demand for fuel.

Sector heavyweights Woodside Energy and Santos declined 3.5 per cent and 3.3 per cent, respectively, with Santos hitting its lowest since Mar 17.

Mining stocks fell 2.1 per cent after benchmark iron ore futures tumbled on Wednesday as worries grew about steel oversupply in China, the world's biggest producer of the manufacturing and construction material.

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Australia: Miners pull shares lower on weak commodity prices

Sector heavyweights BHP Group, Rio Tinto and Fortescue dropped between 3.3 per cent and 5.1 per cent, with Fortescue hitting its lowest since Nov 29.

Across the Tasman sea, New Zealand's benchmark S&P/NZX 50 index rose 0.95 to 10,780.4. REUTERS