Australia: Shares rise on miners, energy uplift; New Zealand climbs

AUSTRALIAN shares rose on Friday, lifted by mining stocks as iron ore prices in China climbed despite fresh Covid-19 curbs in Asia’s largest economy.

The S&P/ASX 200 index rose about 0.8 per cent to 6,704, after adding 0.8 per cent on Thursday. For the week so far, it is up 2.5 per cent. 

Earlier this week, minutes from the US Federal Reserve’s June meeting showed that while the central bank was keen to get prices under control, it also saw the risk of hikes having a “larger-than-anticipated” impact on growth.

On Friday, the Australian mining index jumped as much as 3.2 per cent, eyeing its first weekly rise after four straight weekly losses.

Rio Tinto, Fortescue Metals, and BHP Group rose 2.4 per cent to 3.7 per cent. Energy stocks climbed 2.9 per cent, after Brent crude prices rebounded from losses in the previous session when investors shifted their focus on a global demand crunch.

Index majors like Woodside Energy and Santos strengthened 3.4 per cent and 3.1 per cent, respectively.

Financials were up 0.2 per cent although three out of the “Big Four” banks dropped in the range of 0.1 per cent and 0.3 per cent.

The domestic technology index tracked peers on the Nasdaq Composite Index on Wall Street overnight, rising about 1.1 per cent. Xero and Computershare firmed 1.5 per cent and 0.8 per cent, respectively.

Among individual shares, Vulcan Energy Resources jumped as much as 11.4 per cent, after signing a deal with the renewable energy arm of Italian electricity producer Enel SpA.

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Australia: Miners lift shares, investors digest Fed’s minutes

In New Zealand, the benchmark S&P/NZX 50 index rose about 0.5 per cent to 11,165.7 points.

A Reuters poll indicated that the Reserve Bank of New Zealand could deliver a third successive rate hike to control elevated price pressures. REUTERS