Australia: Shares snap 2 days of losses aided by resources stocks

AUSTRALIAN shares snapped their 2-day losing streak on Wednesday (Aug 24), aided by soaring mining and energy stocks, while economic data and hawkish comments from a US Federal Reserve official kept sentiment in check.

The S&P/ASX 200 index ended 0.5 per cent higher at 6,998.1 points at the close of trade, after shedding around 2 per cent over the previous 2 sessions.

Global investor sentiment remained subdued on indications of a slowdown after economic data showed contraction of private sector business activity in US and hawkish comments by a Federal Reserve official.

“Given we are approaching the Jackson Hole Symposium, I’d expect traders to be less willing to take a directional punt on the markets. So we could be in for a couple of days of choppy trade until we see just how hot (or not) inflation is,” said Matthew Simpson, senior market analyst at StoneX Financial.

Export-centric miners jumped 1.3 per cent after China’s iron ore prices rose on prospects of strong demand ahead of peak construction season.

Sector giants BHP Group and Fortescue Metals Group added 1.1 per cent and 0.4 per cent, respectively.

Financials too joined the broader rally, rising 0.4 per cent with all of the so-called “Big Four” banks trading in positive territory.

Energy stocks emerged as the top gainer on the benchmark with a 2.8 per cent jump through the session, with Santos and Woodside Energy Group gaining 2.1 per cent and 3.4 per cent, respectively.

Domestic technology stocks jumped over 2 per cent, even as their overseas peers slipped overnight, largely boosted by sector major WiseTech Global’s full-year results.

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Australia: Shares rise on energy and mining boost

The software solutions provider soared over 12 per cent after posting a 72 per cent jump in its underlying net profit after tax to A$181.8 million (S$175.4 million).

New Zealand’s benchmark S&P/NZX 50 index ended 0.1 per cent higher at 11,655.3. REUTERS