Australia: Shares track global markets higher as Bank of England seeks to quell UK bond rout

AUSTRALIAN shares climbed on Thursday amid a global rebound in equity markets, after the Bank of England said it would take immediate measures to calm Britain’s distressed bond markets.

The S&P/ASX 200 index rose 1.7 per cent by 0024 GMT. The benchmark fell 0.5 per cent on Wednesday.

Global markets recovered marginally after the British central bank said it will launch an emergency bond-buying programme aimed at preventing the market turmoil from spreading.

In Sydney trading, energy stocks led the gains, climbing 2.7 per cent on higher oil prices after US fuel inventory figures showed larger-than-expected drawdowns.

Oil and gas majors Woodside Energy and Santos rising 3.3 per cent and 2.6 per cent, respectively.

AGL Energy gained 2.6 per cent, after the country’s top power producer unveiled plans to invest up to A$20 billion (S$18.7 billion) in new renewable energy by 2036.

Miners advanced 2.7 per cent with iron ore behemoths BHP and Rio Tinto up 2.2 per cent and 1.7 per cent, respectively.

Strong bullion prices lifted gold stocks 4.6 per cent, with country’s largest gold miner Newcrest Mining jumping 3.4 per cent.

Tech index and financials gained over 1 per cent each.

SEE ALSO

Australia: Techs, banks pull shares lower on recession risks

Premier Investments soared 8.4 per cent and was the top gainer on ASX 200, after the fashion retailer posted an annual net profit attributable of A$285.2 million (S$266.6 million), compared with A$271.8 million a year ago.

Separately, Iress, down 17.8 per cent, was the top percentage decliner, after the software provider trimmed its full-year net profit after tax guidance to between A$54 million and A$58 million from the previous range of A$63 million to A$72 million.

The New Zealand benchmark S&P/NZX 50 index rose 1.2 per cent to 11,251.91.

The country’s central bank proposed changes to the means by which banks should apply risk weighting to their exposures under capital adequacy rules. REUTERS