AUS
NZ
UK
CA
USA
IND
Highlights
- ASX rises for the third consecutive session, tracking Wall Street gains.
- Goodman Group (ASX:GMG) and real estate stocks lead the market.
- New Hope Corporation (ASX:NHC) rallies 7.8% on strong earnings and buyback.
The Australian share market continued its upward momentum, marking its third straight session of gains as positive sentiment from Wall Street carried through to local trading. The S&P/ASX 200 index rose 0.6%, adding 49.3 points to reach 7903.4 by late morning, while the All Ordinaries index also advanced by 0.6%.
A key factor behind this rally was an improvement in consumer confidence in the U.S., with retail sales rebounding 0.2% in February following a steep decline in January. While this missed economist expectations of a 0.6% increase, it provided reassurance that consumer spending remained stable. The U.S. equity market responded positively, with 10 of the 11 sectors in the S&P 500 moving higher, led by real estate. This optimism extended to the Australian market, with all 11 ASX sectors trading in positive territory.
Real Estate and Banking Stocks in Focus
The real estate sector emerged as the standout performer, driven by gains in property stocks. Goodman Group (ASX:GMG) advanced 1.3%, trimming earlier gains of nearly 2%. Charter Hall (ASX:CHC) and GPT Group (ASX:GPT) also gained more than 2%, contributing to the sector’s strength.
Banking stocks were another major force behind the ASX rally. Commonwealth Bank (ASX:CBA) moved up 0.6%, while Westpac (ASX:WBC) extended its gains with a 1.2% rise. Investors showed confidence in the sector amid steady financial conditions and a risk-on sentiment in the broader market.
Iron Ore Stocks Pull Back as Prices Decline
Despite broad gains across the market, iron ore miners faced pressure as traders locked in profits following a recent rally. Iron ore prices declined toward $101 per tonne due to mixed economic data from China, affecting market sentiment. Fortescue (ASX:FMG) dropped 1.3%, while gold miners displayed mixed performance.
Corporate News Driving Market Moves
Among individual stocks, New Hope Corporation (ASX:NHC) surged 7.8% after announcing a robust interim profit increase of over 30%, alongside a higher dividend of 19 cents per share and a $100 million share buyback.
Endeavour Group (ASX:EDV) slipped 1.3% following a downgrade from analysts, who raised concerns about leadership turnover and the company’s ability to maintain market share in a competitive environment.
Gold Road Resources (ASX:GOR) fell 4.9% after lowering its production outlook due to operational challenges at its Gruyere joint venture, citing equipment failures and maintenance issues.
Dexus (ASX:DXS) climbed 1.8% amid reports that its Dexus Wholesale Airport Fund is seeking high-net-worth investors for a potential bid on a stake in two Australian airports.
Austal (ASX:ASB) saw a sharp rise of 6.4% after South Korean company Hanwha launched a takeover offer worth up to $180 million for a 9.9% stake in the shipbuilder at $4.45 per share.
Meanwhile, Contact Energy (NZX:CEN) reported a drop in sales across its customer and wholesale businesses in February due to weaker electricity demand, with its stock trading flat in early trade.
Looking Ahead
With the ASX maintaining its upward trajectory, market participants will be closely watching further economic data and global trends. While gains in real estate and banking have supported the recent rally, fluctuations in commodity prices and corporate announcements are likely to influence market direction in the coming sessions.
