AUS
NZ
UK
CA
USA
IND
Highlights
- The S&P/ASX 200 Index rises 1.4%, led by strong performances from banks and tech stocks.
- Australia’s December employment numbers show a surprising increase of 56,300 jobs.
- Zip Co (ASX:Z1P) surges 7.1% on stronger-than-expected holiday demand from US competitor Sezzle.
The Australian share market has remained robust, seeing a 1.4% boost on the back of gains across multiple sectors despite a mixed jobs report. By mid-afternoon Thursday, the S&P/ASX 200 Index had gained 123.8 points, climbing to 8327.1 points. The All Ordinaries, a broader measure, posted a solid rise of 1.3%.
A key factor behind the positive market sentiment was the performance of the banking and technology sectors, which saw significant upswings. This surge came amid global enthusiasm for risk assets, boosted by a softer US consumer price index (CPI) reading. This relief around inflation, particularly in the United States, has spilled over into global markets, supporting local price movement.
In a notable development, the Australian Bureau of Statistics revealed surprising employment figures for December, where jobs grew by 56,300, far exceeding economist forecasts which had anticipated a modest rise of 15,000. However, despite this strong job data, the unemployment rate edged up to 4%, aligning with consensus estimates and reflecting a resilient labor market.
Global forces also played a role in the market’s strength, with Wall Street enjoying a rally following a cooling US inflation reading. As a result, local analysts and economists suggest that the Reserve Bank of Australia (RBA) is unlikely to introduce rate cuts imminently. Capital Economics' Abhijit Surya commented that while the labor market remains strong, there is no pressing need for policy relaxation, maintaining expectations that the RBA could stay put until May.
Within the ASX, financials were a key highlight, with the country's major banks showing solid gains. Commonwealth Bank (ASX:CBA) surged 2.7%, while Macquarie Group (ASX:MQG) led with an impressive 2.8% increase. Tech stocks such as WiseTech Global (ASX:WTC) also made gains, with the company up 1.1%.
The standout performer for the day was Zip Co (ASX:Z1P), which jumped 7.1%, propelled by its US competitor Sezzle’s announcement that it would exceed revenue growth targets for the year, bolstered by robust demand during the holiday season.
Other notable performers included Tabcorp Holdings (ASX:TAH), which gained 6.3%, following the announcement of a new appointment, and MLG Oz (ASX:MLG), up 8.7%, after Northern Star Resources (ASX:NST) awarded the company a new contract for mining services.
This strong market trend highlights both domestic resilience and international momentum helping drive local stock valuations higher.
