ASX Stocks Surge as Energy and Tech Sectors Strengthen

Highlights:

• Australian sharemarket climbs past key level, driven by broad sector gains

• Energy, tech, and mining sectors among the top contributors to market strength

• Real estate and financial stocks show resilience ahead of inflation data release

The Australian sharemarket advanced strongly during Tuesday’s session, supported by gains across all industry sectors. The local market moved higher after Wall Street extended its rally, with the S&P 500 marking its longest winning streak since the previous year. A late uptick in buying interest drove the ASX Stocks benchmark, the S&P/ASX 200, above a significant milestone.

Real estate investment trusts, miners, energy producers, technology companies, and financial institutions all recorded notable progress during the trading session. The Australian dollar also strengthened against the US dollar, reflecting improved market sentiment.

Mining and Financial Sectors Support Growth

Australia’s dominant mining companies, which form a substantial part of the sharemarket, delivered solid performances. Iron ore producers BHP Group (ASX:BHP), Fortescue Metals Group (ASX:FMG), and Rio Tinto (ASX:RIO) each posted gains amid optimism surrounding international trade relations.

Mineral Resources (ASX:MIN) recorded a significant increase, rebounding despite recent setbacks. The company reiterated its commitment to improving corporate governance, with leadership changes expected by mid-year.

The major banks also contributed to the session’s strength. Commonwealth Bank (ASX:CBA), Westpac Banking Corporation (ASX:WBC), National Australia Bank (ASX:NAB), and Australia and New Zealand Banking Group (ASX:ANZ) all advanced during morning trade, although some gains were trimmed later in the session.

Energy Sector Drives Market Gains

Energy companies led the session’s gains as oil prices found stability following recent declines. Brent crude and West Texas Intermediate prices reflected steadier conditions amid economic developments and diplomatic negotiations.

Woodside Energy (ASX:WDS), Australia's largest oil and gas producer, moved higher following the final investment decision on a large-scale liquefied natural gas project in Louisiana. This development marked a significant step for the company’s international expansion strategy.

Other energy players such as Santos (ASX:STO) and Ampol (ASX:ALD) also recorded improvements. Coal producers Whitehaven Coal (ASX:WHC) and Yancoal (ASX:YAL) added to the sector’s strong showing.

Tech Stocks Show Positive Momentum

The technology sector delivered robust gains during the session, with leading names advancing strongly. WiseTech Global (ASX:WTC) and accounting software provider Xero (ASX:XRO) moved higher, supported by improving sentiment in the tech space.

Life360 (ASX:360), a company specialising in location-based services, experienced notable appreciation. Strength across the technology sector contributed meaningfully to the broader market’s performance.

Real Estate Sector Advances Ahead of Economic Data

Real estate stocks climbed as market participants awaited key inflation data, which will be influential for future monetary policy decisions. Interest rate-sensitive sectors, including real estate, benefited from positioning ahead of the upcoming figures.

Goodman Group (ASX:GMG), a major operator in data centres and logistics facilities, gained ground. Retail property owners Scentre Group (ASX:SCG) and Stockland (ASX:SGP) also advanced, helping lift the broader sector.

Corporate Developments Influence Stock Movements

In the corporate space, Endeavour Group (ASX:EDV) announced leadership changes, with a new chief executive to take over in the coming months. The news contributed to positive sentiment around the stock, which recorded modest gains during the session.

Mixed Performance on Wall Street

Overnight trading on Wall Street saw the major indices experience a relatively quiet session ahead of key economic reports expected later in the week. The S&P 500 extended its recent run, the Dow Jones Industrial Average posted gains, while the Nasdaq Composite saw minor declines.

Movements among leading technology firms such as Amazon, Microsoft, Meta Platforms, and Apple were mixed, with earnings reports pending. Economic expectations pointed towards slower growth, with forecasts indicating a moderation in both gross domestic product expansion and employment growth compared to prior periods.