AUS
NZ
UK
CA
USA
IND
Highlights
- Markets rally ahead of Donald Trump's presidential inauguration.
- Commodity prices show short-term fluctuations with uncertain outlooks.
- Lithium and uranium stocks rise as small caps make significant moves.
The U.S. markets closed higher ahead of Donald Trump's upcoming inauguration as the 47th President, providing a ripple effect that boosted the Australian market on Monday. By mid-morning, the S&P/ASX 200 index had risen 22.50 points, or 0.27%, to 8,332.90, marking a solid start to the week.
Over the last five trading sessions, the index has gained 0.47%, leaving it 2.13% below its 52-week peak. Since Trump's election victory last November, the S&P/ASX 200 has seen an upward climb of over 2%. Monday's gains were broadly supported, with eight out of 11 sectors recording advances.
Among the top-performing sectors were materials, which rose 0.21%, followed by industrials at 0.18% and energy at 0.05%. Analysts highlighted uncertainties in the commodities market, citing geopolitical events and economic conditions as key factors behind short-term volatility.
Daniel Hynes, Senior Commodity Strategist at ANZ, noted, “Supply-demand fundamentals are being influenced by factors like currency movements and market speculation.” Hynes also pointed out that longer-term trends in commodities may only solidify in the latter half of the year.
Specific commodities have exhibited mixed trends. According to Saxo Bank forecasts, crude oil is expected to range between US$65-85 per barrel by 2025, while gold could climb to US$2,900 per ounce, silver may jump to US$38, and copper is projected to edge up to US$4.80 per pound.
Several ASX-listed stocks recorded notable movements in early trade. Lithium miner Pilbara Minerals (ASX:PLS) climbed 3.35% to $2.47, while uranium explorers Deep Yellow (ASX:DYL) and Boss Energy (ASX:BOE) rose by 3.09% and 2.8%, respectively. Small-cap player Ioneer (ASX:INR) rallied nearly 21% after securing a US$996 million loan from the U.S. Department of Energy to advance its Rhyolite Ridge Lithium-Boron Project in Nevada.
Meanwhile, gold stocks faced pressure, with Bellevue Gold (ASX:BGL) down 2.46% to $1.09 and Westgold Resources (ASX:WGR) slipping 1.12% to $2.66.
The S&P/ASX 200, comprising the 200 largest publicly traded companies on the ASX by market capitalisation, accounts for approximately 80% of the Australian equity market, serving as a critical indicator of economic performance.
