ASX 200 shuns fears, closes 0.86% higher as commodities rebound

June 28, 2022 06:22 PM AEST | By Sukriti Nair
Follow us on Google News:


  • ASX 200 continued its gaining streak and closed 0.86% higher
  • Energy and utilities gained as commodities bounced back on fresh sanctions by G7 nations over Russia.
  • Market movers in Australia were mainly miners and energy companies.

 Australian stocks closed trade higher on Tuesday, with benchmark ASX 200 gaining about 0.86% or 57.60 points, settling at 6,763.60. Energy sector pushed the market up along with materials, utilities, and A-REITs. However, other sectors closed trade in the red zone, defying index gains. A bounce back in commodity prices seems to have buoyed the current market recovery. Over last five trade days, ASX 200 has gained 3.68%, though still down about 9.15% on a year-to-date basis.

Market movers

  • Woodside Energy (ASX:WDS) leaped 4.34% following energy sector rally. Data released in the US overnight seemed to have shun worries of investors over a global economic recession and slowdown in energy demand. Notably, energy giant Santos (ASX:STO) gained 2.71% while Beach Energy (ASX:BPT) stood 6.97% higher and Origin energy (ASX:ORG) closed 3.31% higher.
  • Removal of certain Covid-19 restrictions and reducing caseload in China seemed to have pushed iron ore prices higher. As a result, material sector giants Fortescue Metals (ASX:FMG), BHP (ASX:BHP) and Rio Tinto (ASX:RIO) gained more than 3%.
  • While yesterday gold stocks loomed low, today, miner Newcrest (ASX:NCM) made a return, registering a 2.9% gain. Northern Star (ASX:NST) shares also jumped 6.13%. Meanwhile, coal miners New Hope (ASX:NHC) and Whitehaven (ASX:WHC) shot up over 6% and 2%, respectively.
  • On the losing side, consumer discretionary stocks slipped 1.6%. Notably, defying sectoral trend, Salmon breeder, Tassal Group (ASX:TGR) shares spiked 16.12% after getting an improved takeover offer from Canadian seafood business Cooke Inc.
  • Slipping further below the consumer discretionary index, beauty, and wellness business, BWX Ltd. (ASX:BWX) plunged 40.6%. The business had shared expectations of a sharp contraction in full-year earnings by about 59%.

Other noteworthy trends

Market Volatility indicator- A-VIX continued to slide down by 0.818%. Meanwhile All-Ordinaries index gained 0.706%. Large cap stocks represented by ASX 50 index (XFL) climbed 0.822%, while Midcap index ASX Midcap 50 (XMD) gained 0.377%. ASX Small Ordinaries index (XSO) followed along to close  0.17% higher.

Top gainers and losers

  © 2022 Kalkine Media ®, Source- ASX website

Global markets

In the US, Wall Street stocks rebounded sharply overnight. The market seems focused on Fed’s policy responses to record high inflation. Investors are curious to understand how the Fed plans to balance inflation and economic slowdown.

In Asia, despite inflation worries, Japan’s Nikkei gained along with neighbour South Korea’s KOSPI. Meanwhile, Hong Kong’s Hang Seng jumped higher alongside China’s Shanghai and Shenzhen indices. A key market influencer this week is likely to be the Chinese purchasing manager’s index.

On the western side, European stocks are expected bend lower while investors assess the European Central Bank’s annual gathering.


Commodities update

  • Gold lost its shine a bit with the US dollar sliding on diminishing inflation expectations. Benchmark US 10-year treasury yields remained steady, further limiting bullion gains. In order to tighten the leash of sanctions on Russia for its Ukraine invasion, the US, the UK, Japan, and Canada are planning to ban new gold imports from Russia.
  • In other precious metals, silver followed gold and dropped lower, while platinum and palladium prices climbed up.
  • Oil prices edged higher amid tight supplies. Both benchmarks Brent and WTI gained pace. Meanwhile, Group of Seven (G7) nations vowed to increase the supply side pressure with a proposal to cap prices of Russian oil.


The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.

Top ASX Listed Companies

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK