Australian shares follow Wall Street higher, ASX 200 up nearly 1.5% in early trade

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Australian shares follow Wall Street higher, ASX 200 up nearly 1.5% in early trade

 Australian shares follow Wall Street higher, ASX 200 up nearly 1.5% in early trade
Image source: © Ymgerman|


  • ASX 200 opened sharply higher on Monday amid broad-based rally following Wall Street lead 
  • All sectors traded in the green zone in today’s early morning trade, with financials leading gains
  • Shares of the top four ASX banks were up between 2-2.5% 

Australian equities started this week’s trade on a positive note after the US stocks rallied on Friday as weakening economic signals and falling commodity prices led to the expectations that Fed will not be as aggressive on rate hikes as it was thought earlier. The benchmark index ASX 200 was up 1.36% to 6,667.90 points in the initial few minutes of trade. The broader ASX all ordinaries index was up 1.36% at 6,854.5 points. On Friday, the ASX 200 closed 0.77% higher at 6,578.70 points.  

On Friday, the S&P 500 closed with over 3% gains, its’ biggest single-day percentage gain since May 2020, leading to a broad rally on Wall Street as signs of a slowdown in economic growth and the latest pullback in the price of commodities toned down expectations for the Fed’s rate hike plans. This came after a consumer sentiment reading, closely followed by the US central bank, showed a minor easing of inflation on Friday.  

The final reading from a University of Michigan survey, released on Friday Morning, suggested consumer sentiment hit a record low of 50 in June. Besides, the investors were also pleased with another figure in the report, which showed the 12-month inflation anticipations by consumers relaxing back to 5.3%. This was below a preliminary reading just a few days back, which showed inflation expectation at 5.4%.   

On Friday, all three US indices ended higher. The S&P 500 jumped 3.06% to 3,911.74 points. The tech-heavy Nasdaq Composite closed 3.34% higher at 11,607.62 points, while the Dow Jones Industrial Average was up 2.68% to 31,500.68. The pan European STOXX 600 was up 2.62% at 412.93 points.  

Read More: 10 buzzing ASX-listed critical metal stocks to power new energy future  


Metcash Limited (ASX:MTS):  

Today, the share price of ASX-listed wholesale distribution & marketing company remained on investors’ radar after the company announced its financial results for the year ended 30 April 2022. During this period, the Group’s revenue was up 5.9% to $15.2 billion, while its underlying EBIT rose 17.7% to $472.3 million.   

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Meanwhile, the company’s total dividends for FY22 rose nearly 23% to 21.5 cents per share (cps).  

The company is expected to pay a final dividend of 11.0 cents per share (cps), bringing total dividends for FY22 to 21.5 cps, an increase of 22.9% compared to the prior corresponding period.    

Evolution Mining Limited (ASX:EVN):  

Shares of ASX-listed gold miner Evolution Mining Limited grabbed investors’ attention after the company updated its’ expected performance for FY22 and outlook for FY23 and FY24.  

 The gold miner has suggested that in the June 2022 quarter, it expects production to be 15% higher compared to the March 2022 quarter.  

In its FY23 Guidance and FY24 Group Outlook, the Group has indicated that the updated production levels are lower than its previous plans due to delays in achieving the Red Lake transformation.  

Market Action:   

Coming to the top ASX 200 gainers, Imugene Limited (ASX:IMU), Metcash Limited (ASX:MTS) and Pinnacle Investment Management Group Ltd (ASX:PNI) led the pack with 15.151%, 7.263%, and 5.600% gains, respectively. On the flip side, Evolution Mining Limited (ASX:EVN), and Northern Star Resources Limited (ASX:NST) were the top losers, falling 15.533% and 4.193%, respectively.  

On the sectoral front, all 11 sectors traded higher in the early morning trade today, where Financial was the best performing sector. The other sectors which led the gains were the materials, A-REIT, consumer discretionary and others.   

Shares of "Big 4" banks-- Commonwealth Bank of Australia (ASX: CBA), National Australia Bank Limited (ASX: NAB), Westpac Banking Corporation (ASX: WBC), and Australia and New Zealand Banking Group Limited (ASX: ANZ)--were up between 2-2.5% today. 

Read More: CHC, TCL, GMG: Three ASX shares trading ex-dividend this week 



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