Australian Shares Edge Higher as Miners Lead Gains and on Positive U.S. Federal Reserve Comments

2 min read | August 25, 2024 10:20 PM PDT | By Team Kalkine Media

Google News:

Australian Shares Edge Higher as Miners Lead Gains and on Positive U.S. Federal Reserve Comments — Image source: shutterstock

Recent News

The Liquor and Food Divide Reshaping ASX Consumer Stocks

Staples vs Spending Pressure: Why Consumer Stocks Are Back in Focus

What Could MeiraGTx’s Latest Equity Award Reveal About Long-Term Align...

What Could New Equity Awards Signal for Pulse Biosciences’ Ongoing Gro...

Make Kalkine Media
My Trusted Source

Australian shares saw modest gains on Monday, driven by a broad-based rally led by mining stocks. The S&P/ASX 200 index (ASX:XJO) increased by 0.4% to 8,054.6, recovering from a flat close in the previous session. The uptick follows positive signals from the U.S. Federal Reserve that have fueled optimism about potential interest rate cuts in September.

U.S. Federal Reserve's Influence

On Friday, U.S. Federal Reserve Chair Jerome Powell indicated that the "time has come for policy to adjust," suggesting that the central bank may ease monetary policy starting in September. This statement contributed to a rise in U.S. equity markets, with the S&P 500 index climbing 1.15% to 5,634.61 and the Nasdaq Composite (NASDAQ: .IXIC) gaining 1.47%, or 258.44 points.

Local Market Movements

In Australia, investors are awaiting inflation data due on Wednesday, with the week also being notable for corporate earnings reports. The Australian dollar (AUD) saw a slight increase of 0.15% against the U.S. dollar, trading at AU$0.68.

Sector Performance

Financials: Rate-sensitive financial stocks (ASX:AXFJ) saw a rise of up to 0.3%, with the 'Big Four' banks advancing between 0.5% and 0.8%.
Miners: Local mining stocks (INDEXASX:XMM) rose 0.4%, supported by last week's gains in underlying commodity prices. BHP Group (ASX:BHP) and Fortescue Metals Group (ASX:FMG) increased by 0.3% and 0.9%, respectively, while Rio Tinto (ASX:RIO) slipped 0.4%. Chinese iron ore futures on the Dalian Commodity Exchange saw a 0.3% rise on Friday.
Energy: Energy stocks (INDEXASX:XEJ) advanced 1.1%, driven by higher oil prices. Brent crude (LCOc1) futures rose 0.68% to $79.56 per barrel, and U.S. West Texas Intermediate (WTI) crude (CLc1) gained 0.67% to $75.33 per barrel. Woodside Energy (ASX:WDS) was up 0.9%, while Santos (ASX:STO) fell 1.2%.
Technology: Rate-sensitive technology stocks (INDEXASX:XIJ) moved up 1%, with Xero (ASX:XRO) rising approximately 0.3%.
Real Estate: Real estate stocks (INDEXASX:XRE) saw a notable increase of 1.6%, led by Lendlease Group (ASX:LLC) rising 1.3%.

New Zealand Market

Across the Tasman Sea, New Zealand’s S&P/NZX 50 index rose 0.3% to 12,561.91.

Disclaimer

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 LLC (Kalkine Media, we or us) 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/music displayed/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 (public domain/CC0 status) to where it was found and indicated it, as necessary.