Get 40% Off
📈 Free Gift Friday: Instantly Copy Legendary Investors' PortfoliosCopy for Free

Australian shares extend gains on COVID-19 vaccine optimism

Published 08/09/2020, 11:27 am
Updated 08/09/2020, 11:30 am
© Reuters.

* Miners, financials top gainers on benchmark

* Australian banks to buy more govt debt - AFR

Sept 8 (Reuters) - Australian shares rose for a second straight session on Tuesday, as optimism surrounding the development of potential COVID-19 vaccines kept investor sentiment high, with miners and financials leading the charge.

Australia will buy about 85 million doses of two potential COVID-19 vaccines if trials prove successful, Prime Minister Scott Morrison said on Monday, with the first batches of the doses expected to be received by early next year. agreement between Australia and biotech firm CSL CSL.AX to manufacture two potential vaccines came on Monday as Australia reported its lowest one-day rise in new COVID-19 cases since June 26 in the past 24 hours.

The S&P/ASX 200 index .AXJO climbed 1% to 6,007.10 by 0030 GMT in low-volume trade, adding to Monday's 0.3% gain.

About 77.3 million shares had changed hands in early trade, compared with the 30-day average of 767.8 million shares, as stock markets in the United States were closed for a holiday on Monday.

Among gainers, miners .AXMM were the top boosts to the benchmark index, advancing 1.2% on rising iron ore futures and improvement in exports to China, Australia's largest trading partner. IRONORE/ miners BHP Group BHP.AX and Rio Tinto (LON:RIO) RIO.AX gained up to 1.4% each.

Heavyweight financials .AXFJ added 1%, with top lenders Commonwealth Bank of Australia CBA.AX and Westpac Banking Corp WBC.AX rising 1% each.

Meanwhile, the Australian Financial Review reported Australian banks would be required to buy up to A$240 billion ($174.84 billion) of new government debt to boost stability and liquidity levels. added up to 1.5% in its second straight session of gains, helping the healthcare index .AXHJ rise 2.1%.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

In New Zealand, the benchmark S&P/NZX 50 index .NZ50 rose as much as 0.5% to 11,916.230.

Heavyweight blue-chip firms were among the top gainers, with Fisher & Paykel Healthcare FPH.NZ and dairy firm a2 Milk Co ATM.NZ adding about 1.2% each.

($1 = 1.3727 Australian dollars)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.