Investing.com - The Australian sharemarket advanced on Monday afternoon for the second consecutive day, bolstered by a better-than-expected earnings report from JB Hi-Fi Ltd (ASX:JBH) amidst a busy week of corporate results.
The benchmark S&P/ASX 200 Index gained 35 points, or 0.5%, to reach 7812, tracking a rebound on Wall Street as global markets continue to stabilise after last week’s significant drop, which was driven by US recession fears.
On the ASX, nine out of the 11 sectors traded positively, led by technology stocks, which rose 1.7%. The consumer discretionary sector also saw gains, increasing by 1.3%.
Electronics and home goods retailer JB Hi-Fi surged 8.2% after declaring a special dividend of 80¢ per share and reporting better-than-expected profit, along with higher sales for the first month of the new financial year. Despite this, underlying net profit for the 12 months to June 30 fell by 16.4% to $438.8 million. The retailer also announced the acquisition of kitchen, laundry, and bathroom products businesses, E&S Trading Co.
The positive earnings report from JB Hi-Fi buoyed other consumer discretionary stocks, with Harvey Norman Holdings Ltd (ASX:HVN) rising 4.3% and Super Retail Group Ltd (ASX:SUL) gaining 4.5%.
However, not all stocks fared well. Aurizon Holdings Ltd (ASX:AZJ) and Beach Energy Ltd (ASX:BPT) experienced significant declines, pulling the market in the opposite direction. Further details on their performance and contributing factors are anticipated as the week progresses.