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ASX 200 little changed as mining stocks fall; Inghams surges

EditorOliver Gray
Published 31/10/2023, 03:35 pm
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Investing.com - The Australian stock market's earlier gains were offset by significant losses in mining stocks during Tuesday's session.

The benchmark S&P/ASX 200 index remained virtually unchanged, slightly up by 0.2%. Meanwhile, the ASX All Ordinaries slipped 0.8 points to 6959.4.

The materials sector was the worst performer, with heavyweight BHP (ASX:BHP) leading the decline. Shares dropped 1.7%, reflecting a weaker iron ore price. Fortescue (ASX:FMG) Metals Group and Rio Tinto (ASX:RIO) also experienced losses, shedding 0.6% and 1.1% respectively.

Overnight on Wall Street, the Dow Jones saw a 1.6% surge or 511 points to 32,928.96. The S&P 500 rose by 49.5 points, or 1.2%, to 4166.82. The Nasdaq composite increased by 146.67 points, or 1.2%, to 12,789.48.

Tech stocks sensitive to interest rates saw a boost, led by Microsoft (NASDAQ:MSFT), Amazon (NASDAQ:AMZN), and Apple (NASDAQ:AAPL). Conversely, Tesla (NASDAQ:TSLA) shares plunged by 4.8%.

West Texas Intermediate, after retreating nearly 4% on Monday, rose towards $US83, erasing all gains following the October 7 attack on Israel. WTI and global benchmark Brent are set to cap declines in October as the risk premium triggered by the conflict fades away.

Australian 10-year bond futures traded at the price of $95, implying a yield of 5%, the highest level since 2011.

In the day's stock movements, poultry company Inghams Group Ltd (ASX:ING) saw a 7% surge, making it the best-performing stock on the ASX 200. Meanwhile, Treasury Wine Estates Ltd (ASX:TWE) is in a trading halt as it plans to buy high-end Californian wine group Daou Vineyards in a deal worth up to $US1 billion ($1.6 billion). Origin Energy Ltd (ASX:ORG) slipped 0.5% after AustralianSuper rejected Brookfield and EIG’s bid for the company. However, Liontown Resources (ASX:LTR) added 0.5% following a promising trading update.

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