Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

Australia shares rise as weaker Aussie dlr boosts export-reliant healthcare stocks

Published 25/03/2021, 05:12 pm
Updated 25/03/2021, 05:18 pm

* Healthcare stocks mark four-day win streak

* Afterpay closes at over two week low, down 1.9%

* Cboe Global Markets to acquire ASX competitor Chi-X Australia

(Updates to close)

By Harish Sridharan

March 25 (Reuters) - Australian shares ended higher after a choppy session on Thursday, led by gains in export-reliant healthcare stocks due to a dip in the Australian dollar.

The S&P/ASX 200 index .AXJO closed up 0.2% at 6,790.6, after slipping as much as 0.1% earlier in the session. The benchmark was up 0.5% on Wednesday.

Export-reliant healthcare stocks .AXHJ saw their fourth consecutive session of gains and hit an over one-month high as a weaker domestic currency continued to benefit companies that earn in U.S dollars.

The Aussie was holding on at $0.7594 AUD=D3 and only a whisker away from the February trough of $0.7564, while the U.S. dollar hit a fresh four-month high against the euro on Thursday. AUD/

"Healthcare has always been a bellwether and they are telling us right now that there is support for defensive positions," said Brad Smoling, Managing Director of Smoling Stockbroking.

Sector heavyweight CSL CSL.AX gained 1.4%, while medical diagnostic services provider Sonic Healthcare SHL.AX rose 1.6%.

Utility stocks .AXUJ also rose, with power producer AGL Energy AGL.AX rising 0.3%.

Australia's technology stocks .AXIJ , however, limited gains and fell 1.1%, tracking an overnight tumble among their U.S. peers. .N

"Concern right now is that since we are seeing the NASDAQ in correction, it is very hard to foresee that this is not going to affect the rest of the market. Naturally, the Australian market is correlating to the selloff," Smoling added.

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

Buy-now-pay-later giant Afterpay APT.AX dropped 1.9% to close at a two week low, while machine learning and AI company Appen Ltd APX.AX sank 3.5%.

Meanwhile, exchange operator Cboe Global Markets Inc CBOE.Z said that it would acquire Chi-X Australia, the country's second largest securities exchange behind ASX ASX.AX

Shares of ASX ASX.AX dropped 1% at close of trade.

New Zealand's benchmark S&P/NZX 50 index .NZ50 closed 0.2% higher at 12,388.06 points. Building materials manufacturer Fletcher Building Ltd FBU.NZ was the top gainer on the bourse.

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.