Get 40% Off
🤯 Perficient is up a mind-blowing 53%. Our ProPicks AI saw the buying opportunity in March.Read full update

Australia shares rise on lift from financial, energy stocks

Published 21/10/2020, 04:47 pm
© Reuters.

* "Big Four" banks boost financial sub-index

* Woodside, Santos advance ahead of qtrly production on Thursday

* Healthcare stocks mark worst session since Oct.2 (Updates to close)

By Nikhil Subba

Oct 21 (Reuters) - Australian shares closed higher on Wednesday, supported by gains in financial and energy stocks, on hopes that the United States was nearing a deal on a stimulus package.

The S&P/ASX 200 index .AXJO closed 0.1% higher at 6,191.80 following Tuesday's 0.7% slide.

Wall Street gained overnight as U.S. House Speaker Nancy Pelosi expressed hopes of clearing the coronavirus relief package this week, bringing some stability to markets amid heightened uncertainty ahead of the presidential election. the moment where we are being pushed and shoved around by the hopes for U.S. stimulus... hopes yet again that they are going to get something before the election," said Henry Jennings, a senior analyst and portfolio manager at Marcustoday.

Adding to the upbeat mood, AstraZeneca Plc's AZN.L COVID-19 vaccine trial in the United States was expected to resume as early as this week, a Reuters report said. financial sub-index .AXFJ rose about 1%, boosted by gains in the "Big Four" banks.

Australia and New Zealand Banking Group ANZ.AX , National Australia Bank NAB.AX , Commonwealth Bank of Australia CBA.AX and Westpac Banking Corp WBC.AX rose between 0.8% and 1.6%.

"If we see U.S. futures doing well, our market will tend to follow and the banks being such a big part of our index, that's one of the places that people put their money," Jennings said.

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

U.S. stock futures EScv1 were up 0.71%.

The energy sector .AXEJ rose 1.3% boosted by Woodside Petroleum WPL.AX and Santos STO.AX , which gained about 2% each, ahead of their quarterly production numbers on Thursday.

On the downside, healthcare stocks .AXHJ closed down 1.1% and marked its worst session since Oct. 2. Industry behemoth CSL CSL.AX slid 1.3%, while Mesoblast MSB.AX declined 4.4%.

New Zealand's benchmark S&P/NZX 50 index .NZ50 slipped 0.2% to finish the session at 12,432.61, with losses led by Scales Corporation Ltd SCL.NZ and Goodman Property Trust GMT.NZ , which fell about 2.8% each.

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.