Australia Market gains 0.5%

The Australian share market finished session higher on Wednesday, 20 October 2021, as sentiment boosted by overnight advances in U.S. shares, with shares in financial and mining companies led rally. At closing bell, the benchmark S&P/ASX200 added 38.82 points, or 0.53%, to 7,413.67. The broader All Ordinaries index added 37.06 points, or 0.48%, to 7,727.24.

Banks stocks gained on expectations they will benefit from a recent uptick in the Australian 10-year bond yield. The big four banks rose between 0.6% and 1.1%.

Shares of materials and resources advanced after benchmark iron ore prices recovered, with global miner BHP hit a one-month high after billionaire Andrew Forrest's sweetened its bid for nickel miner Noront Resources.

 

Tech stocks rose as positive earnings sentiment from tech companies on Wall Street spilled over. Online retailer Kogan.com was up 9.8% to hit its highest in over 1-1/2 months after reporting an increase in gross sales during the September quarter. Codan closed 7.6% higher.

Shares of coal miners fell after the Chinese government said it would intervene to curb surging coal prices, sending Whitehaven Coal's shares down 7.85%. Fellow coal miners Yancoal Australia and New Hope Corp also dropped 6.2% and 4.8%, respectively.

CURRENCY NEWS: The Australian dollar changed hands at $0.7492 following yesterday's climb from below $0.745.

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