Stock market rebounds from worst losing streak in years
Australian shares are recovering from an eight-session losing streak but remain under pressure as the fuel crisis in the Middle East drags on.
The S&P/ASX200 rose 81.6 points, or 0.95 percent, to 8,748.3 points in the middle of the day, while the All Ordinaries index rose 80.8 points, or 0.91 percent, to 8,968.4 points.
This was the top 200’s longest losing streak since 2018.
The rebound comes after oil prices eased after a sharp rise on Thursday and Wall Street hit record highs thanks to strong corporate earnings that helped investors ignore the effects of the Persian Gulf conflict.
“Geopolitical risks are still receding and the balance of probabilities is tilted toward renewed hostilities and a prolonged disruption in global energy markets,” said Kyle Rodda, senior market analyst at Capital.com.
ASX-listed miners led the recovery, with basic materials stocks up 2.3 per cent at midday, while BHP and Rio Tinto gained around three per cent each.
Gold stocks recovered as the precious metal rose to US$4,623 ($A6,420) an ounce, helping the All Ordinaries gold sub-index rise 1.2 per cent.
Evolution rose 2.2 percent to $12.16.
Mixed miners, copper plays, rare earth elements and battery minerals producers all moved higher.
Energy stocks rose 0.2 percent, although Woodside and Santos fell due to the drop in oil prices.
Coal miners have improved overall, while uranium stocks have made a temporary recovery following the sell-off in the second half of April.
Financials rose 0.3 per cent as ANZ kicked off the reporting season, falling 0.8 per cent to $36.46 despite beating expectations for interim profit of $3.8 billion in the first half.
“ANZ delivered a solid result in the first half of 2020, positioning the bank well to manage increasing uncertainty resulting from conflict in the Middle East,” said Senior Credit Officer Daniel Yu, vice president at Moody’s Ratings.
Commonwealth Bank shares were the best performer of the big four, rising 0.3 per cent to $174.17.
Consumer inventories improved, with a 0.5 percent increase in staple foods and a 0.3 percent increase in discretionary products.
Coles rose 0.7 per cent to $22.28 after reporting a three per cent rise in third quarter group sales revenue to $10.7 billion.
SkyCity Entertainment shares fell more than four percent after the casino cut its expected fiscal 2026 earnings to between $180 million and $190 million from a range of $190 million to $210 million.
Industrial stocks rose 1.2 per cent, while Qantas shares, which have extended service changes due to the ongoing Middle East conflict, rose 0.4 per cent to $8.45.
Virgin Australia recovered 0.7 per cent but has lost nearly a quarter of its value since re-listing on the ASX in June 2025.
The Australian dollar was buying 72.02 US cents at 71.16 US cents at 5pm on Thursday.
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