ASX ends on a high note as bargain hunters return

July 7, 2022 - 1 month ago

The Australian share market rose on Thursday; after taking a cue from Wall Street, investors returned to catch a bargain with materials jumping +2.46%.

Meanwhile, back home, the benchmark S&P/ASX 200 index rose +53.8 points, or -0.53%, at 6,594.5, while the All Ordinaries rose +33.8 points, or +0.50%, to 6,784.3, while our local currency, the Australian dollar, is currently buying US$0.6796.

Apart from materials, on the sectoral front, Discretionary and Financials added to support for the index, while Industrials and information technology struggled to keep afloat.

Information technology crumbled and snapped a four-day bullish streak, with Square falling -1.3% to $97.33.

Crown Resorts also hit the news wires after CEO Steve McCann announced with Wynn veteran Ciarán Carruthers.

The Crown Resorts leadership board also has a few more changes after the Blackstone deal.

In energy, Woodside Energy rose by +0.27 to $30.28, while Santos fell by -1.71% to $6.90, and Beach Energy closed higher by +1.86% to $1.64.

In Financials, the “Fab Four” banks were firmer, with the National Australia Bank ending flat at $28.15, Westpac rose +0.76% to $20.00, ANZ Banking advanced +1.8% to $22.80, and the Commonwealth Bank ended the session higher after adding +1.2% to $93.08.

Investors are now slowly absorbing the minutes from the U.S. Federal Reserve’s most recent interest rate policy meeting that did not offer any major surprises and are now waiting to see what the U.S. Fed will reveal in July’s meeting.

Meanwhile, the minutes from the Fed’s two-day meeting last month showed that the central bank’s policymakers concluded higher interest rates could be needed to restrain what they saw as a worrying trend.

The policymakers also acknowledged that more rate hikes could weaken the economy.

The US dollar index (US DXY), which tracks the greenback against a basket of its peers, settled in New York at 106.92 after soaring to a 20-year high of 107.05.

Still to come is the main event, the U.S. jobs report, which is expected to show that the world’s largest economy added 275,000 Non-Farm Payrolls in June.