👀 Copy Legendary Investors' Portfolios in One ClickCopy For Free

ASX rises amid strong sector performance, potential RBA rate hike looms

EditorPollock Mondal
Published 17/10/2023, 10:46
© Reuters.
AUD/USD
-
AXJO
-
BHP
-
FMG
-
RIO
-
AXDJ
-
AXSJ
-
AXJR
-
BAP
-

On Tuesday, the S&P/ASX 200 index rose by 0.42% to 7056.10, despite a potential rate hike suggested by the Reserve Bank of Australia (RBA). The IT, Property, and Financials sectors led the gains with respective increases of 1.33%, 1.12%, and 0.78%. However, the Healthcare, Utilities, and Consumer Discretionary sectors lagged behind.

Australian bond yields saw an increase on Tuesday, with the 3-year yield reaching 4.08%. Amid this financial landscape, several companies experienced notable fluctuations. Bapcor Ltd reported a decline of 11.53% due to challenging trading conditions in the first quarter of 2024. On the other hand, Hub24 Ltd saw a rise of 1.42% after reporting net inflows of A$2.8 billion at the start of FY24.

In telecom news, TPG Telecom Ltd rallied by 5.6% following reports that Vocus Group Ltd was seeking A$6bn for a takeover and debt refinancing. This news put TPG in focus for investors and market watchers.

Meanwhile, mining company Rio Tinto (NYSE:RIO) Ltd also rallied by 1.2% thanks to strong iron ore prices and higher-than-expected copper production in the third quarter. This positive trend also influenced Fortescue Metals Group (OTC:FSUGY) Ltd and BHP Group (NYSE:BHP) Ltd as Iron Ore prices rose by 2.7% in Asia.

However, gold stocks cooled off after a good run, and uranium stocks including Paladin Energy Ltd pulled back as well. Activist investor Sandon Capital Investments is advocating changes in Magellan Financial Group Ltd's growth strategy, urging the company to focus on its current business before pursuing expansion plans.

Asian stocks were mostly higher on Tuesday, with Hong Kong up by 0.70%, but US Futures were mildly lower. Among the US stocks set to report this week are Blackstone (NYSE:BX) Inc and Freeport-McMoRan (NYSE:FCX) Inc.

In broker moves, AVADA Group was rated as a new buy at Unified Capital and Red 5 was cut to hold at Canaccord.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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.