Healthcare stocks and major banks have driven the Australian sharemarket to the brink of a historic milestone.
On Wednesday, strong performances from the big four banks, a rebound in healthcare shares, and renewed investor interest in precious metals pushed the local market close to a record high.
The benchmark ASX 200 surged 91.50 points (1.03%) to close at 8990.99, while the All Ordinaries rose 90.50 points (0.98%) to 9299.00.
Meanwhile, the Australian dollar strengthened against the US dollar, trading at 65.12 US cents.
Gains were widespread across the market, with 10 out of 11 sectors finishing in positive territory.
Healthcare led the charge, climbing 2.07% overall. Among the standout performers, CSL rose 2.58% to $216.45, Pro Medicus gained 1.88% to $292.40, and Cochlear advanced 1.04% to $281.56.
ASX Rallies 1% as Big Banks and Gold Miners Drive the Market Higher
All four major banks recorded gains, with CBA rising 1.45% to $166.78, Westpac climbing 1.98% to $39.15, NAB advancing 1.87% to $43.46, and ANZ edging up 0.53% to $36.10.
The nation’s leading iron ore miners also strengthened, as BHP rose 1.75% to $43.54, Fortescue gained 2.11% to $19.84, and Rio Tinto added 1.77% to $129.69.
Overall, Australia’s sharemarket rallied on Wednesday, even amid mixed signals emerging from Washington.
Healthcare Sector Leads Market Gains
Providing a lift to markets, Federal Reserve Chair Jerome Powell indicated that a cooling US jobs market could pave the way for additional interest rate cuts. However, optimism was tempered by renewed tensions between the US and China.
Together, these developments fueled a flight to safe-haven assets, with gold prices surging past $US4170 ($6395) to reach a new record high, while silver rose above $US60 ($92).
Among local gold miners, Northern Star Resources gained 0.44% to $25.15, Newmont advanced 1.45% to $141, and Genesis Minerals climbed 1.56% to $6.50.
Global X investment strategist Justin Lin noted that gold and silver have become the hottest trades of the year, as investors flock toward gold amid rising geopolitical tensions involving Russia, NATO, and the US-China conflict.
Iron Ore Miners Add Strength to the Market
“Gold remains the ultimate hedge against geopolitical and economic tail risks — a fact investors clearly understand,” Mr Lin said.
Silver has also surged to record highs above US$52, driven by increasing demand, particularly in India, where retail investors are chasing the rally. “Many are turning to silver as gold becomes increasingly expensive,” Mr Lin added.
In corporate news, Bank of Queensland shares rose 1.40% to $7.22 after confirming it had met its FY25 guidance, with cash profits reaching $383 million.
Telix Pharmaceuticals shares skyrocketed 16.30% to $16.70, after the healthcare company announced its revenue outlook would improve, supported by two FDA-approved imaging agents and a rapidly expanding customer base.
The Lottery Corporation shares were unchanged, following a presentation revealing that future jackpots would increase in line with rising ticket prices.
Meanwhile, Articore, parent company of Redbubble, reported its first profitable first quarter in four years, sending its shares soaring 35.82% to $0.325.
Leave a Reply