Australian shares saw a mixed trading session on Tuesday, with miners and IT stocks driving gains while real estate stocks weighed down the market. The S&P/ASX 200 index inched up by 0.2% to close at 7997.7, with the benchmark briefly crossing the 8,000 point level for the first time since early August.
Miners were among the top performers of the day, with the heavyweight mining sector adding 1.1% fueled by rising iron ore prices. The strength in steel prices pushed iron ore prices higher for the second consecutive session, benefiting mining giant BHP Group, which rose by as much as 1.5%. The resolution of a strike at Chile’s Escondida copper mine, the world’s largest, also contributed to the sector’s gains.
On the other hand, real estate stocks took a hit, with the sector losing 1.6%. Real estate firm Dexus suffered its worst session in over four years, plummeting by as much as 9.1% after reporting a widened annual loss. This decline in real estate stocks limited the overall gains in the market.
Rate-sensitive financials managed to eke out a 0.3% gain, with one of the „Big Four“ banks, ANZ Group, rising by 0.6% after reporting an increase in its loan book from the previous quarter. Health stocks also saw a modest gain of 0.3%, driven by CSL, Australia’s priciest stock, which rose by 0.2%.
IT stocks were among the top performers of the day, rising by 1.3% in line with their U.S. counterparts. Market participants also closely analyzed the Reserve Bank of Australia’s minutes from its recent policy meeting, where it decided to keep its cash rate unchanged. The minutes were perceived as well-balanced, with optimism about future economic growth and labor market conditions offsetting concerns about a potential late-cycle rate hike.
In New Zealand, the benchmark S&P/NZX 50 index fell by 0.8% to close at 12558.08, reflecting the mixed sentiment in the broader market. Overall, the Australian market showed resilience despite the mixed performance of different sectors, with miners and IT stocks driving gains while real estate stocks limited the overall upside.