December 5, 2022

Y M L P-211

Business – Once You

Australian Market Declines | Nasdaq

(RTTNews) – The Australian stock market is declining on Monday despite the positive cues from Wall Street Friday following a rebound in tech stocks. Gains by airline and tech stocks were offset by weakness in the heavyweight mining and financial sectors.

The benchmark S&P/ASX 200 Index is lower by 14.40 points or 0.24 percent to 5,950.50, after touching a low of 5,941.00. The broader All Ordinaries Index is down 10.30 points or 0.17 percent to 6,130.20. Australian stocks closed notably higher on Friday.

Among the big four banks, ANZ Banking, Commonwealth Bank and Westpac are lower in a range of 0.9 percent to 1.2 percent, while National Australia Bank is down 0.3 percent.

In the heavyweight mining sector, Rio Tinto and BHP Group are declining more than 1 percent each, while Fortescue Metals is down almost 1 percent.

Gold miners are also lower after gold prices fell to a two-month low on Friday. Evolution Mining is lower by almost 1 percent and Newcrest Mining is down 0.4 percent.

Among oil stocks, Woodside Petroleum, Santos and Oil Search are all down 0.4 percent each after crude oil prices edged lower Friday.

The federal government is extending subsidies for airlines operating flights on key domestic and regional routes in Australia. Shares of Regional Express Holdings are gaining more than 5 percent and Qantas is rising more than 4 percent.

Tech stocks are higher after their U.S. peers rebounded on Friday. Afterpay is gaining more than 3 percent, Appen is rising more than 1 percent and WiseTech Global is up 0.5 percent.

According to reports, Dreamworld’s parent company Ardent Leisure faces fines of up to A$4.5 million after pleading guilty to safety charges over the Thunder River Rapids ride tragedy in 2016. However, shares of Ardent Leisure are advancing more than 1 percent.

On Wall Street, stocks closed sharply higher on Friday as technology stocks rebounded from recent weakness. Cruise line operators Norwegian Cruise Line, Carnival, and Royal Caribbean also saw considerable strength after Barclays upgraded its rating on the stocks to Overweight from Equal Weight. Traders largely shrugged off a report from the Commerce Department showing a much smaller than expected increase in durable goods orders in the month of August.

The Nasdaq soared 241.30 points or 2.3 percent to 10,913.56, while the Dow jumped 358.52 points or 1.3 percent to 27,173.96 and the S&P 500 surged up 51.87 points or 1.6 percent to 3,298.46.

The major European markets finished mixed on Friday. While the U.K.’s FTSE 100 Index rose by 0.3 percent, the French CAC 40 Index slid by 0.7 percent and the German DAX Index slumped by 1.1 percent.

Crude oil prices settled modestly lower on Friday, weighed down by concerns about the outlook for energy demand due to rising coronavirus cases and reports of fresh lockdown measures in several countries. WTI crude for November ended down $0.06 or about 0.2 percent at $40.25 a barrel.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.