The Australian sharemarket rebounded sharply on Wednesday, recovering from its worst monthly performance in four years as optimism grew that the Iran conflict may be nearing an end.
The S&P/ASX 200 Index rose 190.0 points, or 2.2%, to close at 8,671.8, with 10 of the 11 sectors finishing higher in a broad-based rally.
Local equities took their lead from a strong session on Wall Street, after Donald Trump said the United States could withdraw from Iran within “two to three weeks”, boosting global risk sentiment.
Mining stocks led the advance, with BHP climbing 4.3%, Rio Tinto rising 3.5%, and Fortescue gaining 3.8%.
Gold miners staged a strong rebound following bullion’s weakest monthly performance since October 2008. Northern Star Resources surged 8.6%, Evolution Mining rose 8.2%, Greatland Gold jumped 14.9%, and Newmont added 4.5%.
Interest rate-sensitive technology stocks extended gains for a second consecutive session. WiseTech Global rose 4.1%, Xero added 2.5%, while NextDC advanced 3.5%.
The major banks also moved higher, although they lagged the broader market rally. Commonwealth Bank added 2.5%, National Australia Bank gained 1.2%, Westpac rose 1.5%, and ANZ lifted 1.1%.
Energy stocks were mixed, even as uranium names rallied strongly. Paladin Energy jumped 6.9%, while Deep Yellow climbed 9.2%.
Among oil majors, Woodside Energy edged up 0.1%, Santos gained 0.1%, and Ampol slipped 0.2%.
In corporate news, Perenti rose 4.1% after appointing Vanessa Torres as chief executive, succeeding Mark Norwell as part of a planned leadership transition.
Eagers Automotive surged 9.5% after agreeing to acquire two Audi dealerships in Melbourne, along with a 49% stake in Grand Motors Group.
Meanwhile, Star Entertainment climbed 8.7% after Chow Tai Fook Enterprises and Far East Consortium took full control of Brisbane’s Queen’s Wharf precinct, completing a deal to acquire the company’s stake.
In fixed income markets, yields moved lower, with the 10-year rate falling 0.9% to 4.917% and the 2-year yield declining 0.2% to 4.608%.
