Australian shares surged on Thursday, recovering from recent losses with a broad market rally, spurred by strong gains in the tech and energy sectors.
The benchmark S&P/ASX 200 rose 1.1% or 87.8 points to close at 8075.7, marking its best session since mid-August and nearing the all-time high of 8148.7. The broader All Ordinaries also climbed 1.2%.
The rally in Australian stocks followed an overnight boost on Wall Street, where a robust tech sector countered concerns over stronger-than-expected core inflation, which dampened hopes for a large rate cut by the Federal Reserve next week.
All 11 sectors of the ASX rebounded after a 0.3% dip on Wednesday. Miners led the charge, though BHP dipped 1.4% to $38.81 as it traded ex-dividend.
Uranium miners enjoyed a standout session after Russian President Vladimir Putin threatened to restrict uranium exports in response to Western sanctions. Shares in Silex leapt 12% to $3.82, Bannerman Energy surged 13.3% to $2.39, Paladin Energy gained 9.1% to $9.79, and Boss Energy rose nearly 11%.
Lithium miners also saw strong demand, fueled by a sharp rise in China’s lithium carbonate futures after a major electric vehicle battery manufacturer halted production. This triggered a short squeeze, pushing futures to their highest in over a month. Mineral Resources climbed 8.3% to $38.02, while Pilbara Minerals rose nearly 8% to $2.88.
Energy stocks got a lift from rising Brent crude prices, as fears grew that Hurricane Francine could cause long-term disruptions to U.S. production. Beach Energy jumped 5% to $1.15, and Woodside Energy gained 2% to $23.92 after halting operations in the U.S. Gulf of Mexico.
Tech company WiseTech set a new record high, closing up 3.5% at $131.64, bringing its year-to-date gains to 75%. Meanwhile, buy-now-pay-later company Zip soared 7.1% to $2.26 on heavy trading.
On the downside, Nine Entertainment tumbled 2.8% to $1.21, hitting a four-year low as it traded ex-dividend and CEO Mike Sneesby announced his departure at the end of the month.
Brickworks also struggled, dropping 1.8% to $25.57 after warning of a $123.5 million hit to its fiscal 2024 results due to worsening conditions in key building markets and higher operating costs.
