The Australian sharemarket advanced on Monday, lifted by strength in technology and banking stocks as investors positioned for a potential interest rate cut from the United States Federal Reserve and signs of progress in U.S.-China trade negotiations.
The benchmark S&P/ASX 200 Index climbed 36.6 points, or 0.4%, to close at 9,055.6, with nine of the 11 sectors ending in positive territory.
The Information Technology sector led the gains, with Appen jumping 4%, TechnologyOne edging 0.1% higher, Xero up 0.9%, Life360 advancing 4.7%, and Megaport gaining 4.3%.
Energy producers also firmed as crude oil prices continued to rise. Santos added 1.4%, Woodside Energy gained 1.2%, and Beach Energy rose 0.4%.
However, Viva Energy fell 4.3% after reporting a 12.5% drop in third-quarter convenience sales, driven by weaker tobacco demand across its convenience and mobility division.
The major banks provided further support to the index. Commonwealth Bank advanced 0.8%, National Australia Bank rose 0.7%, while Westpac and ANZ both added 0.6%.
Rare earths miners remained under pressure as investors took profits following last week’s critical minerals partnership between Australia and the United States.
Lynas retreated 2.4%, Arafura Rare Earths slumped 10.8%, and Australian Strategic Materials tumbled 12.4%.
Among individual movers, PolyNovo rose 3.9% after long-serving chairman David Williams announced his immediate resignation.
Breville gained 4.2% after a Citi survey highlighted robust demand for coffee machines, while Nuix plunged 16.8% after revealing that chief executive Jonathan Rubinsztein will step down at the end of the month.
Gold miner Ramelius Resources slid 5.7% after reporting September-quarter production of 55,013 ounces, down 25.1% from the previous period.
On the bond markets, yields edged higher, with the 10-year and 2-year government bond rates both up 0.7% to 4.188% and 3.391%, respectively.