Australian shares ended Friday’s session higher, rebounding from the previous day’s losses and securing a weekly gain of 0.9% after reports that the United States and Iran had reached a tentative agreement to extend their ceasefire, pending final approval from President Donald Trump.
The S&P/ASX 200 Index rose 138.8 points, or 1.6%, to close at 8,731.7, with nine of the 11 sectors finishing in positive territory.
The benchmark also ended May with a 0.8% monthly gain.
The Materials sector led advances as gold miners rebounded from the previous session’s sell-off, when spot prices had fallen to a two-month low before recovering.
Northern Star Resources gained 3.4%, Evolution Mining added 4.2%, Newmont Corporation rose 3.8%, while St Barbara surged 10.6%.
Major miners also finished higher, with BHP rallying 2.9% to a record closing high, Rio Tinto up 1.2%, and Fortescue Metals Group gaining 2.4%.
Information technology and real estate investment trusts also contributed to gains. Xero added 0.9%, TechnologyOne rose 2%, while Goodman Group climbed 2.9%, Charter Hall gained 4.8%, and Scentre Group advanced 3%.
The Energy sector was the weakest performer as oil prices traded lower on ceasefire optimism.
Santos slipped 0.5%, Viva Energy fell 1.9%, Beach Energy declined 1.4%, while Woodside Energy closed flat.
Travel and tourism stocks were among the biggest beneficiaries amid expectations that lower geopolitical risk could support travel demand and reduce fuel costs.
Qantas rose 3.2%, Virgin Australia climbed 6.2%, and Flight Centre surged 8.2%.
In corporate news, Judo Capital rallied 12.2% after pricing a $750 million capital-relief securitisation backed by SME business loans.
Tourism Holdings jumped 26.1% after BGH Capital and Queensland brothers Karl and Luke Trouchet lifted their takeover offer to NZ$3.10 per share for the campervan operator.
On the bond markets, Australian government bond yields fell as investors priced in easing inflation risks. The 10-year yield declined 0.4% to 4.837%, while the 2-year yield slipped 0.2% to 4.529%.
