Australian Market Slightly Higher

The Australian stock market is trading slightly higher in choppy trading on Tuesday, extending the sharp gains in the previous session, following the broadly positive cues from Wall Street overnight. The benchmark S&P/ASX 200 is staying a tad above the 8,200 level, with stocks across sectors trading mixed amid a lack of direction ahead of the Christmas holidays.

The benchmark S&P/ASX 200 Index is gaining 2.00 points or 0.02 percent to 8,203.60, after touching a high of 8,213.10 and a low of 8,193.50 earlier. The broader All Ordinaries Index is up 3.20 points or 0.04 percent to 8,455.90. Australian stocks closed notably sharply higher on Monday.

Among the major miners, BHP Group and Rio Tinto are losing almost 1 percent each, while Fortescue Metals and Mineral Resources are edging up 0.2 percent each.

Oil stocks are mostly higher. Origin Energy and Beach energy are edging up 0.3 to 0.4 percent each, while Woodside Energy is gaining almost 1 percent. Santos is edging down 0.2 percent.

Among tech stocks, Afterpay owner Block is losing 1.5 percent, Zip is declining more than 3 percent and Appen is down almost 2 percent, while WiseTech Global is gaining more than 1 percent and Xero is edging up 0.1 percent.

Gold miners are mostly lower. Gold Road Resources, Newmont and Evolution Mining are edging down 0.1 to 0.5 percent each, while Resolute Mining is declining 2.5 percent and Northern Star resources is losing almost 1 percent.

Among the big four banks, Commonwealth Bank is edging down 0.1 percent, while ANZ Banking, Westpac and National Australia Bank are edging up 0.1 to 0.2 percent each.

In economic news, members of the Reserve Bank of Australia’s Monetary Policy Board said that the country’s gross domestic product continues to be subdued and is softer than expected, minutes from the central bank’s December 9-10 meeting revealed on Tuesday.

At the meeting, the RBA Policy Board held the cash rate target at a 13-year high of 4.35 percent. The previous change in the interest rate was in November 2023, when it was lifted by 25 basis points to the highest level since late 2011.

In the currency market, the Aussie dollar is trading at $0.623 on Tuesday.

On Wall Street, stocks moved mostly higher over the course of the trading day on Monday after showing a lack of direction early in the session. The major averages added to the strong gains posted on Friday, further offsetting the sell-off seen last Wednesday.

The Nasdaq and the S&P 500 climbed firmly into positive territory as the day progressed, while the narrower Dow posted a more modest gain. The Nasdaq jumped 192.29 points or 1.0 percent to 19,764.89, the S&P 500 climbed 43.22 points or 0.7 percent to 5,974.07 and the S&P 500 rose 66.69 points or 0.2 percent to 42,906.95.

Meanwhile, the major European markets turned in a mixed performance on the day. While the U.K.’s FTSE 100 Index crept up by 0.2 percent, the French CAC 40 Index closed just below the unchanged line and the German DAX Index dipped by 0.2 percent.

Crude oil prices settled lower Monday amid concerns about possible excess supply in the market, while a stronger dollar also weighed on oil prices. West Texas Intermediate Crude oil futures for February dipped $0.26 or 0.3 percent at $69.20 a barrel.

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