ASX hits record high as ANZ beats profit, AMP slumps
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More news: Australian shares opened at a record high, supported by positive earnings results in early trade.
The benchmark ASX 200 was up by 38.2 points, or 0.42%, to 9,053 at 10:27am AEDT. Five of the 11 sectoral indices opened in the green.
Utilities (+4.57%) was the strongest performing sector at the open, led by a rally in Origin Energy (+5.87%) despite reporting a 45.2% year-on-year decrease in half-year statutory profit.
Financials (+1.46%) also gained, supported by a surge in ANZ (+6.72%) after posting a 6% increase in first-quarter cash profit.
Orora (+8.18%) was the best performing stock across the ASX 200 after reporting a 32.2% increase in half-year profit driven by strong demand in its cans business.
South32 (+4.29%) rose after delivering a 29% lift in first-half profit and hiking its dividend.
Elsewhere, AMP (-26.36%) was the worst performing stock after reporting an 11.3% decline in full-year statutory profit.
Temple & Webster (-23.28%) followed as the second worst performer after posting a 36% drop in half-year profit.
Pro Medicus (-16.45%) dived despite reporting higher first-half revenue.
Australian shares to open lower after muted Wall St gains
The news: Australian shares are set to slip at the open after Wall Street gains were muted overnight, as investors weighed the risk that a stronger-than-expected US employment report could delay the Federal Reserve's next interest rate cuts.
US software stocks fell again after three sessions of recovery from last week's sharp sell-off, which was driven by concerns over AI-fuelled disruption.
The numbers: Updated at 7:50am AEDT:
- ASX futures: down 8 points to 9,007.
- Wall Street: Dow Jones down 0.11%, S&P 500 up 0.02% and the Nasdaq down 0.06%.
- Europe: CAC 40 down 0.18%, DAX down 0.53% and FTSE 100 up 1.14%.
- Spot gold: up 1.28% to USD5,088 per ounce.
- Oil prices: Brent up 1.36% to USD69.74/bbl and US WTI up 1.60% to USD64.98/bbl.
- AUD: down 0.70% at 71.12 US cents.
- Bitcoin: down 1.80% to USD67,575.
The context: The three main indices started the session strong on Wednesday, with the S&P 500 and the Nasdaq climbing to their highest levels in more than a week after the closely watched payrolls report showed US job growth exceeded expectations in January.
However, gains later eased as traders pared back expectations for interest rate cuts. While markets are still pricing in at least one 25-basis-point cut in June, the probability that rates remain unchanged that month rose to 38.7% from 24.8%, according to CME Group's FedWatch tool.
The Bureau of Labor Statistics showed the US economy added 130,000 jobs last month, surpassing Wall Street Journal economists' estimates of 55,000, while the unemployment rate fell to 4.3%.
Microsoft fell 2.31% and was the biggest drag on the S&P 500 software index, which slid 2.51%, reversing gains from the previous three sessions after rebounding from losses linked to concerns over AI-driven disruption.
Investor attention is now turning to the January consumer price index report, due on Friday US time.
Locally, a number of ASX-listed companies are scheduled to report half-year results around 8:00am AEDT, including IAG, Breville Group, Origin Energy, Temple & Webster, ASX, Orora and Pro Medicus.
The source: Reuters
