Commodities divert attention from inflation fears: ASX tracking 0.6% higher at noon

Market Reports

by Michael Luu

The Australian sharemarket pushed forward in opening trade, extending yesterday’s advance and ignoring Wall Street’s pessimistic hand-over driven by inflation anxiety.

Soaring commodity prices are powering rallies by the materials and energy sectors, as major miners such as OZ Minerals and Perseus Mining were leading the charge and tracking over 6 per cent higher by midday.

The Commonwealth Bank (ASX:CBA) produced another episode in the company’s series of record gains, notching a record high of $98.85 in the morning session. The rest of the big four banks were also in positive territory.

Industrials is contradicting the broader green theme and limiting gains, as losses in Monadelphous (ASX:MND) dragged down the sector. 

At noon, the S&P/ASX 200 is 0.57 per cent or 40.00 points higher at 7063.60.

The SPI futures are pointing to a gain of 37 points.
Best and worst performers

The best-performing sector is Materials, up 1.66 per cent. The worst-performing sector is Industrials, down 0.6 per cent.

The best-performing stock in the S&P/ASX 200 is Nuix (ASX:NXL), trading 11.1 per cent higher at $3.49. It is followed by shares in OZ Minerals (ASX:OZL) and Perseus Mining (ASX:PRU).

The worst-performing stock in the S&P/ASX 200 is Saint Barbara (ASX:SBM), trading 9.39% per cent lower at $1.86. It is followed by shares in Redbubble (ASX:RBL) and Monadelphous Group (ASX:MND).

Commodities and the dollar

Gold is trading at US$1871.32 an ounce.
One Australian dollar is buying 77.93 US cents.
Iron ore is 4.3 per cent higher at US$217.77

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