ASX up 0.17%: Iron ore miners show gains

Market Reports

by Peter Milios

Australian shares opened higher with a significant boost from iron ore miners BHP, Rio Tinto, and Fortescue, all of which saw gains exceeding 1 percent, driving up the overall market index. This surge in their stocks was driven by iron ore prices rising above $US135, following the announcement by the governor of China's central bank predicting a reduction in the reserve requirement ratio for banks within the next two weeks.

The S&P/ASX 200 is 0.17 per cent higher at 7,532.10.

The SPI futures are pointing to a rise of 9 points.

Best and worst performers

The best-performing sector is Materials, up 1.13 per cent. The worst-performing sector is Information Technology, down 0.54 per cent.

The best-performing large cap is Mineral Resources (ASX:MIN), trading 6.29 per cent higher at $58.96. It is followed by shares in ResMed (ASX:RMD) and Incitec Pivot (ASX:IPL).

The worst-performing large cap is Domino's Pizza Enterprises (ASX:DMP), trading 29.32 per cent lower at $40.50. It is followed by shares in IDP Education (ASX:IEL) and Newmont Corporation (ASX:NEM).

Commodities and the dollar

Gold is trading at US$2035.00 an ounce.

Iron ore is 2.9 per cent higher at US$136.15 a tonne.

Iron ore futures are pointing to a 2.26 per cent rise.

One Australian dollar is buying 65.74 US cents.

Peter Milios

Peter Milios is a recent graduate from the University of Technology - majoring in Finance and Accounting. Peter is currently working under equity research analyst Di Brookman for Corporate Connect Research.

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