Australian shares ended slightly higher and rose 2.3% for the week, with tech and miners supporting a fourth straight monthly gain despite caution over China factory data and the impact of Reserve Bank rate hikes.
The ASX 200 closed up slightly at 8,978 on Friday, recovering from the prior session’s losses as strength in technology, non-energy minerals, industrial services and utilities outweighed weakness in some defensive sectors. Sentiment was supported by Wall Street gains, including upbeat Amazon earnings and a rebound in chip stocks, as well as easing inflation concerns and resilient domestic activity. The advance was tempered by weaker July factory data in China, measured by the official PMI, and by lingering caution over how fully the Reserve Bank’s three rate hikes this year have yet fed through the economy. Resource shares benefited from firmer copper prices, with Rio Tinto up 1.0%, South32 up 0.8%, BHP Group up 2.4%, Lynas Rare Earths up 4.7%, Sandfire Resources up 3.2% and Evolution Mining up 1.8%. The market gained 2.3% for the week, its first weekly rise in a month after three straight weekly declines, and recorded a fourth consecutive monthly increase.