ASX 200 rises 0.8% after Thursday’s 2% slump

  • The ASX 200 rose 0.8% to close at 8,682 after Thursday’s 2% decline.
  • Technology, consumer, resource, retail and banking stocks led gains, with Wisetech up 6.4% and the big four banks rising 0.4%-1.7%.
  • The index gained 0.2% for the week, ending four consecutive weekly declines ahead of next week’s PMI and confidence data.

Australia’s ASX 200 rose 68 points, or 0.8%, to close at 8,682 on Friday, recovering part of Thursday’s 2% decline after the index reached its lowest level since mid-June. Sentiment improved following cooler-than-expected U.S. PCE inflation data, a measure of consumer prices, while U.S. stock futures strengthened ahead of monthly jobs figures. Gains were broad, led by technology, consumer, energy and mineral, and retail stocks. Wisetech rose 6.4%, Xero gained 5.0%, QBE advanced 4.2% and Whitehaven Coal climbed 3.9%; BHP and Rio Tinto each added 1.2%. The big four banks gained between 0.4% and 1.7%. Cochlear, Pro Medicus and Goodman Group fell 4.0%, 2.7% and 2.5%, respectively. The index rose 0.2% for the week, ending four consecutive weekly declines. Traders are watching next week’s September final PMI readings and October consumer confidence data, while August trade figures showed solid export growth but a narrower surplus as imports surged. Inflation concerns, higher crude prices linked to Middle East tensions and expectations for hawkish policy remain risks to sentiment.

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