On Thursday, the ASX 200 Index advanced 0.58% during the morning session. Banking and mining stocks were among the leaders.
Mining giants Fortescue Ltd (FMG) and Rio Tinto Ltd. (RIO) advanced by 2.00% and 0.44% respectively. Iron ore price increases boosted demand for mining stocks.
M&A activity also attracted investor interest. On Wednesday, Rio Tinto Ltd. announced a $6.7 billion deal to acquire Arcadium Lithium (LTM). According to the announcement, the acquisition represents a 90% premium to Arcadium’s October 4 closing price of $3.08. This morning, Arcadium Lithium rose 39%.
Expectations of a 25 basis point Fed rate cut continued to fuel interest in high-yield Australian bank stocks. ANZ (ANZ) and Commonwealth Bank of Australia (CBA) posted gains of 1.08% and 0.77% respectively.
Higher gold and oil prices during the morning session boosted demand for gold and oil-related stocks. Both commodities retreated on Wednesday.
Looking ahead
Investors should remain alert and focus on central banks and the Middle East. Closely monitor news reports, real-time data and expert commentary to adjust your trading strategies accordingly. Stay up to date with the latest news and analysis to effectively manage positions in the Asian stock markets.