Australia ASX200 rises after three straight days of losses

The Australian share market finished higher for the first time in four sessions in row on Wednesday, 23 December 2020, as bargain buying resumed on optimism that a new $900 billion relief package will help boost the U.S. economy and after the country's most populous state eased some Covid-19 restrictions for Christmas.

At closing bell, the benchmark S&P/ASX200 added 43.56 points, or 0.66%, to 6,643.14. The broader All Ordinaries rose 47.17 points, or 0.69%, to 6,892.64.

New South Wales, the site of a new virus outbreak in Australia, relaxed virus curbs ahead of Christmas after reporting eight locally acquired cases, unchanged from Tuesday. However, strict restrictions in the most-affected northern seaside suburbs of Sydney will remain and the full lockdown for the entire region is slated to resume on Dec. 27.

In the banking sector, ANZ Banking, National Australia Bank, Commonwealth Bank and Westpac are higher in a range of 0.5% to 1%.

Oil stocks were also higher even as crude oil prices fell sharply overnight. Oil Search, Woodside Petroleum and Santos are all rising almost 1% each.

Meanwhile, the major miners were mostly lower after the Chinese market regulator stepped up trading curbs to curtail speculative buying that had pushed the steelmaking metal's prices to record peaks. BHP Group fell almost 1% and Rio Tinto was down 0.2%, while Fortescue Metals rose 0.3%.

In economic news, the Reserve Bank of Australia said that private sector credit in Australia was up 0.1% on month in November, following the flat reading in October. On a yearly basis, credit climbed 1.7% after gaining 1.8% in the previous month.

CURRENCY NEWS: The Australian dollar changed hands at $0.7565, in a trading week that has seen it at levels around $0.76 to below $0.75.

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