Australia Market rises on upbeat global cues

Australia stock market finished session notably higher on Tuesday, 28 February 2023, with financials, materials, and energy stocks leading the advance, as some investors opted to pick up stocks at reduced levels on tracking positive lead from Wall Street overnight.

US market rebounded on Monday, as investors found respite in positive U.S. economic data amid rate-hike worries. Data released on Monday showed U.S. core capital goods orders accelerated in January, while contracts to buy previously owned U.S. homes rose the most in more than 2-1/2 years.

At closing bell, the benchmark S&P/ASX200 index was up 33.59 points, or 0.46%, to 7,258.40. The broader All Ordinaries index inclined 38.41 points, or 0.52%, to 7,458.03.

The top performing stocks in S&P/ASX200 index were DE GREY MINING LIMITED and LAKE RESOURCES N.L., up 7.72% and 6.84% respectively. The bottom performing stocks in S&P/ASX200 index were HARVEY NORMAN and ADBRI, down 7.45% and 7.07% respectively.

Total 7 of 11 sectors ended higher along with the S&P/ASX 200 Index. Materials was the best performing sector, gaining 1.52%, followed by energy (up 1.5%), A-REIT (up 1.3%), and information technology (up 1.05%) sectors. Utilities was the worst performing sector, falling 1.27%, followed by healthcare (down 0.56%) sector.

Shares of materials sector advanced, with sector majors BHP Group and Rio Tinto RIO.AX gaining 1.1% and 1.7%, respectively.

Energy stocks gained, with Santos and Woodside Energy jumping 1.7% and 1.4%, respectively.

Financial stocks climbed, with two of the so called "big four" banks posting gains. Australia's biggest business lender, National Australia Bank, climbed up to 0.6%.

ECONOMIC NEWS: retail sales in Australia were up a seasonally adjusted 1.9% on month at A$35.091 billion in January 2023, following the 3.9% contraction in the previous month, the Australian Bureau of Statistics said on Tuesday. On a yearly basis, retail sales climbed 7.5%.

The Australian Bureau of Statistics also said Australia posted a current account surplus of A$14.114 billion in the fourth quarter of 2022, following the upwardly revised A$753 million in the three months prior

Meanwhile, private sector credit in Australia was up 0.4% on month in January, the Reserve Bank of Australia said on Tuesday, up from 0.3% in December. On a yearly basis, credit rose from 7.6% in December to 8% in January.

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