The Australian share market is on track for a second straight session of gains, as oil prices eased on hopes of a potential peace deal between the United States and Iran.
The S&P/ASX200 jumped 75 points by noon on Thursday, up 0.85 per cent, to 8,868.6, As the broader All Ordinaries gained 80.6 points, or 0.89 per cent, to 9,096.7.
The continued upswing followed a positive session on Wall Street, following reports that the US had proposed a memorandum of understanding to Iran to end the war.
“Markets reacted favourably as President (Donald) Trump signalled progress toward a potential agreement with Iran, including a staged reopening of the Strait of Hormuz,” Westpac economist Luka Belobrajdic said.
Energy stocks tumbled 3.1 per cent as Brent crude fell to $US101.50 a barrel, dropping more than 10 per cent since Tuesday and weighing on oil and gas giants Woodside and Santos.
Coal miners also sold off, while uranium stocks turned a corner after days of selling pressure.
Basic materials provided the bulk of forward momentum, surging three per cent and tracking with strong leads from BHP, Rio Tinto and Fortescue, as iron ore futures topped $US111 for the first time since October 2024.
Gold advanced to nearly $US4,717 ($A6,509) an ounce, buoying local miners and lifting the All Ordinaries gold sub-index more than three per cent.
Financials improved for a second straight session, but its upside was capped by a 1.6 per cent slip in NAB shares to $39.40 after it went ex-dividend.
NAB also announced Connie Sokaris will replace Shaun Dooley as chief risk officer in August, with Mr Dooley to assist with her transition and see out the year before retiring from the bank.
Its big four competitors, along with investment giant Macquarie – which will hand down interim results on Friday – all traded higher.
The consumer discretionary sector edged modestly higher, despite a 2.1 per cent boost for segment giant Wesfarmers, as Aristocrat dipped and Light & Wonder’s earnings update prompted a 7.8 per cent sell-off.
Tabcorp was also heavy, plummeting by more than one-fifth after AUSTRAC launched an investigation over “serious concerns” about the group’s compliance with money laundering and terrorism financing obligations.
ASX-listed tech stocks gained 0.8 per cent, despite weakness in sector heavyweights Xero and WiseTech, while data centre group NextDC surged 4.3 per cent.
In company news, ARN Media shares tumbled 1.9 per cent to 26 cents after its trading update revealed an advertising boycott of its Kyle and Jackie O radio show cost it $26.4 million.
The Australian dollar was buying 72.47 US cents, up slightly from 72.30 US cents on Wednesday at 5pm, buoyed by improving risk sentiment and a weaker greenback.
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