AU Morning Wrap: ASX Rallies as Oil, Gold Jumps

Moomoo News AU wrote a column · Oct 9, 2023 07:52

G'day, mooers! Check out the latest news on today's stock market!
• US stocks rally after investors digest jobs report

• ASX rallies as oil, gold jumps

• Stocks to watch: Woodside Energy, Fonterra, Metcash
- Moomoo News AU

Wall Street Summary

Stocks rallied to end the week on a high note after investors warmed to an unexpectedly robust U.S. jobs report. The $S&P 500 Index (.SPX.US)$ rose 1.2%, the $Dow Jones Industrial Average (.DJI.US)$ added 0.9%, and the $Nasdaq Composite Index (.IXIC.US)$ was 1.6% higher on Friday.

AU Market Watch

The Australian sharemarket climbed, led by a rally in energy and gold stocks as the oil price surged in Asia after Hamas; bloody weekend incursions into Israel.

The benchmark $S&P/ASX 200 (.XJO.AU)$ jumped 31.4 points, or 0.5 per cent, to 6985.6 by 10.30am AEDT after the shock attacks on Israel sent the oil surging more than 4 per cent and investor piled into gold as a safe haven asset.

A rally on Wall Street also buoyed the sharemarket as investors shrugged off better-than-expected US jobs figures. The attacks on Israel occurred after the market had closed.

"Markets will be watching the oil price today for early signals on any potential market impact via safe-haven currency flows, risk pricing, or inflation fears," wrote ANZ rate strategist Gregorius Steven in a note to clients.

"Key for markets is whether the conflict remains contained or spreads to involve other regions, particularly Saudi Arabia. Initially at least, it seems markets will assume the situation will remain limited in scope, duration, and oil-price consequences. But higher volatility can be expected."

Stocks to Watch

$Fonterra Shareholders Fund (FSF.AU)$: Fonterra raised the 2023/24 season forecast Farmgate Milk Price range to $6.50 to $8 per kg of milksolids, with the midpoint up 50¢ to $7.25 per kgMS.

Fonterra chief executive Miles Hurrell said the improved outlook reflected both supply and demand dynamics.

$Metcash Ltd (MTS.AU)$: IGA owner Metcash says the chief executive of its liquor division, Chris Baddock, has stepped down from his role due to health reasons.

General manager John Barakat will lead the retailer’s liquor division while a search for a replacement is under way, Metcash said in an announcement.

Trading Ex-div: $Katana Capital Ltd (KAT.AU)$, $Adacel Technologies Ltd (ADA.AU)$