The Australian market managed to close higher after diving more than one percentage point when the RBA decided to keep rates on hold.
Here’s the scoreboard:
- S&P ASX 200: 5,926.00 +27.42 (+0.46%)
- All Ordinaries: 5,893.20 +23.46 (+0.40%)
- AUD/USD: 0.7690 +0.0099 (+1.30%)
In the US, the S&P 500 index closed up 0.7% on the back of a rally of energy stocks following a rise in the price of oil.
On the local market, stocks rallied in early trade with banks and big mining stocks leading the way. This went into reverse when the RBA board announced its decision to leave rates unchanged.
At the close, eight out of ten sectors were higher with energy stocks keeping the local market above water. Woodside Petroleum was up 0.64% to $34.37, Oil Search 1.8% to $7.23, LNG 8.6% to $3.66 and Santos more than 2% to $7.10.
The banks lost ground from early trading but the NAB was up 1.65% to $39.33.
The top stories Monday:
1. You can’t keep the battler down. The Australian dollar soared more than 1% after the RBA kept rates steady.
2. The Iron ore blues. Atlas Iron goes into a trading half while it works out what to do when it’s costs more to dig a tonne of ore than people will pay for it. And Chinese buyers are putting more pressure on Australian producers for still cheaper prices.
3. A 1.4% fall in March. Fewer job adverts, according to the ANZ, for the first time in nine months.
4. Retail spending again, according to ABS numbers. Australian shoppers are out in force, responding to low interest rates and savings on petrol. Up a 0.7% seasonally adjusted in February.