The Australian stock market was trading sharply higher on Thursday, extending Wednesday's gains, despite a mixed lead from Wall Street overnight. Major miners and energy companies were higher in early trade on the back of stronger commodity prices. At 9:15 p.m. ET, the benchmark S&P/ASX 200 index was gaining 93 points or 2.42% to 3,939, after closing up 1.34% on Wednesday. The broader All Ordinaries index was advancing 92 points or 2.42% to 3,898.
In the currency market, the Australian dollar opened stronger on Thursday as key commodity prices jumped. The Aussie opened at US$0.6705-0.6714, up from Wednesday's close of US$0.6406-0.6413.
On Wall Street, U.S. stocks saw substantial volatility on Wednesday and moved higher after the afternoon's announcement of a rate reduction by the Federal Reserve, but plunged in the final half hour, with the major averages eventually ending the session mixed. The U.S. Federal Open Market Committee, the policy-making arm of the Federal Reserve, revealed that it lowered its target for the federal funds rate by 50 basis points to 1%, reducing the key rate to its lowest level since June of 2004. The Dow closed down 74 points or 0.82% at 8,991, the Nasdaq gained 8 points or 0.47% to close at 1,657, and the S&P 500 fell 10 points or 1.11% to finish at 930.
On the economic front, a private sector barometer of Australia's business conditions registered positive readings in August. The Conference Board reported that its leading index for Australia increased 0.4% in August, the sixth straight month of increases. The coincident index, which measures current economic activity, increased a modest 0.1% in August.
Among banking stocks, Commonwealth Bank of Australia lost 1.61%, and ANZ Banking Group edged down 0.35%, while National Australia Bank rose 2.12%. Westpac was unchanged, investment bank Macquarie Group was up 1.72%, and St. George bank gained 2.02%.
Australia's second biggest bank, Westpac Banking increased full-year cash earnings by 6% to A$3.73 billion, on strong loan and deposits growth and in line with analysts' estimates, ahead of completing its takeover of St George Bank.
In the resources sector, index leader BHP Billiton advanced 4.52% and Rio Tinto gained 5.88%. Gold miners were stronger, after gold closed higher for a fourth straight session on Wednesday. Sino Gold soared 17.32%, Lihir Gold climbed 13.95% and Newcrest Mining advanced 5.45%.
On Wednesday, crude oil futures for December delivery closed sharply higher, snapping a losing streak of four sessions, as traders considered the Federal Reserve's interest rate decision and a smaller-than-expected build in inventories. According to the Energy Information Administration, U.S. commercial crude oil inventories increased by 500,000 barrels in the week ended October 24.
Oil closed up $4.77 at $67.50 a barrel on the New York Mercantile Exchange, after hitting an intraday high of $68.98. In the Asian session Thursday, crude was up $0.70 at $68.20 in electronic trading at 9:16 p.m. ET.
Among energy stocks, Oil Search soared 19.41%, Woodside rose 6.25% and Santos climbed 10.71%.
In the retail sector, David Jones fell 1.96%, while giant retailer Woolworths gained 2.50%, and Coles' owner Wesfarmers rose 3.49%.
BlueScope Steel rose 5.9% after it booked a net profit after tax for the first quarter of A$430 million, outperforming the first half results of last year, boosted by strong global steel demand and prices.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.