Aussie market higher in morning trade

Source: Xinhua| 2017-10-23 08:28:42|Editor: Zhou Xin
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SYDNEY, Oct. 23 (Xinhua) -- The Australian share market opened higher on Monday with firmer oil prices and a strong lead from the U.S. spurring on investors.

At 09:40 (AEDT), the benchmark S&P/ASX 200 index was up 16.20 points or 0.27 percent at 5,923.20, while the broader All Ordinaries index was added 16.80 or 0.28 percent at 5,985.40.

"As the world readies for U.S. tax reform and the government in Japan is returned with a likely increased majority, both developments are anticipated to increase fiscal stimulus, in turn supporting higher asset prices," CMC Markets' chief market strategist Michael McCarthy told Xinhua.

Although the higher U.S. dollar has pushed commodity prices lower, along with precious and industrial metals, continued strength in the price of oil has seen good support for the energy sector this morning.

In the financial space, Australia's big banks were mostly higher, although The Commonwealth Bank was down (0.03 percent), Westpac Bank was up (0.21 percent), National Australia Bank up (0.28 percent) and ANZ up (0.26 percent).

Mining stocks saw mixed results with BHP down (0.60 percent), Rio Tinto up (0.22 percent), Fortescue Metals up (0.81 percent) and Newcrest Mining up (0.28 percent).

The country's oil and gas producers rallied with Woodside Petroleum was up (0.89 percent), Santos up (0.47 percent) and Oil Search flat at (0.00 percent).

Australia's largest supermarket chains slumped with Wesfarmers down (0.79 percent) and Woolworths down (0.35 percent).

While telecommunications giant Telstra surged (1.42 percent), the national carrier Qantas lifted (0.63 percent) and biomedical firm CSL edged slightly higher (0.03 percent).