ASX200 notches 10th consecutive gain on mining rebound

The Australian sharemarket advanced for a 10th consecutive session on Thursday, marking the longest rally in stocks since 2015.

The local sharemarket advanced for a 10th consecutive session on Thursday, marking the longest uninterrupted winning streak in stocks since 2015.

The benchmark ASX200 lifted 16.5 points, or 0.21 per cent, to close at 8027 points, while the broader All Ordinaries index rose 24.1 points, or 0.29 per cent, to settle at 8258.1.

The bourse has rallied 5.2 per cent from its early August low of 7628 points to be within 1.5 per cent of its 8148 record high.

“While this rally may not have showcased the explosive springboard-type moves typically expected after sharp sell-offs, it has been characterised by a gritty grind higher, suggesting it is more sustainable than previous rallies built on shaky foundations,” IG Markets analyst Tony Sycamore said.

“The big miners guided the index higher (on Thursday) as they extended their tentative rebound.”

BHP edged up 0.15 per cent to $40.94 a share, Rio Tinto rose 0.21 per cent to $112.17 and Fortescue advanced 2 per cent to $18.33.

Whitehaven Coal, meanwhile, jumped 6.25 per cent to $7.65 after revealing Japanese steelmakers Nippon Steel and JFE Steel had bought up a combined 30 per cent stake in its Blackwater metallurgical coal mine in central Queensland for $1.08bn.

Whitehaven operates coal mines in NSW’s Hunter Valley and Queensland’s Bowen Basin. Picture: Whitehaven Coal

The company reported an 87 per cent fall in net profits to $355m for the 2024 financial year, but noted its newly acquired Daunia and Blackwater mines, which it bought from BHP in 2023, had delivered $272m into its coffers in the June quarter.

“Whitehaven’s acquisitions were done using minimal debt and securing the trailing payments at low interest rates,” eToro market analyst Farhan Badami said.

“This move effectively doubled the company’s size without issuing a single share, positioning it for strong returns on equity.

“Investors who’ve stuck with Whitehaven through challenging times might finally see their patience pay off as the company looks well-positioned to capitalise on future opportunities and possibly resume buybacks.”

Gold miner Northern Resources lifted 1.74 per cent to $15.16 after reporting $639m in full year profits and a total dividend of 40c a share.

The big banks were mixed, with Commonwealth Bank and NAB lifting 0.32 per cent to $136.46 and 0.24 per cent to $36.90, respectively, while Westpac fell 0.76 per cent to $30.05 and ANZ closed flat at $29.95.

Thursday’s gains followed a positive session on Wall St overnight, with the Dow Jones edging up 55 points, or 0.14 per cent, to 40,890.

The ASX200 rose for a 10th straight session on Thursday. Picture: NewsWire / Jeremy Piper

The S and P 500 index rose 0.42 per cent to 5620 and the tech-heavy Nasdaq index climbed 0.57 per cent to 17,918.

In corporate news, Bank of Queensland announced it would shed 400 jobs as it transforms itself into a “simpler, specialist bank”.

The bank expects to recognise a restructuring charge of $25m to $35m post-tax, which will impact its net profits for FY24.

“This initiative will deliver an annualised saving of approximately $50m, in addition to BOQ’s previously stated simplification target of $200m cost savings by FY26,” the bank said.

Stock in the company slumped 7.32 per cent to $5.95.

The administrators of Rex Airlines have requested more time to secure a buyer for the embattled company.

A Federal Court hearing to extend the administration process to November 25 is booked for Friday morning.

The top gainer on the ASX200 was WiseTech Global, which soared 7.7 per cent to $120.39.

The tech darling is booming after it reported a 24 per cent lift in FY24 profits to $262.8m on Wednesday.

The largest laggard was Megaport Limited, which tanked 21 per cent to $9.32.

Originally published as ASX200 notches 10th consecutive gain on mining rebound