Sharemarket ends higher after choppy trading day
Australian shares end higher on Thursday despite confirmation from government the federal Budget was in its worst shape since World War II.
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Australian shares ended higher on Thursday after the federal government revealed its budget had blown out by $85.8 billion.
The benchmark S&P/ASX 200 index rose 19 points, or 0.3 per cent, to 6094.5, with the largest gains in property and consumer discretionary sectors.
The broader All Ordinaries index rose 21 points, or 0.3 per cent, to 6213.9, while the Australian dollar at the end of the session was up 0.5 per cent to 75.57 US cents.
Moody’s Investors Service said the Budget deficit was at a level not seen since World War II, with recovery likely to begin in 2021.
“Notwithstanding the impact on the country’s fiscal metrics over the next two years outlined in the update, we expect Australia’s AAA rating to remain resilient,” Moody’s vice president Martin Patch said.
“In particular, we expect the process of fiscal repair will begin in 2021 as the economy recovers and financing costs remain low.”
Mining company NRW holdings had the largest upswing of the day, with its stock rising 8.6 per cent to $1.83 per share.
Digital mapping company Nearmap sustained the largest loss, shaking off its market lead from the previous trading day. Its shares fell 3.6 per cent to $2.40 each.
Commonwealth Bank ended the session down 0.5 per cent to $73.74 per share, while Westpac shares rose 0.4 per cent to $18.09 each.
ANZ fell 0.1 per cent to $18.60 per share and NAB stock closed the session higher by 0.7 per cent to $18.23 per share.
Major mining group BHP fell 0.7 per cent to $37.25 per share, while rival Rio Tinto dropped 1 per cent to $103.47 per share.
Santos shares rose 3.5 per cent to $5.65 each at the close, prompted by its quarterly update, which showed production levels had increased despite falling gas prices as a result of the COVID-19 downturn.
Qantas shares rose 1.9 per cent to $3.74 each, while Telstra dipped 1.2 per cent to $3.35 per share.
Woolworths ended the session down 0.5 per cent to $38.45 and Wesfarmers closed up 0.1 per cent to $46.55 per share
Originally published as Sharemarket ends higher after choppy trading day