The Australian sharemarket rebounded from 11-month lows on Thursday, notching a small gain as markets braced for the official US jobs data on Friday night Australian time.
The benchmark S&P/ASX 200 (INDEXASX: XJO) index gained 35.3 points, or 0.5%, to 6,925, while the broader All Ordinaries (INDEXASX: XAO) index managed an identical 35.3-point, 0.5% rise, in its case to 7,117.
Weakening crude oil prices saw the energy sector under pressure, as oil turned into the red for 2023 to date.
Woodside Energy Group Ltd (ASX: WDS) led the sector lower, losing 27 cents, or 0.8%, to $34.31, while Santos Ltd (ASX: STO) fell 3 cents, or 0.4%, to $7.42, and Brazilian-based producer Karoon Energy Ltd (ASX: KAR) dipped 4 cents, or 1.6%, to $2.51.
Karoon Energy Ltd (ASX: KAR) share price
Among the mining heavyweights, BHP Group Ltd (ASX: BHP) slid 29 cents, or 0.7%, to a nicely symmetrical $43.43; Rio Tinto Ltd (ASX: RIO) dropped $1.71, or 1.5%, to $111.91; and Fortescue Metals Group Ltd (ASX: FMG) was unchanged at $20.78.
In coal, Whitehaven Coal Ltd (ASX: WHC) dropped 9 cents, or 1.8%, to $6.75; Stanmore Resources Ltd (ASX: SMR) retreated 6 cents, or 1.7%, to $3.54; but Coronado Global Resources Inc (ASX: CRN) recovered 2 cents, or 1.2%, to $1.70.
Gold miners had a decent day, boosted by stronger gold prices. Northern Star Resources Ltd (ASX: NST) surged 48 cents, or 4.7%, to $10.66; Evolution Mining Ltd (ASX: EVN) rallied 9 cents, or 2.8%, to $3.26; Gold Road Resources Ltd (ASX: GOR) lifted 4 cents, or 2.5%, to $1.645; Silver Lake Resources Ltd (ASX: SLR) advanced 2.5 cents, or 3%, to 86.5 cents; Bellevue Gold Ltd (ASX: BGL) was up 4 cents, also 3%, to $1.375; and Regis Resources Ltd (ASX: RRL) gained 4 cents, or 2.7%, to $1.515.
Northern Star Resources Ltd (ASX: NST) share price
In lithium, producer Allkem Ltd (ASX: AKE) lifted 11 cents, or 1%, to $11.01; but fellow producer Pilbara Minerals Ltd (ASX: PLS) saw 11 cents shaved off its price, down 2.7% to $3.94. IGO Ltd (ASX: IGO), which mines nickel as well as lithium, was down 48 cents, or 4%, to $11.57, and Mineral Resources Ltd (ASX: MIN), a dual lithium-iron ore miner, gave up $1.85, or 2.9%, to $61.48. Lithium project developers were mixed, with Lake Resources N.L. (ASX: LKE) up 0.5 cents, or 3%, to 17 cents; US-based Piedmont Lithium Inc (ASX: PLL) down 2 cents, or 3.4%, to 56.5 cents; and Core Lithium Ltd (ASX: CXO) slumping 2.5 cents, or 6.3%, to 37 cents.
Dimerix Ltd (ASX: DXB) doubles, and then some
The day’s highlight came in the biotech sector, where shares in drug developer Dimerix Ltd (ASX: DXB) surged 154%, after announcing a major licensing agreement for its DMX-200 drug candidate which treats a rare kidney disease. Dimerix gained 9.4 cents to 15.5 cents on the $230 million deal struck with UK-based Advanz Pharma.
Dimerix Ltd (ASX: DXB) share price
On the industrial screens, Qantas Airways Limited (ASX: QAN) rose off a 12-month low to add 11 cents, or 2.2%, to $5.04; CSL Limited (ASX: CSL) was up 76 cents, or 0.3%, to $249.96; Telstra Group Ltd (ASX: TLS) gained 4 cents, or 1.1%, to $3.82; and Rea Group Ltd (ASX: REA) put on $3.98, or 2.6%, to $155.94.
In the big banks, National Australia Bank Ltd. (ASX: NAB) gained 20 cents, or 0.7%, to $28.51; Westpac Banking Corp (ASX: WBC) was up 27 cents, or 1.3%, to $21.01; ANZ Group Holdings Ltd (ASX: ANZ) rose 17 cents, or 0.7%, to $25.09; and Commonwealth Bank of Australia (ASX: CBA) added 89 cents, or 0.8%, to $98.98.
Data/rates dance continues in US
In the US, markets eased slightly ahead of the official jobs report.
The blue-chip Dow Jones Industrial Average (INDEXDJX: .DJI) walked back 9.98 points to close at 33,119.57; the broader S&P 500 (INDEXSP: .INX) retraced 5.56 points to 4,258.19, and the tech-laden Nasdaq Composite (INDEXNASDAQ: .IXIC) index closed 16.18 points lower, at 13,219.83.
The official jobs report is expected to show that 170,000 jobs were created in September.
If it comes in as soft as the unofficial ADP survey earlier in the week, traders are likely to conclude that the weak jobs market could stay the Federal Reserve’s hand on interest rates.
In the bond market, the 10-year Treasury yield eased 2.8 basis points, to 4.708%, while the 2-year yield lost 5.4 basis points, to 5.017%.
Gold slid US$2.66, or 0.2%, to US$1,820.31 an ounce, the global benchmark Brent crude oil grade retreated US$1.46, or 1.7%, to US$84.35 a barrel, and US West Texas Intermediate crude dropped US$1.91, or 2.3%, to US$82.31 a barrel.
The Australian dollar is buying 63.7 US cents this morning, up from 63.57 cents at the ASX close on Thursday.
