Weekly ASX market wrap for the week ending 19 August

Australia 10 Year Government Bond Yeld hits to a 4-week high of 3.467%. Meanwhile, Aussie dollar slaps to a 4-week Low, AUD/USD declined to a 4-week low of 0.68686.

The Australian sharemarket rose for the fifth straight week, its longest run of rises in over a year. Leading by the gains in energy and mining sectors accompanied by higher commodity prices, the $S&P/ASX 200(.XJO.AU)$ closed at 7114 up 82 points or 1.16%. This was on the back of a slew of corporate profit results, positive sentiment from the US and the release of the RBA Minutes that suggested future interest rate rises may not be as steep as markets had factored in.

In addition, the Australian unemployment rate dropped to a 48 year low suggesting the economic recovery from Covid is tracking nicely.

In earnings season to date, around 33% of companies had outperformed market expectations. Share indices were mixed with rises in Materials up 2.62%, Energy up 5.19%, Consumer Staples up 3.53% and Industrials up 1.24%. Falls came from Utilities down 2.60%, Financials down 0.94% and IT down 2.25%.

$BHP Group Ltd(BHP.AU)$ saw a stellar result with net profit of $US20.2 billion, up 173 per cent from last year. It's final dividend of $US3.25c beat analyst expectations of a total payout for the year of $US3.12 a share. BHP paid a record $US1.50 a share half-year dividend in March.

$Santos Ltd(STO.AU)$ closed up 6.36% to $7.52 and $Whitehaven Coal Ltd(WHC.AU)$ up 6.2% to $7.36. $Woodside Energy Group Ltd(WDS.AU)$ closed at a 2 month high of $33.50.

Despite the benchmark index finished 1.16% higher this week for its fifth consecutive weekly advance, weak earnings reports drew some selected names lower, including $AGL Energy Ltd(AGL.AU)$ down 3.9%, $TPG Telecom Ltd(TPG.AU)$ and $Zip Co Ltd(ZIP.AU)$ lower 12.5% and -15.5% respectively.

$Nearmap Ltd(NEA.AU)$ jumped 30% after releasing its annual results and then revealing an indicative takeover approach from Thomas Bravo, a USA based investment firm.

$Bendigo and Adelaide Bank Ltd(BEN.AU)$ fell 11% on poor results. The big four banks were all lower.

$Accent Group Ltd(AX1.AU)$ climbed 11% to a four-month high of $1.67 after the footwear retailer reported a $31.5 million net profit, slightly ahead of expectations.

Elsewhere UK inflation hit a 40 year high at 10.1% and New Zealand cash rate rose 0.50 per cent to 3 per cent.