AU Morning Wrap: ASX Back Above 7000 as Energy Stocks Gain

Moomoo News AU joined discussion · Oct 9, 2023 18:41

G'day, mooers! Check out the latest news on today's stock market!
• Oil prices, defense stocks rise
• ASX jumps as oil rises; Origin Energy gains 5%
• Stocks to watch: Origin Energy, Newcrest Mining
- Moomoo News AU

AU Morning Wrap: ASX Back Above 7000 as Energy Stocks Gain

Wall Street Summary

Oil prices and defense stocks climbed Monday after the worst attack on Israel in decades shook financial markets.

Major U.S. stock indexes initially looked set for declines but rebounded in afternoon trading as the Israeli military retook several towns from Hamas control. The $S&P 500 Index(.SPX.US)$ added 0.6%, while the tech-heavy $Nasdaq Composite Index(.IXIC.US)$ gained 0.4%. The $Dow Jones Industrial Average(.DJI.US)$ rose 0.6%, or 197 points.

AU Market Watch

Shares are extending three straight sessions of gains this morning, following a positive lead from the US overnight.

The $S&P/ASX 200(.XJO.AU)$ rose 52 points, or 0.8 per cent, at open to 7022. The All Ordinaries posted similar early gains. All 11 sectors opened in the green, led by utilities stocks, which were up 3.4 per cent.

Energy stocks are 1.2 per cent higher after crude oil prices took another leg up following Israel's decision to order a complete siege of Gaza and a potential ground assault.

Brent crude rose $US3.50 to $US88.07 per barrel, while WTI jumped $US3.52 to $US86.31 a barrel.

Stocks to Watch

$Origin Energy Ltd(ORG.AU)$: Origin Energy is up 4.9 per cent. Australia's competition watchdog has authorised the $18.7 billion buyout of ASX energy giant by Brookfield and MidOcean.

$Newcrest Mining Ltd(NCM.AU)$: Newcrest Mining is down 1.3 per cent. The takeover target is set to appear in court for a second time on October 17 to approve its proposed buyout by global gold mining giant Newmont. The deal still requires shareholder approval.

$Lynas Rare Earths Ltd(LYC.AU)$: Chairman of Lynas Rare Earths, Kathleen Conlon is stepping down from her role at the end of November after 12 years with the WA miner.