ASX 200 futures are pointing up 4 points, or 0.04%, to 8,962, following a strong session on Wednesday that pushed the local market closer to record territory.
The S&P/ASX 200 rose 1.7%, or 147.40 points, to 9,114.80, within a point of its October record high of 9,115.20. Eight of the 11 sectors finished in positive territory.
Financials led the advance after Commonwealth Bank of Australia (ASX:CBA) surged 6.8% to $169.56, its strongest one-day gain since March 2020. The lender posted half-year cash profit $200 million above market expectations and declared an interim dividend of $2.35 per share, ahead of the $2.31 consensus forecast.
National Australia Bank (ASX:NAB) added 3.4% to $45.49, Westpac (ASX:WBC) climbed 2.5% to $40.27 and ANZ Group (ASX:ANZ) rose 1.3% to $37.20.
In materials, James Hardie (ASX:JHX) jumped 10.9% to $36.87 after reporting December quarter EBITDA of US$330 million, 6% above expectations and ahead of guidance. Evolution Mining (ASX:EVN) gained 8.7% to $16.28 after declaring a 20¢ interim dividend and stronger cash flow, while Newmont (ASX:NEM) rose 2.4% to $171.49 and BHP (ASX:BHP) added 1.6% to $51.07.
The gains were partially offset by CSL (ASX:CSL), which fell 4.6% to $163.44 after reporting an 81% decline in half-year earnings to US$400 million and announcing the departure of its chief executive.
The Australian dollar briefly traded above US$0.71, marking a three-year high.
US: Jobs strength cools rate-cut hopes as software and banks slide
Wall Street closed lower as stronger-than-expected January employment data tempered expectations for US Federal Reserve rate cuts and weighed on rate-sensitive sectors.
The Dow Jones Industrial Average slipped 67 points, or 0.1%. The S&P 500 edged lower, while the Nasdaq Composite fell 36 points, or 0.2%.
Software stocks led declines, with ServiceNow, Datadog and Salesforce down between 1.8% and 5.5%. Intuit dropped 5.2%, while the S&P 500 software index fell 2.6%. Financials also weakened, with the KBW Bank index down 1.8%.
Energy stocks bucked the trend, rising 2.6% as oil prices strengthened. Generac surged 17.9% after its fourth-quarter results, while T-Mobile gained 5.1%. Robinhood Markets fell 8.8% after missing revenue expectations.
Europe: Record close as energy and miners ride stronger oil and metals
European markets closed at record highs, led by energy and mining stocks.
The pan-European FTSEurofirst 300 index rose 0.2%, while the UK FTSE 100 advanced 1.1%. Energy stocks climbed 3.8% to their highest level since 2008, supported by strength in oil prices. TotalEnergies gained 2.7% after reaffirming its commitment to expanding oil and gas reserves.
Mining stocks rose 3%, tracking firmer metals prices.
Currencies and Commodities: Aussie holds above US71¢ as oil and gold rise
Currency markets were mixed.
- The euro eased from US$1.1926 to near US$1.1870 at the US close.
- The Australian dollar rose from US$0.7072 to around US$0.7125.
- The Japanese yen strengthened from JPY154.59 to near JPY153.30 per US dollar.
Oil prices advanced amid geopolitical tensions between Iran and the US.
- Brent crude rose US$0.60, or 0.9%, to US$69.40 a barrel.
- US Nymex crude gained US$0.67, or 1%, to US$64.63 a barrel, despite a larger-than-expected rise in US inventories.
Base metals were firmer, with copper up 0.9% and aluminium 0.7% higher.
- Gold futures climbed US$67.50, or 1.3%, to US$5,098.50 an ounce, with spot gold near US$5,086 at the US close.
- Iron ore futures slipped US$0.25, or 0.2%, to US$100.59 a tonne following softer-than-expected Chinese demand data.
Looking ahead: RBA on the Hill, a heavy earnings slate locally, and key US data
In Australia, Reserve Bank officials are due to appear before the Senate Economics Legislation Committee, with Assistant Governor (Economic) Sarah Hunter scheduled to speak. AMP, ANZ, ASX, Breville, IAG, Northern Star, Origin Energy, Orora, Paladin Energy, Pro Medicus, South32 and Temple & Webster are among companies releasing earnings.
In the US, jobless claims and existing home sales data are due, while Airbnb, Coinbase, Expedia, Pinterest and Rivian report earnings.