Tech and real estate stocks pulled the Australian equity market to its best session of the week, with the ASX 200 index closing Thursday’s trade above 7,300 for the first time in history.
The local stock market ignored a weak lead from Wall Street and a sagging US futures market to close 0.4% higher at 7302.5, a new record high.
Only the energy and materials sectors finished lower, with BHP down 0.8% to $ 48.30.
Markets software firm IRESS was the top performer, rising 16.8% to $ 12.79 on rumors that investment banks were sniffing for equity research.
Elsewhere in tech, accounting software company Xero gained 3% to $ 133.11, Wisetech Global rose 2.7% to $ 30.96, and Afterpay gained 1% to $ 99.85 .
The collective 2% rise in the tech sector was only surpassed by a 2.4% gain in real estate stocks.
Goodman Group rose 2.3% to $ 20.71, Unibail-Rodamco-Westfield climbed 3.9% to $ 6.48, Scentre Group rose 2.5% to $ 2.91, Mirvac increased rose 1.7% and Dexus climbed 3% to $ 10.95.
Asian markets were generally stronger on Thursday, although U.S. investors took the risk before crucial inflation data, which could provide additional clues to the future of ultra-monetary and interest rate policy. racks.
GSFM investment strategist Stephen Miller said that while the inflation debate has been at the center of investor concerns in 2021, it seems markets are broadly accepting the US Fed’s narrative that the recent acceleration in inflation is “transitory”.
OANDA Asia-Pacific analyst Jeffrey Halley said the divergence between a strong stock market and lower bond yields suggested an element of appeasement or confusion about inflation and its implications.
“Despite this week’s slight pullback, equity markets remain a hair’s breadth of record highs, while longer-term US yields have fallen to lows not seen since the third quarter of last year,” he said. -he declares.
With gold, oil and commodities at or near multi-month highs, either the streets think the inflation story is overblown or there is a severe degree of complacency. US data for the past two months has not confirmed the story one way or the other. “
Local sentiment may have been lifted Thursday by the imminent lifting of Victoria’s toughest COVID lockdowns.
Melburnians must continue to wear masks outside as well as inside, but even the reporting of four new local cases was not enough to extend the city’s three-week curfew.
On the ASX, the communications sector also made strong progress.
Telstra finished at $ 3.57, but REA Group rose 1.6% to $ 167.70, News Corp gained 1.5% to $ 32.95 and Seek climbed 3.7% to 31, $ 05.
Whitehaven Coal hit a post-COVID high and ended up 5.2% at $ 2.03 to continue a four-week rise.