Australian shares rose over 1% on Friday, as strong commodity prices lifted mining and energy stocks, while data showing a declining US economy raised hopes of a less hawkish Federal Reserve.
The S&P/ASX 200 index had jumped 1.2% by 0031 GMT, extending gains to a fourth session and heading for a second straight weekly rise.
The US economy contracted for the second straight quarter, raising the risk that it was on the cusp of a recession and fuelling speculation that the Fed may not raise rates as aggressively as some feared.
Miners jumped 1.6% in Australia after iron ore futures hit four-week highs on Thursday on rebounding steel margins in top steel producer China. Iron ore behemoths BHP Group and Rio Tinto advanced 1.8% and 1.1%, respectively.
Technology stocks tracked their Wall Street peers higher, rising 1.5% to lead gains on the benchmark index.
ASX-listed shares of Block Inc added 3.9%, while payments solutions provider EML Payments soared 6.7% and was the top gainer on the sub-index.
Energy stocks jumped 1.3%, with heavyweights Woodside Energy Group and Santos rising 0.8% and 1.6%, respectively.
Gold stocks climbed 1.6% after bullion prices jumped overnight.
Australian shares jump after Powell’s less hawkish comment
Newcrest Mining, the country’s largest gold miner, gained 1.2%.
Financials advanced 0.8%, with the big four banks rising between 0.4% and 0.8%.
Among individual stocks, Star Entertainment rose 0.7% even after the company said its annual normalised revenue would dip from year-ago levels.
New Zealand’s benchmark S&P/NZX 50 index rose nearly 0.9% to 11,429.26.
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