Australian shares rose 44 points, or 0.5%, to 9,190 in Wednesday morning trade, extending gains into a fourth consecutive session and holding at their highest level in five months. Sentiment improved following a solid rise in U.S. equity futures, after an extended Wall Street rally overnight pushed the broad market index to a record high, supported by upbeat corporate earnings and speculation about a potential U.S.–Iran agreement to reopen the Strait of Hormuz.
On the domestic front, services activity in July delivered its strongest expansion in six months, with the index revised higher from its flash estimate. However, gains on the local market were capped by investor caution ahead of upcoming trade data from Australia and its key trading partner, China. At the same time, July industry indicators continued to signal weakness in manufacturing and construction.
Sector-wise, technology, non-energy minerals, healthcare, and process industries led the advance. Early notable movers included South32 (up 3.5%), Northern Star Resources (up 2.8%), Qantas Airways (up 2.6%), and Evolution Mining (up 2.0%). In contrast, most major banks traded subdued, while energy stocks underperformed.
