Australian equities rose 18 points, or 0.2%, to 8,778 in Monday morning trade, extending the previous session’s gains as U.S. futures advanced. Sentiment was supported by news that Washington and Tehran had agreed to halt hostilities ahead of peace talks this week covering the Strait of Hormuz and other issues aimed at ending the war.
In China, Australia’s largest trading partner, industrial profits jumped 18.8% year-on-year in January–May, highlighting an AI-driven investment surge and continued policy support for advanced industries. Even so, investors remained cautious ahead of this week’s release of Chinese PMI figures and the Reserve Bank of Australia’s June meeting minutes, wary of a potentially hawkish tone following robust May employment data.
Sector gains were led by commercial services, consumer services, and healthcare, partly offset by softness in transport and utilities. Among notable movers, Xero Ltd. climbed 4.6%, REA Group advanced 2.3%, Evolution Mining added 1.9%, and Aristocrat Leisure gained 1.7%. Meanwhile, two of the four major banks recorded modest increases.
