ASX climbs as investors flee US tech stocks

Summarised from 2 outlets · Updated 30 Oct, 02:39 · Archive

Australia's share market rose over 1 per cent as investors sought safety in local bank stocks following a Wall Street sell-off.

Australia's share market rose over 1 per cent by midday, tracking its best weekly performance since July. The S&P/ASX200 rose 94.3 points to 8986.4, whilst the broader All Ordinaries improved by 89.2 points to 9101.8. The rally was driven by buying in Australia's banks and other blue-chip companies as investors sought safety following a sharp drop in US stocks overnight.

Tech heavyweights on Wall Street were hit hard after disappointing earnings raised questions about artificial intelligence's projected returns. Google parent Alphabet suffered its steepest single-day decline in company history, falling 12.6 per cent. Australia's insulation from artificial intelligence exposure made it an attractive shelter from the volatility.

CommBank was the strongest of Australia's big four banks, rising 1.6 per cent to $169 per share. Wesfarmers, Woolworths, Transurban and Origin all received institutional buying support. However, Coles was a notable exception, tumbling almost 7 per cent to $21.85 after its $11.2 billion first-quarter sales disappointed investors. Energy stocks climbed 0.9 per cent despite falling oil prices, with Woodside, Santos, Yancoal and New Hope Corporation gaining ground. Mining stocks fell for a second consecutive session, with BHP trading flat and Rio and Fortescue losing ground as copper prices reversed.

How it is being reported

• Aussie shares track strong weekly finish, Coles tumblesThe ASX's insulation from artificial intelligence is making it an attractive shelter from tech volatility, after a sharp drop in US stocks overnight.The West Australian · 30 Oct, 02:16
• Aussie shares track strong weekly finish, Coles tumblesThe ASX's insulation from artificial intelligence is making it an attractive shelter from tech volatility, after a sharp drop in US stocks overnight.Perth Now · 30 Oct, 02:16

In this story: ASX · CommBank · Coles · Google · Alphabet · Wesfarmers · Woolworths · Australia

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