The Australian Securities Exchange (ASX) registered modest gains on Friday, propelled by a powerful surge in gold mining stocks and a robust rebound in technology shares, effectively counterbalancing significant declines within the banking sector. The benchmark S&P/ASX 200 index advanced by 11.40 points, or 0.13 percent, concluding the session at 8,860.10. The broader All Ordinaries index demonstrated a stronger performance, climbing 17.40 points, or 0.19 percent, to settle at 9,189.90.
This upward momentum on the local bourse was partially inspired by a Wall Street recovery overnight. The shift in sentiment followed US President Donald Trump’s decision to retract threats of military intervention and tariffs concerning Greenland, coupled with an encouraging upward revision of US third-quarter GDP growth to an annualized rate of 4.4 percent. Concurrently, the Australian dollar sustained its rally, appreciating to a fresh 15-month peak of 68.48 US cents.
Market activity revealed a sectoral divergence. Only three out of the eleven primary sectors finished the trading day positively. The information technology sector emerged as a standout performer, spearheaded by an extraordinary rally in Life360 Inc. The family safety application developer witnessed its stock price skyrocket by 27.37 percent to $33.79, following an announcement of a projected 32 percent year-on-year revenue increase for fiscal 2025, estimated between $US486 million and $US489 million. Other tech giants also contributed significantly, with Xero Ltd. ascending 3.54 percent to $101.22 and TechnologyOne Ltd. gaining 2.76 percent to close at $27.18.
The resources sector provided substantial buoyancy, primarily fueled by record-breaking gold prices which momentarily touched approximately $US4,965 per ounce. Leading gold producers recorded impressive gains: Northern Star Resources surged 5.42 percent to $27.60, Evolution Mining rallied 5.32 percent to $14.86, and Regis Resources led the pack with a formidable 10.16 percent climb to $8.35. According to AMP Chief Economist Shane Oliver, this historic gold rally is underpinned by concerns over U.S. Federal Reserve independence and escalating geopolitical tensions, driving investor demand for a reliable inflation and risk hedge.
However, these gains were substantially offset by pronounced weakness in the financial sector. The ‘big four’ banks all closed in negative territory: Commonwealth Bank of Australia (CBA) receded 0.75 percent to $149.48, Westpac dropped 0.44 percent to $38.74, National Australia Bank (NAB) edged down 0.19 percent to $42.35, and ANZ Banking Group declined 0.52 percent to $36.21.
Other notable movers included Guzman y Gomez, whose shares jumped 3.83 percent to $23.30 after the fast-food chain publicized a new multi-year exclusive delivery partnership with Uber Eats in Australia. In contrast, Capstone Copper shares fell 3.36 percent to $14.95 following operational updates at its Mantoverde site, where a workers’ strike is underway. Defence contractor DroneShield Ltd. was the session’s most significant laggard, slumping 5.50 percent to $4.47 without any accompanying corporate announcement.