ASX200 trades flat as investors await Israel response, US jobs

The Australian sharemarket inched higher on Thursday as investors await Israel’s response to Iranian missile and terror attacks and the release of US jobs data on Friday.

The benchmark ASX200 edged up 7 points, or 0.09 per cent, to close at 8205.2, while the broader All Ordinaries index added 4.4 points, or 0.05 per cent, to 8474.3.

Ten of the 11 industry sectors moved up or down less than half a per cent, with only Real Estate booking a substantial 1.65 per cent gain.

Goodman Group lifted 1.56 per cent to $37.80 a share, Stockland advanced 1.34 per cent to $5.31 and Mirvac gained 2.79 per cent to $2.21.

The energy sector edged down 0.07 per cent even as oil prices lift on escalating tensions in the Middle East.

Santos retreated 0.28 per cent to $7.15, while Woodside Energy climbed 0.58 per cent to $26.06.

Caution on the bourse followed a subdued session on Wall St overnight on Wednesday, with the S and P 500 index flat at 5709 points and the tech-heavy Nasdaq edging up 0.08 per cent to 17,925.

“Equity markets (in the US) rose by the skin of their teeth as investors weigh up a trifecta of different drivers,” moomoo market strategist Jessica Amir said.

“While the market’s fear gauge, the VIX, fell which is pleasing to see, the US dollar index rose for the third day as traders tussle with what could happen if Israel retaliates against Iran’s ballistic attack.”

Investors are also stepping cautiously ahead of the release of crucial US jobs data on Friday, IG markets analyst Tony Sycamore said.

“This week stronger-than-expected second-tier US labour market data has defied expectations of an economic slowdown as JOLTS job openings and the ADP employment report surpassed forecasts,” he said.

“If Friday’s non-farm payrolls also come in line or higher than expected, it would significantly diminish the likelihood of a 50 basis point rate cut from the Federal Reserve at its November meeting.”

The big banks and miners were mixed.

BHP rose 0.69 per cent to $45.37, Fortescue fell 0.79 per cent to $19.98 and Rio Tinto ended flat at $126.04.

Commonwealth Bank gained 0.31 per cent to $134.61, ANZ lost 0.1 per cent to $30.08 and NAB ended flat at $37.

Westpac lost 1.29 per cent to $30.71 after announcing it will sell its auto finance loans book to Resimac Group for an expected transaction value of between $1.4bn and $1.6bn.

In corporate news, Origin Energy abandoned its proposed $207m hydrogen hub in the NSW Hunter Valley.

“It has become clear that the hydrogen market is developing more slowly than anticipated, and there remain risks and both input cost and technology advancements to overcome,” Origin chief executive Frank Calabria said.

Shares in the company slipped 0.48 per cent to $10.32.

The top gainer on the ASX200 was Sigma Healthcare, leaping another 8.14 per cent to $2.06 for its third consecutive rise.

The stock is up nearly 40 per cent since Tuesday after the company proposed three court-enforceable undertakings to the ACCC to support its takeover bid for Chemist Warehouse.

The largest laggard was thermal coal producer New Hope Corporation, which slumped 5.55 per cent to $4.93.

The Aussie dollar lost 0.27 per cent to buy US68.6c at the closing bell.