The S&P/ASX 200 rose on Thursday, driven by strong company earnings and strong jobs data, taking the benchmark to a new record high.
Market Performance and Session Overview
The S&P/ASX 200 closed at 8,878.40 points from 51.30 points or 0.58%. The index had moved between 8,875 and 8,898 points between 11:00 AM and 1:27 PM AEST. The index rose steadily up to close to 12:30 PM, when the index recorded its intraday high of 8,898 points.
Following the high, the market experienced a gradual pullback, weakening by around 20 points. The fall was marked by controlled selling rather than steep declines. Immediate support came at 8,875 points, which held for the session.
Early Gains Driven by Banking Sector Strength
Stocks in the financial sector offered a good boost. After rising 6.28 percent to $35.67, Westpac Banking Corporation was the highest in 10 years. The bank announced an increase in its cash profit by 5 percent in the third quarter to A$1.9 billion, with a boost in the margins and strength in lending.
Another banking giant, National Australia Bank, and the ANZ group also rose more than 1.5 percent. Commonwealth Bank of Australia fell 0.4 percent to 168.46 after the steep fall in the prior session, and investors reverted to other peers.
Corporate Earnings Reports Lift Sentiment
Origin Energy increased 6.63% to $12.63 after delivering a clean set of results, with a net profit after tax outcome better than forecast, and a holding dividend unchanged. The firm revised FY26 EBITDA guidance driven by energy services optimisation and battery investment.
Temple & Webster rose 7.02% to $27.69, past a full-year revenue shortage, on high margins and a positive FY26 trading update that attracted investors. Pro Medicus rose 6.19% to $315.55 after reporting a 39.2% rise in net profit to $115.2 million based on record contract wins and a robust sales pipeline.
Job Data In Line With Market Forecasts
Australia’s unemployment rate eased to 4.2% in July, from June’s 4.3% and as forecast. Employment growth increased by 25,000, or as forecast by economists, with the participation rate unchanged at 67.1%.
The final labor figures came after the Reserve Bank of Australia cut interest rates by 25 basis points to 3.6% last week. Market participants found the numbers as confirmation of good labor market conditions, with nothing to put monetary policy direction under pressure in the short term.
Mining Industry Ambivalent on Commodity Trends
It was a mixed experience in the mining industry. Copper miners lagged because Chile had reduced the expectation of its copper production growth to 2025. Rio Tinto fell 1.60% to 115.95, and Evolution Mining dropped by 1.06% to 7.91.
Shares of Mineral Resources jumped 3.16 percent to 36.89 on the back of higher iron ore prices. Buyers also seemed to be choosy when it came to investing in the resource sector, as the world commodity markets are nervous about its prospects.
Midday Trading Trends and Technical Levels
Over the 11:00 AM to 12:30 PM interval, the index collectively advanced in uniform fashion, making higher lows and higher highs. This was a signal of strong buyer demand, supported by group-specific gains and consistent economic news.
Some selling commenced after 12:30 PM and this depressed gains. Should this area of immediate support at 8,875 points hold firm, then the market would expect to adjust on a range between 8,875 and 8,890 before putting in some tests at the level of 8,900. Any decline to fewer than 8,875 would take the index to 8,870 or 8,865.
Broader Market Sentiment
Despite softening momentum in the afternoon, the market closed powerfully in the positive. Wins by some industrials and financials outweighed losses within resource sectors.
Hopes for a possible US Federal Reserve rate cut in September also buoyed investor sentiment, which sustained the positive atmosphere surrounding world markets.
