June 27 (Reuters) - Australian shares jumped on Monday, with
heavyweight financials leading the gains as investors shrugged
off recession fears amid looming rate hikes, while strong iron
ore prices boosted miners.
The S&P/ASX 200 index rose 1.5% to 6,676.5 by 0106
GMT, extending gains to a third session. Investors also took
cues from Friday's strong gains in global stocks, as a recent
slide in commodity prices eased worries about soaring inflation
and the rate hike outlook.
Financials advanced as much as 2% to their highest
since June 14 and were among the top gainers on the benchmark
index, with the "big four" banks climbing between 2% and 3%.
Miners jumped 1.9% as iron ore prices rose on
expectation of a recovery in demand after Chinese President Xi
Jinping pledged to take more effective measures to achieve the
country's economic and social development goals.
Sector leaders BHP Group, Rio Tinto and
Fortescue added between 1% and 3.5%.
Technology stocks tracked Wall Street higher, rising
1.1%. ASX-listed shares of Block climbed 3.2%, while
software firm Xero added 1.1%.
Limiting the benchmark index's gains, gold stocks
fell 6.9% to their lowest since March 2020, as heavyweight
Evolution Mining tumbled 20.4% after cutting its
The company now expects 2022 gold production to be around
640,000 ounces, well below its previous guidance of 700-760
Shares of Suncorp Group rose 3.3% after the
country's second-largest insurer said it was conducting a
strategic review of its banking operations.
Shares of Link Administration advanced 1.9% even as
Canadian cloud-based software company Dye & Durham Ltd
lowered its takeover proposal, while PEXA group climbed
New Zealand's benchmark S&P/NZX 50 index rose 1.4%
(Reporting by Roushni Nair in Bengaluru; Editing by Subhranshu