SYDNEY, AAP – Commonwealth Bank shares have notched a record price as the Australian market climbed higher.
Shares in the nation’s biggest bank rose to $98.84 earlier as investors tip banks to thrive on an economy rebounding from the coronavirus recession.
The shares have since eased to be up 0.71 per cent to $98.49.
The benchmark S&P/ASX200 index was higher by 44.6 points, or 0.63 per cent, to 7068.2 at 1200 AEST on Tuesday.
The All Ordinaries was up 43.8 points, or 0.60 per cent, to 7299.6 points.
Materials shares had the greatest gains and were higher by 1.75 per cent.
Miners were benefiting from higher iron ore prices, which rose to about $US213 per tonne.
BHP, Fortescue and Rio Tinto all rose by more than two per cent.
Wall Street stocks closed lower, weighed down by tech shares.
Signs of growing inflation worried investors about the potential for tighter monetary policy.
Several major US retailers including Walmart will report earnings this week. Investors will be examining whether rising prices affected sales.
Meanwhile, the minutes of the Reserve Bank of Australia’s May board meeting have been consistent with a well-worn script.
The minutes show the board determined to keep interest rates low until inflation returns to the target band. The board does not expect this until 2024 at the earliest.
A royal commission has heard Crown Resorts was exposed to money laundering and staff had little awareness of where cash used by junket groups came from.
The inquiry into whether the casino giant remains suitable to keep its licence for its Melbourne operations focused on Crown’s relationship with junket operators.
These operators brought customers to the casino in exchange for a cut of their gambling losses.
A similar royal commission continues for Crown’s Western Australian operations.
Shares were down 0.15 per cent to $13.13.
Building materials supplier James Hardie posted a gain in full-year net profit after tax of nine per cent.
The profit was $US262.8 million.
There was no final dividend. A special dividend was paid earlier this year.
Shares were down 4.96 per cent to $40.01.
Gold miner Newcrest set a goal to reach net-zero carbon emissions by 2050.
Newcrest first released its climate change policy in 2019 and targeted a 30 per cent reduction in greenhouse gases by 2030.
Shares were up 1.9 per cent to $28.91.
Rival gold miner Evolution had a jump of 4.98 per cent to $5.37.
The Commonwealth Bank’s big four rivals were all higher.
ANZ Bank was best and rose 1.11 per cent to $27.61.
Energy shares were doing well and were up 1.26 per cent.
Oil Search and Woodside had gains of 1.8 per cent.
Oil Search shares traded at $3.92. Woodside shares traded for $22.93.
The Australian dollar was buying 77.87 US cents at 1200 AEST, higher from 77.60 US cents at Monday’s close.