NAB earnings, tech stocks drive Australian shares higher


The benchmark ASX 200 added 0.3 per cent, to 7,288, while the broader All Ordinaries also finished nearly 0.3 per cent higher, at 7,595

Australian shares rose for a third day in a row on Thursday, as NAB earnings and tech stocks drove the market higher.

Reporting season continued to influence stock moves. The benchmark ASX 200 added 0.3 per cent, to 7,288, while the broader All Ordinaries also finished nearly 0.3 per cent higher, at 7,595.

The Australian dollar was down 0.1 per cent, buying 71.72 US cents.

Despite the positive the trading session, more sectors ended lower than higher. The tech sector was the biggest winner on the ASX 200, followed by mining.

The best-performing stock was Bapcor (+10.3pc), but its gains followed a bad day of trading for the company on Wednesday.

Megaport also did well, up 7.7 per cent, followed by Paladin Energy, which added 6.7pc, and Nanosonics gained 4.9 per cent.

AMP stocks climbed 4.9 per cent after the company released its results.

The company, which has tried to turn itself around after a series of scandals, reported a net loss of $252 million for 2021.

AMP posted net cash outflows of $5.2 billion, down from $7.8 billion a year earlier.

The financial services group confirmed potential buyers were asking about AMP Capital.

It said AMP Capital’s private market business would be called Collimate Capital after the demerger, which was on track to be completed in the first half of this year.

National Australia Bank (NAB) stocks gained 4.3 per cent after the nation’s second-biggest bank reported a 9.1 per cent rise in first-quarter cash profit thanks to growth in home and business lending.

NAB posted cash earnings of $1.8 billion for the quarter to December, compared with $1.65 billion a year earlier. The result also beat Morgan Stanley’s estimate of about $1.6 billion.

Record-low interest rates and fierce competition in the home loan market are cutting margins for Australian lenders, which are also taking a hit from borrowers switching to fixed-rate mortgages.

The bank said net interest margin, a key measure of profitability, fell 5 basis points to 1.64 per cent in the quarter.

Chief executive Ross McEwan said, while disruptions to supply chains and labour markets from the Omicron COVID-19 variant had created uncertainty, the bank was optimistic about the outlook for Australia and New Zealand.

Disclaimer: The opinions expressed by our writers are their own and do not represent the views of Getting Money Wise. The information provided on Getting Money Wise is intended for informational purposes only. Getting Money Wise is not liable for any financial losses incurred. Conduct your own research by contacting financial experts before making any investment decisions.

getting money wise

Welcome! Get your FREE access to EVERYTHING we publish…

Our goal is to show anyone how to make investing profitable. You’ll get our FREE weekly newsletter with latest news and information on investment topics along with special offers. Please take time to read our privacy policy . The information you provide us will be processed in accordance with this.