What happened
The S&P/ASX 200 edged up 5 points to 9,010.9 as commodity gains boosted resource stocks. Thermal coal jumped over 10 per cent and Brent crude rose 12 per cent across nine trading sessions, while iron ore surpassed US$100 per tonne for the first time since June. Energy gained 1.78% and Materials rose 0.42%, offsetting a 2.6% drop in Information Technology.
Why it matters here
Stronger iron ore and energy prices support earnings for major ASX resource producers and shore up Australian national tax receipts. However, persistent rallies in coal and crude oil add broad input costs across the economy, heightening domestic inflationary pressures and reducing the likelihood of near-term central bank monetary easing.
What to watch
Daily benchmark commodity price movements alongside key economic data releases from major trading partner China later this week, including August inflation, PPI, and monthly trade performance.
Source
marketindex.com.au