Aussie Shares Switch Gears

Following a soft and uninspired session overnight, Aussie stocks opened in convincing green. The morning session etched out a 1% gain to safely position the local bourse back into the 5000-handle.  

After the previous two sessions of attrition amongst financials, bottom-buyers stepped into to boost the banks. On a thin trading day, the bulk of the trading volume took place amongst the financials, with CBA trading back within $72-ranges, up 0.9%. NAB was the biggest winner of the four banks, adding 1.3% to its value during Thursday trade.

Materials were the only major sector bucking the green-trend, with BHP’s performance the prime culprit. The miner continues to trade in red territory for the second consecutive session. Following its annual report release on Wednesday, the miner has shed almost 5% over the past two sessions as investors digest the prospect of a hybrid offering.

In afternoon trade, volumes remain skinny, which points to investor uncertainty. Equities have clung onto the session’s 1% gain, while the Aussie dollar has dipped below US$0.70.  Words from Janet Yellen Friday morning may see the Aussie dollar back on the move.