On January 2, the trading in the Australian stock market opened with gains shown by healthcare and tech sectors amidst thin trading volumes.
A 0.13% rise at 6,693.60 was received by the S&P/ASX 200 index. The volume of the index almost approached the sixth of its 30-day average. On Tuesday, the benchmark fell by 1.8%. Stock markets were closed due to the public holiday of New Year on Wednesday.
Afterpay Ltd’s share rose to 2.7%, making it one of the leading boosts in the Australian benchmark. This is because the fintech firm just earned its lending license in California.
The firm received its license after California denied a similar application from Sezzle Inc. an Afterpay competitor, which experienced a 19.1% fall on its stocks.
According to Brad Smoling, the managing director of Smoling Stockbroking, Afterpay considers the report on the California decisions as a positive sign in terms of business.
This made the technology sector climb as well to almost 1% since December 27.
Various healthcare firms such as Drugmaker CSL, which had a 1% gain, its biggest percentage in a week, experienced more gains. Another example would be the Cochlear that received a 1.3% gain, its highest since Dec. 18.
Almost similar gains were received by the energy sector. Santos and Woodside Petroleum rose 0.7% and 0.4%, respectively. This boosted the energy sector to advance by 0.4%.
Oil prices recorded its highest gain in three years in 2019 due to the continuous effect of U.S.-China trade ware as well as the supply cuts from various oil producers.
Meanwhile, the financial sector was affected negatively by slipping down as much as 0.6%, its lowest in three weeks. Mining industries also experienced a 0.4% loss since December 24, which was caused by a 1% fall among gold-related stocks.
Dacian Gold and Perseus Mining were the top losers in the sector, losing as much as 4% and 3%, respectively.
