Australian shares gain on strength from gold, mining stocks

Australian shares rose on Thursday with mining and gold stocks leading the gains, according to Business Recorder. The S&P/ASX 200 index was up 0.3% at 9,072.30 by 0125 GMT, which would snap a six-session losing streak. A central bank official also warned that the Reserve Bank of Australia could raise rates again if inflation risks materialise.

Deputy Governor Andrew Hauser said the RBA would need to lift rates again should upside risks to inflation take hold, signalling a firm stance against persistent price pressure. The central bank kept rates at 4.35% last week after raising them by 75 basis points since February, and it has not ruled out further tightening. Employment unexpectedly declined in July, while the unemployment rate reached its highest level since late 2021.

Mining stocks rose up to 3.4%, reaching a two-month peak on firm copper and iron ore prices, while BHP Group and Rio Tinto gained up to 3%. Fortescue was flat after reporting higher annual profit, though it warned of rising costs and announced a dividend at an eight-year low. Gold stocks advanced up to 8.9%, and Northern Star Resources climbed 8.4% intraday after its full-year net profit grew 24%. Tech and health shares rose, while banks slipped nearly 2%, with the Big Four all about 1% lower.