Cleanaway Waste Management shares rocketed 15.8 per cent following unconfirmed Bloomberg reports that industrial conglomerate Seven Group Holdings may be exploring the acquisition of the country’s largest waste disposal firm.

GQG Partners (up 3.5 per cent) and James Hardie Industries (up 3.3 per cent) were the biggest large-cap advancers.

The laggards

The mining sector fell 0.3 per cent as shares in gold miners slumped on the back of a continued slide in the price of bullion.

The yellow metal fell more than 2.7 per cent on Monday as concerns of a wider regional conflict in the Middle East faded. The selling continued into Tuesday, with prices down another 1 per cent.

Shares in gold miner Newmont Mining fell 4.6 per cent, while Northern Star dipped 3.5 per cent and Evolution Mining 1.5 per cent.

Some other commodities-related companies also struggled, with coal miner Whitehaven Coal shares down 1.9 per cent and Yancoal down 2.3 per cent.

Pallet maker Brambles lost 6.3 per cent even as it reconfirmed its full-year forecast of a 13 per cent to 15 per cent rise in underlying profit.

The lowdown

IG Australia market analyst Tony Sycamore said a cooling in geopolitical tensions had removed one of the reasons for last week’s torrid equity market performance, but all eyes would be on the inflation figures due out this week.

“The ASX200 has extended its spirited fightback into a second session after a wrecking ball ripped through the local market last week,” he said.

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“Wednesday’s first-quarter inflation report is the main event on the local calendar. The Reserve Bank’s preferred measure of inflation, the trimmed mean, is expected to rise by 0.8 per cent quarter-on-quarter, and 3.8 per cent over the year. If correct, this would be the slowest rate since March 2022, and may further help to heal fragile risk sentiment.”

On Wall Street, the S&P 500 Index gained 0.9 per cent to top 5000 again as the market gears up for the busiest week for US first-quarter earnings.

The Dow Jones Industrial Average rose 0.7 per cent and the Nasdaq Composite Index added 1.1 per cent, with investors hanging their hopes on big tech results meeting lofty expectations.

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About 180 companies in the S&P 500 – more than 40 per cent of its market capitalisation – are due to report their results this week.

The biggest expectations are for the “Magnificent Seven” mega-caps, whose profits are forecast to rise almost 40 per cent from a year ago, according to Bloomberg Intelligence.

Microsoft, Google owner Alphabet, Facebook and Instagram parent Meta Platforms and electric carmaker Tesla are all reporting results this week.

While Israel and Iran have traded attacks, raising concerns about a regional war, Tehran has played down the impact and significance of Israel’s strike.

The fact the Iran regime signalled no retaliation has taken some risk premium out of the gold market, according to Nicholas Frappell, global head of institutional markets at ABC Refinery in Sydney. Bearish sentiment on oil also supported the idea of easing tensions in the Middle East, he added.

Crude oil fell as traders put the focus back on fundamentals, with a rise in US stockpiles as the backdrop. US crude lost 0.35 per cent to $US82.85 a barrel and Brent Crude fell 0.1 per cent to $US87.19 per barrel.

Tweet of the day

Quote of the day

“I’ve never worked at an organisation that was under the pressure The Star is under at the moment. It’s a very challenging environment, and it’s not getting easier,” said Star Entertainment Group head of risk Scott Saunders as the company’s shares hit their lowest level in the company’s history ahead of executive chair David Foster and former boss Robbie Cooke’s appearance at a gruelling inquiry into the casino operator’s culture.

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With Reuters, Bloomberg

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