ASX nudges up, profit-taking hits CBA

The Australian sharemarket extended gains on Monday as hopes of economic stimulus in China resurfaced, boosting optimism about the demand for commodities.

The S&P/ASX 200 Index ended 0.2 per cent higher, or 15 points, to 8300.2 for a third consecutive session of gains and is less than 100 points away from its record high set in October. The All Ordinaries rose by a similar amount.

Hopes that Beijing may announce more stimulus in the coming months bolstered sentiment for iron ore miners and helped push the steel-making ingredient back above $US100 a tonne.

Index heavyweight Rio Tinto rallied more than 2 per cent to $116.21 and BHP added 0.7 per cent to $40.36 after Shanghai announced on Monday that it would cut taxes on property transactions from December 1 to support its battered real estate market.

China talk

Aluminium prices also surged on China’s plans to scrap a tax sweetener that fuelled exports out of the country. “If China follows through on this it would prices up considerably from here and benefit aluminium stocks ... such as South32, Rio Tinto and Alumina,” said Jessica Amir, a market strategist at online trading platform Moomoo.

South32 ended 6.2 per cent higher at $3.77.

Uranium miners were also well bid after Russia on Friday limited exports of enriched nuclear fuel to the US. Boss Energy soared 7.3 per cent to $3.07 and was the biggest index gainer. Paladin jumped more than 5 per cent to $7.69. Silex Systems surged 13 per cent to $5.85.

Gold stocks also climbed tracking a bounce in bullion prices as the US dollar rally hit a wall. Evolution leapt more than 2 per cent to $4.74.

Resolute Mining was among the few to buck the trend, falling 5.5 per cent to a nine-month low of 38¢ after the company agreed to pay the Malian government $US160 million ($247 million) to settle a tax dispute that resulted in the arrest of its chief executive and two other staff.

Shares in New Hope rallied 2.3 per cent to $4.81 after the coal miner released upbeat guidance for FY25 thanks to stronger output and pricing.

CSL was a drag on the index after US President-elect Donald Trump named avowed vaccine sceptic Robert F. Kennedy Jnr to lead the US Health Department. Shares closed 1.7 per cent lower at $272.45, a six-month low.

Commonwealth Bank also weighed, falling 1.4 per cent to $153.02 as investors booked profit following a record peak on Friday. National Australia Bank eased 0.2 per cent to $39.16 after the corporate watchdog launched a lawsuit against the lender for breaching the credit code. Westpac, however, rose 0.5 per cent to $33.24.

Stocks on the move

Shares in pharmaceuticals group Clinuvel rebounded 2.2 per cent to $13.57 after the company narrowed its focus to three key areas.

Online luxury retailer Cettire dropped 4 per cent to $1.425 after Citi started coverage with a sell rating. The shares have halved this year.

Family app Life360 took a beating after co-founder and chief executive Chris Hulls sharply reduced his shareholding in the company by selling more than 1 per cent of equities. The stock dived 6.7 per cent to $21.22.

And discount jewellery retailer Lovisa skidded almost 4 per cent and hit a nine-month low of $27.99 after Citi slapped the company with a sell rating, from neutral.