The ASX is on its way up again but the same cannot be said for the Australian dollar, which hit a fresh two-year low following weaker-than-expected retail sales data this week.
The S&P/ASX 200 climbed 13.3 points, or 0.16%, to 8,342.50 points as of 10.30am AEDT.
Over the past five days, the index has gained 1.12% and is 2.02% off its 52-week high.
Meanwhile, overnight the Australian dollar was only buying US$0.617.
On a more positive note, the likelihood of a February interest rate cut by the Reserve Bank of Australia (RBA) improved.
According to the ASX 30 Day Interbank Cash Rate Futures February 2025 contract, there is now 78% expectation of an interest rate decrease to 4.10% at the next RBA meeting.
The RBA Rate Indicator shows market expectations of a change in the official cash rate. The indicator calculates a percentage probability of an RBA interest rate change based on the market determined prices in the ASX 30 Day Interbank Cash Rate Futures.
Nine of the 11 sectors were up in early trade. Materials rose 0.44%, industrials was up 0.15% and utilities made a modest 0.02% move higher. Energy was down slightly.
Critical minerals miner Iluka Resources (ASX:ILU) was a top mover on Friday, gaining 3.89% to $5.34 after the opening bell. Deterra Royalties (ASX:DRR) advanced 2.23% to $3.90 and gold miner Vault Minerals (ASX:VAU) shifted up 2.21% to $0.35.
Vault advanced after State Street, which manages nearly US$5 trillion worth of assets making it one of the world’s largest investors, became a substantial shareholder with a 5.01% stake.
State Street sees gold potentially topping US$3,100 ($5,006) an ounce in 2025.
Mining services heavyweight Downer EDI (ASX:DOW) dipped 0.95% to $5.24.
The S&P/ASX200 is Australia’s leading share market index and contains the top 200 ASX-listed companies in terms of market capitalisation, and accounts for about 80% of the country’s equity market. The index is designed to measure the performance of the 200 largest index-eligible stocks listed on the ASX by float-adjusted market capitalisation.
It is recognised as the institutional investable benchmark in the country.
Write to Angela East at Mining.com.au
Images: ASX & iStock
