Markets pricing in 72% chance of November rate cut
Financials, gold stocks rise to log record close
Real estate stocks log best session since April
September unemployment rate at near 4-year high
Updates to close
By Adwitiya Srivastava
Oct 16 (Reuters) - Australian shares rose to a record close on Thursday, driven by strong gains in financials, property and gold stocks after an unexpected spike in unemployment bolstered views of an interest rate cut next month.
The S&P/ASX 200 index .AXJO climbed 0.9% to 9,068.4. It rose to a record of 9,109.70 earlier in the day, crossing the 9,100 mark for the first time.
Labour market data showed the unemployment rate in September jumped to its highest in nearly four years, raising bets of a November rate cut to about 72% from 40% before the data. 0#AUDIRPR
However, the Reserve Bank of Australia will be scrutinising the quarterly inflation report due later this month before taking a call on its key cash rate.
Financials .AXFJ rallied more than 1% to a record close, with financial conglomerate Macquarie Group MQG.AX rising 5.1% to its highest close since late August after a $40 billion AI data centre deal with an investor group comprising BlackRock BLK.N, Microsoft MSFT.O and Nvidia NVDA.O.
ANZ Group ANZ.AX, the country's no.4 lender by market value, rose to its highest close in more than a decade after soaring to an all-time high earlier in the day.
Lower interest rates would directly contribute to a significant improvement in mortgage demand and lending activity, which explains the enthusiasm around banks, said Jessica Amir, market strategist at moomoo.
Real estate stocks .AXRE, sensitive to interest rates that affect both consumer demand and developers’ access to financing, jumped 2.8% to log their best session since April.
Sector heavyweights Goodman Group GMG.AX and Mirvac MGR.AX rose 5% and 3.5%, respectively.
Gold miners .AXGD advanced 2.2% to notch a record close as bullion extended gains on safe-haven flows. GOL/
Healthcare .AXHJ, energy .AXEJ, and consumer staples .AXSJ stocks gained up to 1% each.
In New Zealand, the S&P/NZX 50 .NZ50 rose 0.6% to 13,389.1.
(Reporting by Adwitiya Srivastava in Bengaluru; Editing by Subhranshu Sahu)
((Adwitiya.Srivastava@thomsonreuters.com))