Australia shares rise after calming comments from Powell

Australian shares rose on Thursday, driven mainly by banks. This increase followed comments from U.S. Federal Reserve Chair Jerome Powell, which eased concerns over tariffs from President Donald Trump. The S&P/ASX 200 index climbed 0.7% to 7,881.6, recovering from a 0.4% drop the previous day. Investor feelings improved globally, with Asian stocks expected to rise after positive results from Wall Street. Powell's remarks included plans for two interest rate cuts in 2025, calming fears about tariffs and keeping rates steady for now. In Sydney, bank shares increased by 1.1%, marking their best day since late February. All major banks saw gains of 0.8% to 1.7%. Financial firm Macquarie rose by 1.6%. Meanwhile, the Reserve Bank of Australia's Assistant Governor Sarah Hunter noted the market may be too optimistic about future local rate cuts. Shares in gold companies also went up by 1%. This was helped by gold prices reaching record highs. Local miners like Northern Star Resources and Evolution Mining gained between 1.5% and 1.8%. The technology sector followed Wall Street's lead with a 1.7% rise, with companies like WiseTech Global and Xero increasing by 2% to 3%. Energy and consumer goods stocks saw modest gains of 0.6% and 0.3%, respectively. However, overall gains were limited by losses in mining stocks as iron ore prices fell. In individual stock news, TPG Telecom surged 2.6% after getting regulatory approval for its $3.3 billion merger with Vocus. In New Zealand, the S&P/NZX 50 index rose 0.3%, boosted by Fonterra's strong earnings report and increased dividend.