Australia's share market is edging higher for a second straight session, on reports the US and Iran are seeking further talks to end more than six weeks of conflict. The S&P/ASX200 rose 15.2 points by midday, up 0.17 per cent, to 8,985.7, as the broader All Ordinaries gained 23.7 points, or 0.26 per cent, to 9,188.8. The uptick followed a strong lead from Wall Street overnight, on reports the US and Iran could resume peace talks this week and as more than 20 approved commercial ships made their way through the Strait of Hormuz in 24 hours. "The overnight rally in equities, of course, driven by a plunge in oil prices, was driven by news that fresh peace talks between the US and Iran are likely to go ahead as the countdown clock on the ceasefire continues to tick," Capital.com senior market analyst Kyle Rodda said. "Reports suggest the US's blockade-of-the-blockade is holding up well and that means global oil markets remain heavily disrupted and the global economy hanging on the precipice." Unsurprisingly, local energy stocks faced the biggest swing, down 2.3 per cent by midday, as Woodside and Santos tumbled, along with refinery operators Ampol and Viva Energy. Coal producers also slipped, while uranium stocks Paladin Energy and Deep Yellow continued their recent advances. Boss Energy bucked the trend for nuclear stocks, tumbling almost 12 per cent after cutting production guidance at its flagship Honeymoon Uranium project in South Australia. Utilities also handed back some of their recent gains, the segment falling 1.7 per cent as AGL, Origin and APA Group lost ground. Virgin Australia shares rallied more than six per cent after it maintained 2026 earnings guidance, the airline claiming its fuel hedging strategy will limit losses from spiralling jet fuel costs to between $30 million and $40 million for the period. Both Qantas and Virgin have this week announced plans to reduce domestic flights and lift airfares to cushion the blow of surging fuel costs. Australia's mining sector helped support the bourse, up 0.9 per cent as gold miners charged, with the precious metal trading near $US4,847 ($A6,800) an ounce, its highest price since mid-March. Evolution Mining was the top-200's best performer, supported by the gold price and a strong quarterly report. Mega miners BHP and Rio Tinto edged less than 0.2 per cent higher each, as iron ore futures hung near $US105 a tonne. The heavyweight financials sector crept lower, tracking with weakness in the big four banks despite investment management firms lifting on the improved outlook. Consumer discretionary stocks were roughly flat as heaviness in Bunnings owner Wesfarmers effectively cancelled out strong performances elsewhere in the segment. IT stocks jumped more than two per cent, but the sector is still trading on par with November 2023 after six months of selling pressure. In company news, Mesoblast surged more than seven per cent after securing an exclusive global license to a patented antigen receptor technology. Nufarm rocketed higher after flagging up to $244 in underlying first half earnings, a 17 per cent improvement on the same half a year earlier. The Australian dollar is buying 71.27 US cents, up from 70.96 US cents on Tuesday at 5pm as risk sentiment improved.
Australia's share market is edging higher for a second straight session, on reports the US and Iran are seeking further talks to end more than six weeks of conflict. The S&P/ASX200 rose 15.2 points by midday, up 0.17 per cent, to 8,985.7, as the broader All Ordinaries gained 23.7…
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International mediators have proposed a 10-day ceasefire between the United States and Iran, according to a senior Iranian official cited in reports. The measure is described as intended to reduce hostilities and allow renewed talks on a prior interim agreement.
Both sides are assessing next steps in the current regional security situation.
Reports indicate that a US-Iran ceasefire has broken down amid renewed fighting, with the potential impact of mediation efforts by Pakistan, Qatar, and Oman remaining unclear. Earlier diplomatic steps included a June memorandum of understanding between the parties for further negotiations and talks hosted in Geneva in February.
The summary also references Europe’s historical role in diplomacy, including the 1814-15 Congress of Vienna.
Donald Trump stated in a Fox News interview that his representatives had spoken with Iranian officials an hour earlier and that those officials wanted to make a deal to end the conflict, though he noted they had broken prior agreements and expressed uncertainty about whether one would be reached.
He added that people do not want to die and that Iran would need to proceed carefully to avoid further losses. The remarks come amid an ongoing US-Iran conflict that has involved casualties and shipping disruptions in the Strait of Hormuz, with some social media users criticizing the repetition of similar statements.
Why the Iran-US ceasefire is falling apart Iran and the US have resumed fighting because they don’t see each other as ‘reliable negotiating partners’, says analyst Ali Vaez. Neither Iran nor the United States seems able to deliver a “knockout blow at an acceptable price” to the other side, and both know “they have no choice other than engaging in diplomacy”, but they’re not ready to make uncomfortable concessions, argues Ali Vaez, director of the Iran Project at International Crisis Group.
Vaez tells host Steve Clemons that Tehran and Washington are trying to “enforce their own interpretation” of the ceasefire agreement they signed last month. President Trump has become “frustrated” with diplomacy because he’s not seeing “the kind of quick results that he likes to see”, Vaez says.