The S&P/ASX 200 (ASX: XJO) recovered the ground lost on Monday, increasing 1.1% on Tuesday as the iron ore price showed no signs of slowing down.
Having oscillated between a new commodity supercycle and a bear market, a resumption of steel production supported a 2.2% jump in the materials sector and 3.7% for BHP Group Ltd (ASX: BHP).
Every other sector was higher barring technology, which fell 1.6% as Block (ASX: SQ2) shares fell close to 5% again.
Macquarie delivers record quarter
The financials sector also performed strongly, adding 1.4% after Macquarie Group Ltd (ASX: MQG) reported a record quarter.
The Macquarie share price surged 3.9% to above $200 despite little in the way of financial updates, apart from management confirming ‘improved market conditions’ had contributed to a record level of revenue for the company.
The market-facing businesses are benefitting from a global increase in merger and acquisition activity following the pandemic, but the traditional banking and asset management divisions are expected to detract from profits.
Suncorp profit weakens
Shares in Suncorp Group Ltd (ASX: SUN) were among the leaders on the market, gaining 5.5% after the company reported half-year results and revealed a 7.5% increase in insurance premiums.
Despite the positive sales news, the company indicated that its investment portfolio returns on this capital had fallen, resulting in a 20% reduction in profit and ultimately a 3 cent cut to the dividend. Catastrophe payouts remain a detractor from profits but the market was clearly expecting much worse.
Shopping Centres Australia revalued higher
Shares in Shopping Centres Australia Property Group (ASX: SCP) gained more than 3% after the company reported a 25% increase in revenue and a tripling of profit to $432 million in the first half.
Importantly, funds from operations, being rental payments, increased 29%. But the biggest contributor was a revaluation of the underlying property portfolio by $426 million, taking the net tangible asset value to $2.84 from $2.52.
Charter Hall hikes dividend
Sticking with property, the popular Charter Hall Long WALE REIT (ASX: CLW) added 1% after announcing a 5% increase in the already strong dividend yield.
ASX 200 today
Looking ahead, the ASX 200 is set to open higher this morning, following a positive lead from US stock markets.
All eyes will be on the Commonwealth Bank of Australia (ASX: CBA) share price as the bank lifts the lid on its half-year FY22 results. To keep up to date this February, make sure to bookmark Rask Media’s ASX reporting season calendar.
