Index Update: The S&P/ASX 200 closed slightly higher on Thursday, finishing up 12.60 points or 0.15% at 8,592.00 and moving back above its 20-day moving average. The benchmark remains down 0.31% over the past five sessions but is ahead 5.31% on a year-to-date basis.

Sector performance was mixed, with more sectors declining than advancing. Materials were the standout, rising +0.89%. The sector has now gained +1.47% over the past five days. A-REITs and Energy also finished in positive territory, adding +0.66% and +0.58%, respectively. On the downside, Information Technology recorded the biggest sector drop, falling -1.48%, followed by Health Care at -1.07%. Consumer-related sectors were also generally weaker, with Consumer Discretionary slipping -0.55% and Consumer Staples down -0.14%.

The mixed market tone followed the release of new labour market data, which indicated that the seasonally adjusted unemployment rate held steady at 4.3% in November.

Macro Update: Australia’s labour market held steady in November, with the seasonally adjusted unemployment rate unchanged at 4.3%, according to the Australian Bureau of Statistics (ABS). The rate has now remained at 4.3% in five of the past six months, highlighting minimal month-to-month movement. The number of unemployed people fell by 2,000, while total employment declined by 21,000. This drop was driven by a 57,000 fall in full-time employment, comprising 40,000 fewer males and 16,000 fewer females.

Top Market Movers: James Hardie Industries (ASX:JHX) led the gainers today, rising AUD 2.030 or 7.13% to AUD 30.510, followed by Ramelius Resources (ASX:RMS), which added AUD 0.240 or 6.72%. Flight Centre (ASX:FLT) advanced AUD 0.750 or 5.37%. On the downside, Catalyst Metals (ASX:CYL) fell AUD 0.590 or 8.86%, while Droneshield (ASX:DRO) dropped AUD 0.150 or 6.64%, and Premier Investments (ASX:PMV) declined AUD 0.780 or 5.18%.

Commodity Update: The dollar weakened on Thursday after the Fed cut rates by 25 bps. It delivered an outlook that was less hawkish than expected, encouraging broader utilisation of short positions and expectations of two more cuts next year. Gold rose 0.33% to USD 4,238.45, silver gained 2.37% to USD 62.52, and copper increased 0.49% to USD 11,623.00. Brent crude added 0.40% to USD 62.48 after the U.S. seized a sanctioned tanker near Venezuela, raising supply concerns.

Our Stance: The ASX 200’s modest gain reflects a market balancing mixed sector moves against steady labour data, with Materials once again providing crucial support. While the index reclaimed its 20-day moving average, weakness across technology and consumer-linked sectors signals ongoing caution as investors digest shifting macro conditions. The unchanged 4.3% unemployment rate offers stability, though the fall in full-time employment points to pockets of softening demand. Commodity strength, helped by a weaker dollar, adds a supportive backdrop. The market appears in a consolidative phase, with sector rotation and macro signals likely to drive near-term direction rather than broad index momentum.

In its latest session, the S&P/ASX 200 Index advanced 12.60 points to close at 8,592.00, supported by a small bullish candlestick and strong trading volumes—both signaling sustained investor confidence. On the daily chart, however, the index continues to trade below its 21-period Simple Moving Average (SMA), which remains a key dynamic resistance level. A critical support zone is located near 8,562, and holding above this area is essential for preserving the current bullish structure. Successfully defending this level would allow the index to consolidate recent gains while reinforcing confidence in the broader upward trajectory. From a weekly perspective, the index is trading comfortably above its 50-period SMA, underscoring a constructive longer-term outlook. Overall, the technical setup suggests the potential for continued upside momentum, provided near-term support levels remain intact.