Local shares have dipped in the final day of trading of 2023, pulling back from the brink of a new all-time high, but it was still a solid year for the local bourse.
The benchmark S&P/ASX200 index finished Friday down 23.5 points, or 0.31 per cent, to 7,590.8, while the broader All Ordinaries dropped 22.6 points, or 0.29 per cent, to 7,829.5.
For the year the ASX200 finished up 7.84 per cent - a big turnaround considering it was down 4.0 per cent for the year at the end of October.
Last year the index lost 5.45 per cent, while it gained 13 per cent in 2021.
The ASX200 also rose 7.1 per cent in December, its best monthly performance since a 10 per cent rise in November 2020.
It rose 7.7 per cent for the quarter - its best quarter in a year - and finished the holiday-shortened week up 1.2 per cent, its fifth straight week of gains.
The rally has been mostly fuelled by the sense that major central banks all over the globe - perhaps everywhere but Australia - are done with hiking rates and will begin cutting them by the second quarter of 2024.
Australia's Reserve Bank did not hike rates as aggressively as its overseas peers and many believe the RBA will not be as aggressive cutting them.
The market is still pricing in a five per cent chance of a rate hike in February.
On Friday eight of the ASX's 11 sectors finished lower, with telecommunications adding 0.1 per cent, utilities up 0.6 per cent and consumer staples flat.
Energy was the biggest loser, falling 0.9 per cent as Brent crude prices hit a 10-day low of $US77.50 a barrel. Woodside dropped 1.1 per cent and Santos fell 0.9 per cent.
Goldminers were among the worst performers even as the price of the yellow metal hovered near an all-time high, at $US2,072 an ounce.
Newmont fell 2.6 per cent, Northern Star dipped 1.4 per cent and Gold Road Resources declined 2.7 per cent.
Elsewhere in the mining sector, BHP fell 0.6 per cent to $50.41, Fortecue dropped 0.4 per cent to $29.02 and Rio Tinto retreated 0.5 per cent to $135.66.
The Big Four banks finished slightly in the red, with CBA down 0.4 per cent at $111.80, ANZ drooping 0.2 per cent to $25.92, Westpac dipping 0.5 per cent to $22.90 and NAB edging 0.1 per cent lower at $30.70.
The Australian dollar was buying 68.43 US cents, from 68.45 US cents at Thursday's ASX close.
ON THE ASX:
* The benchmark S&P/ASX200 index finished Friday down 23.5 points, or 0.31 per cent, at 7,590.8.
* The broader All Ordinaries dropped 22.6 points, or 0.29 per cent, to 7,829.5.
CURRENCY SNAPSHOT:
One Australian dollar buys:
* 68.43 US cents, from 68.45 US cents at Thursday's ASX close
* 96.70 Japanese yen, from 96.63 Japanese yen
* 61.82 Euro cents, from 61.63 Euro cents
* 53.61 British pence, from 53.44 pence
* 107.69 NZ cents, from 107.94 NZ cents
