Why Arafura, Block, Magellan, and Qantas shares are storming higher

These ASX shares are on form on Wednesday…

| More on:
Green arrow going up on stock market chart, symbolising a rising share price.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a strong gain. The benchmark index is currently up 1% to 7,164.7 points.

Four ASX shares that are climbing more than most today are listed below. Here’s why they are storming higher:

Arafura Resources Limited (ASX: ARU)

The Arafura Resources share price is up over 20% to 23.5 cents. This follows news that the rare earths developer has been awarded a $30 million grant by the government. These funds will be used to support the construction of the rare earth separation plant at its Nolans Project. The grant is part of the Federal Government’s Modern Manufacturing Initiative.

Block Inc (ASX: SQ2)

The Block share price is up over 7% to $143.52. This follows a similarly strong gain by the payments giant’s US listed shares on the NYSE last night. It isn’t just Block that is rising in the tech sector today. The S&P ASX All Technology index is up by a sizeable 2.5% at the time of writing.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price is up 4% to $14.42. This struggling fund manager’s shares have taken off today after it announced plans to buy back up to 10 million shares on-market. This represents approximately 5.4% of its shares on issue. Management advised that the buyback is “consistent with our aim to deliver capital efficiency, solid dividends and attractive returns for shareholders with a focus on our core funds management business.”

Qantas Airways Limited (ASX: QAN)

The Qantas share price is up 3% to $5.09. Investors have been buying Qantas and other travel shares on Wednesday following another pullback in oil prices. The recent weakness in oil prices is good news for the airline operator given how much it spends on fuel. In addition, any relief this causes for petrol prices could give consumer sentiment and spending a boost. The reopening of NZ borders earlier than expected has also been a boost.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns and has recommended Block, Inc. The Motley Fool Australia owns and has recommended Block, Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

Happy woman miner with her thumb up signalling Wyloo's commitment to back IGO's takeover of Western Areas nickel
Resources Shares

Why has the Panoramic Resources share price surged 40% in a month?

Rising global demand for nickel and BHP's play for OZ Minerals have helped propel Panoramic shares in recent times.

Read more »

a smiling woman sits at her computer at home with a coffee alongside her, as if pleased with her investments.

Why has the Northern Star share price climbed 20% in a month?

What's caused the gold miner's shares to shine lately.

Read more »

Female miner on a walkie talkie.
Share Gainers

This ASX lithium share is surging 45% today. What’s going on?

This ASX lithium share is one of the best performers on the market today.

Read more »

a young woman raises her hands in joyful celebration as she sits at her computer in a home environment.
Share Gainers

Why BHP, Life360, Tassal, and Temple & Webster shares are charging higher

These ASX shares are having strong days...

Read more »

St Barbara share price Minder underground looks excited a he holds a nugget of gold he has discovered.
Materials Shares

Guess which ASX mining share just exploded 30% on a new gold discovery

We take a look at what this explorer discovered.

Read more »

Man with rocket wings which have flames coming out of them.
Share Gainers

Why has the Ragusa Minerals share price exploded 136% in a week?

Ragusa shares lifted on lithium news.

Read more »

heavy lifting, lifting index, carrying weight, boy lifting dumbbell above his head
Share Gainers

3 ASX 200 shares having a super start to the week

What's driving these ASX 200 stocks to outperform the market?

Read more »

a man in a hard hat and high visibility vest smiles as he stands in the foreground of heavy mining equipment on a mine site.
Materials Shares

‘Thrilled’: Why this ASX critical minerals share surged 30% on Monday

What's impacting this critical minerals explorer today?

Read more »