Australian market edges lower as tech and miners drag
The Australian share market declined modestly, with the S&P/ASX 200 Index (ASX: XJO) slipping by 0.1 per cent to close at 8802, marking its sixth loss in seven sessions. Investor caution was driven by ongoing uncertainty around the interest rate outlook, following comments from Reserve Bank of Australia Governor Michele Bullock that hinted at persistent inflationary pressures. Sectors such as healthcare, consumer staples, infrastructure, insurers, and banks offered some defensive support, though broader sentiment remained cautious. Technology stocks were the biggest laggards, with NextDC Limited (ASX: NXT) falling 4.9 per cent, Life360 Inc. (ASX: 360) down 4.4 per cent, Codan Limited (ASX: CDA) dropping 4.1 per cent, and TechnologyOne Limited (ASX: TNE) easing 2.1 per cent.
Resources slide on iron ore and copper weakness
The materials sector also weighed heavily on the index as major miners reacted to softening commodity prices and concerns over China’s involvement in Guinea’s Simandou iron ore project. Fortescue Metals Group Limited (ASX: FMG) slipped 2.5 per cent, Rio Tinto Limited (ASX: RIO) fell 1.2 per cent, and BHP Group Limited (ASX: BHP) edged lower. Copper-related names such as Capstone Copper Corp (ASX: CSCU), Firefly Metals Limited (ASX: FFM), and Aeris Resources Limited (ASX: AIS) also dropped sharply amid falling copper prices. Gold miners followed suit, with Ramelius Resources Limited (ASX: RMS), Capricorn Metals Ltd (ASX: CMM), and Genesis Minerals Limited (ASX: GMD) all retreating. In corporate moves, DroneShield Limited (ASX: DRO) tumbled 7.5 per cent, while Medibank Private Limited (ASX: MPL) rose 1.2 per cent after acquiring Better Medical. Woodside Energy Group Ltd (ASX: WDS) added nearly 1 per cent on positive guidance, and Goodman Group (ASX: GMG) fell 3.4 per cent despite reaffirming its earnings target.
Global markets rebound as US tech leads recovery
Global equities rebounded overnight, with the S&P 500 Index (NYSE: SPX) up 0.4 per cent, the Nasdaq Composite Index (NASDAQ: IXIC) gaining 0.8 per cent, and the Dow Jones Industrial Average (NYSE: DJI) rising 270 points. The rally was supported by a pause in the AI-led selloff and positive economic data, including stronger-than-expected ADP payroll numbers and an eight-month high in ISM services activity. Big tech led the recovery, with Alphabet Inc. (NASDAQ: GOOGL) up 2.4 per cent, Meta Platforms Inc. (NASDAQ: META) rising 1.4 per cent, Broadcom Inc. (NASDAQ: AVGO) adding 1.8 per cent, and Tesla Inc. (NASDAQ: TSLA) up 2.7 per cent. However, not all tech names joined the rally, as Palantir Technologies Inc. (NYSE: PLTR) fell 1.5 per cent and Super Micro Computer Inc. (NASDAQ: SMCI) plunged 12.2 per cent after issuing a weak outlook.