Author Archives: Atchison

Millionaire factory mauled

S&P/ASX 200 Index (ASX: XJO) closed 27.8 points, or 0.3 per cent, weaker at 8709.4 on Thursday, with nine of the 11 sectors losing ground, led by energy, industrials and real estate stocks. The broader All Ordinaries Index (ASX: XAO) gave up 22 points, or 0.2 per cent, to 8,979.4.

Macquarie Group Limited (ASX: MQG) slumped $11.45, or 5.1 per cent, to $213.84 after the asset management and investment banking firm was hit with its first-ever protest vote on its remuneration report at its annual general meeting, following regulatory and compliance failings. A similar vote next year could lead to a board spill. The group also announced that its long-serving chief financial officer Alex Harvey would depart. Three of the big four banks closed higher. National Australia Bank Limited (ASX: NAB) pushed 46 cents, or 1.2 per cent, higher to $37.66; Westpac Banking Corporation (ASX: WBC) rose 18 cents, or 0.5 per cent, to $33.29; and Commonwealth Bank of Australia (ASX: CBA) edged ahead by 17 cents, or 0.1 per cent, to $173.47; but Australia and New Zealand Banking Group Limited (ASX: ANZ)weakened 13 cents, or 0.4 per cent, to $30.44.

Elsewhere in industrials (which fell 1.2 per cent) Computershare Limited (ASX: CPU) fell $1.37, or 3.3 per cent, to $40.22; Brambles Limited (ASX: BXB) retreated 36 cents, or 1.5 per cent, to $23.13; Cleanaway Waste Management Limited (ASX: CWY) shed 5 cents, or 1.7 per cent, to $2.85; and rail group Aurizon Holdings Limited (ASX: AZJ) lost 7 cents, or 2.1 per cent, to $3.26. Biotech heavyweight CSL Limited (ASX: CSL) gained $4.06, or 1.5 per cent, to $269.56. Automotive parts group Bapcor Limited (ASX: BAP) had a shocker, tanking $1.45, or 28.4 per cent, to $3.66 after it warned of weaker-than-expected earnings; announced $50 million in post-tax write-downs; and said three directors would leave the board.

Lynas, Fortescue flying

In big mining, BHP Group Limited (ASX: BHP) leaked 25 cents, or 0.6 per cent, to $41.60; Rio Tinto Limited (ASX: RIO) advanced 39 cents, or 0.3 per cent, to $119.86; and Fortescue Metals Group Limited (ASX: FMG) climbed 79 cents, or 4.3 per cent, to $19.00. Fortescue Metals Group Limited (ASX: FMG) told the market that it shipped a record amount of iron ore in the year to June and is forecasting further volume growth in the next 12 months at a lower cost of production. But the company flagged a $227 million impairment on two failed energy projects, confirming that its Arizona hydrogen and Gladstone electrolyser projects would not go ahead. Rare earths producer Lynas Rare Earths Limited (ASX: LYC) surged 51 cents, or 5 per cent, to $10.65, after breaking its production record by producing 2,080 tonnes of neodymium-praseodymium (NdPr) in the most recent quarter, up 38 per cent on the previous quarter’s output. Total rare earth oxide (REO) production rose 68 per cent to 3,212 tonnes, and Lynas notched its best average selling price for three years, at US$60.20 per kilogram. Sales revenue rose by 38 per cent on the previous quarter, to $170.2 million. Lynas  also signed a memorandum of understanding with Korean permanent magnet manufacturer JS Link for a potential manufacturing and supply partnership.

Gold miners were under pressure as the precious metal’s price retreated, on easing global tensions. Evolution Mining Limited (ASX: EVN) slid 21 cents, or 2.7 per cent, to $7.54; Regis Resources Limited (ASX: RRL) walked back 10 cents, or 2.2 per cent, to $4.36; and Northern Star Resources Limited (ASX: NST) gave up 40 cents, or 2.4 per cent, to $16.27, after saying it had ditched its forward hedging policy, so as to take advantage of the soaring gold spot price, while acknowledging that troubles at its Super Pit mine in Kalgoorlie would continue to limit production. In coal, Whitehaven Coal Limited (ASX: WHC) surrendered 15 cents, or 2.1 per cent, to $7.03; and New Hope Corporation Limited (ASX: NHC) eased 2 cents, or 0.5 per cent, to $4.36. 

Fresh record closes for S&P 500, Nasdaq

In the US, the broad Standard & Poor’s 500 Index (NYSEARCA: SPY) and the tech-laden Nasdaq Composite Index (NASDAQ: IXIC) both moved to record closes overnight after Alphabet Inc. (NASDAQ: GOOGL)’s latest quarterly results came in better than expected. The S&P 500 added a minuscule 4.4 points, or 0.1 per cent if rounded-up, to end at 6,363.35, but it was enough for a record close after a new intraday all-time high earlier in the session. The Nasdaq Composite Index (NASDAQ: IXIC) pulled off the same feat, rising 37.94 points, or 0.2 per cent, to close at 21,057.96. But the blue-chip 30-stock Dow Jones Industrial Average (INDEXDJX: DJI) slid 316.38 points, or 0.7 per cent, to settle at 44,693.91, bogged down by a 7 per cent plunge in International Business Machines Corporation (NYSE: IBM) after its second-quarter software revenue missed expectations.

The S&P 500 was helped by a strong quarterly earnings report from Alphabet Inc. (NASDAQ: GOOGL), which reported a 32 per cent jump in Google Cloud revenue to US$13.6 billion, well ahead of the US$13.1 billion consensus forecast from analysts. Investors are also nervously eyeing the visit tonight by President Trump to the Federal Reserve, for, presumably, discussions with Chairman Powell. It will be the first time in nearly two decades that an American President will make an official trip to the central bank – and it is probably not going to be a social chat over scones and tea.

Retailers jump on impending rate cut, All Ords falls from peak, Westgold surges on production upgrade

The local market managed to hold ground, with the S&P/ASX All Ordinaries Index (ASX: XAO) dropping just 0.1 per cent amid a mixed day. The healthcare sector dropped 1.2 per cent on growing tariff and US policy concerns, with both CSL Limited (ASX: CSL) and ResMed Inc (ASX: RMD) down more than 1 per cent. The highlight, once again, was the retail sector, which gained 0.9 per cent, as the likes of JB Hi-Fi Limited (ASX: JBH) and Wesfarmers Limited (ASX: WES) gained strongly, the former up 1.8 per cent. The demand came amid fixed income markets pricing in a 100 per cent chance that the Reserve Bank of Australia (RBA) cuts interest rates when it meets on Tuesday. Gold miners also performed strongly, as uncertainty pushed the US gold price higher, with Westgold Resources Limited (ASX: WGX) posting a 5 per cent gain after announcing an increase in production expectations for the financial year.

AMP bounces despite falling profit, ASX sinks on failures, Light & Wonder seeks sole ASX listing

The Australian market operator, ASX Limited (ASX: ASX), is under incredible pressure following yesterday’s bungle, with shares falling more than 8 per cent on Thursday. The Treasurer made several statements suggesting that the market operator could be set to lose its monopoly licence, while the company also flagged an additional 35 million dollars in expenses related to compliance with ASIC and other regulator requests. Shares in wealth manager AMP Limited (ASX: AMP) gained close to 5 per cent, despite reporting a 5 per cent fall in profit to just 98 million dollars, with hopes that the break-up and simplification of the business would begin to reverse the troubling trend. Gaming company Light & Wonder Inc (ASX: LNW) posted a 2.6 per cent loss after the company flagged intentions to cut its NASDAQ listing and shift focus to Australia exclusively.

S&P 500 pauses rally, Eli Lilly sinks on poor results, Intel chief under pressure

The S&P 500 Index (NYSE: SPX) paused its stellar run, falling 0.1 per cent on Thursday, however a continued surge in Apple Inc (NASDAQ: AAPL) — which took its two-day gains to 8.5 per cent — pushed the NASDAQ Composite Index (NASDAQ: IXIC) up 0.4 per cent. Intel Corporation (NASDAQ: INTC) faced heavy selling after President Trump called on the company’s leader to resign, suggesting he had “conflicts of interest.” Chipmakers rallied as NVIDIA Corporation (NASDAQ: NVDA) added 0.8 per cent, continuing its strong momentum. Pharmaceutical giant Eli Lilly and Company (NYSE: LLY) sank more than 14 per cent after flagging weaker-than-expected data from trials of its weight-loss pill, despite stronger-than-expected sales. The US economy showed more signs of stress, with jobless claims hitting their highest level since 2021. In a win for asset managers, President Trump signed an executive order that will allow 401(k) accounts — similar to superannuation — to access more private market and crypto investments.

Records all round as S&P/ASX200, gold hit new highs, resources, Newmont rally, CommBank reversal begins

The local market closed above a new all-time high on Wednesday, surpassing the 8,800 point level for the first time ever by gaining 0.8 per cent. The materials sector was behind the rally, with the sector leading 10 of the market’s 11 sectors higher, driven by a renewed surge in the gold price. The gold price moved past 3,400 US dollars per ounce — another record — buoying the likes of Northern Star Resources Limited (ASX: NST) to more than 5 per cent gains. The rise comes as another sign of a weakening US economy, this time via the services sector, boosting hopes for rate cuts. Goodman Group (ASX: GMG) and Wesfarmers Limited (ASX: WES) also posted more than 1.5 per cent gains. All eyes are on Commonwealth Bank of Australia (ASX: CBA) with the behemoth gaining 1 per cent, a week ahead of its full-year earnings result, which will test its valuation.

TPG Telecom sinks on ASX error, News Corp gains on REA Group dividend, revenue jump

The ASX Limited (ASX: ASX) is in trouble once again after sending shares in TPG Telecom Limited (ASX: TPG) more than 5 per cent lower due to another error. The group was incorrectly tagged in news of a takeover offer by private equity group TPP Capital Asia, which had bid 651 million dollars to purchase Infomedia Limited (ASX: IFM), whose shares gained close to 30 per cent on the news. News Corporation (ASX: NWS) gained 5 per cent after the company reported solid revenue growth of 2 per cent and a 14 per cent jump in profit. This was supported by a 7 per cent gain in REA Group Limited (ASX: REA) — owner of Realestate.com.au — as the company flagged a double-digit increase in revenue and a record dividend.

Apple investment boosts US markets, India tariffs to hit 50 per cent, McDonald’s sees sales growth return

The technology sector once again drove global markets higher on Wednesday, with the S&P 500 Index (NYSE: SPX) gaining another 0.7 per cent and the NASDAQ Composite Index (NASDAQ: IXIC) rising 1.3 per cent amid a more than 5 per cent surge in Apple Inc (NASDAQ: AAPL) shares. The company flagged a 100 billion US dollar investment in US production capacity as it seeks to limit the impact of tariffs on iPhone production. According to Bloomberg’s Market Pulse Index, the market pushed into a ‘manic’ reading last month, but earnings have helped to settle valuation concerns. Airbnb Inc (NASDAQ: ABNB) was broadly flat despite reporting a solid result, as the company warned that summer sales had been weaker than expected. More toys and promotions were enough to see McDonald’s Corporation (NYSE: MCD) return to sales growth, increasing by 2.5 per cent in the quarter.

All Ords surges on rate cut hopes, Comm Bank, Wesfarmers lead gains, TPG Telecom to return $3bn

The local market took a strong lead from Wall Street with every sector finishing higher on Tuesday and ultimately pushing the S&P/ASX 200 Index (ASX: XJO) to a 1.2 per cent gain. The strongest performing sectors were retailers, up 1.8 per cent, and financials, up 1.5 per cent, with Commonwealth Bank of Australia (ASX: CBA) finishing 1.4 per cent higher and Wesfarmers Limited (ASX: WES) nearly 3 per cent. The positive sentiment was driven by rate cut hopes in the US, with a more than 80 per cent chance of September rate cuts now priced into the market. Shares in TPG Telecom Limited (ASX: TPG) reversed early gains to finish slightly lower, with the company to return 3 billion dollars to shareholders following the sale of its fixed line and fibre networks to Vocus Group Limited. Rare earth miners also contributed, with the likes of Iluka Resources Limited (ASX: ILU) gaining more than 8 per cent amid reports that the Australian government could follow the US in applying a floor price to rare earth commodities in an effort to counter China’s control over supply.

Debt collector Credit Corp soars on profit jump, Telix sinks on jump in expenses, Pinnacle reports strong investment flows

US and Australian debt collector Credit Corp Group Limited (ASX: CCP) topped the market, with shares gaining more than 16 per cent after the company reported stronger than expected collections in the US. Combined with a broader growth in consumer lending, profit increased 16 per cent, hitting 94 million dollars for the year. Austal Limited (ASX: AST) managed a 7.9 per cent gain after the company was confirmed as the Federal Government’s preferred shipbuilder once again. Popular thematic play Telix Pharmaceuticals Limited (ASX: TLX) sank by close to 9 per cent after the company flagged a surge in operating expenses that would engulf as much as 36 per cent of revenue in the second half. This was in addition to the anticipated R&D spend. It was another positive quarter for Pinnacle Investment Management Group Limited (ASX: PNI), which takes stakes in fund managers operating in Australia. The group reported a 49 per cent increase in net profit to 134 million dollars, driven by 23 billion dollars in new funds under management.

Markets sink on chipmakers, weaker services, oil slides on Ukraine–Russia truce

The US market fell from near all-time highs overnight, with the NASDAQ Composite Index (NASDAQ: IXIC) leading the losses, falling 0.7 per cent. The S&P 500 Index (NYSE: SPX) fell 0.5 per cent and the Dow Jones Industrial Average (INDEXDJX: DJI) 0.1 per cent, as a group of chipmakers, including Advanced Micro Devices Inc (NASDAQ: AMD), fell by more than 1 per cent. The news came after a stronger than expected sales forecast from AMD, while flagging concerns about access to the Chinese market. News also emerged that Chinese nationals had been detained after allegedly sending millions of dollars’ worth of NVIDIA Corporation (NASDAQ: NVDA) chips across the border despite restrictions. Hopes for an air-truce between Ukraine and Russia pushed oil lower, as it would potentially trigger an opening of more supply in the coming years. Interestingly, data shared by US broker Jefferies Financial Group Inc (NYSE: JEF)suggests that falling Federal Reserve interest rates tend to coincide with an outperformance in smaller companies over their large-cap counterparts. Amazon.com Inc (NASDAQ: AMZN) is said to be considering offering access to OpenAI applications via its platform.

All Ords flat as National Australia Bank, banks slip, Endeavour board ructions

The local market managed to hold ground despite selling pressure in the banking sector, with the S&P/ASX 200 Index (ASX: XJO) adding 0.1 per cent on Monday. The likes of National Australia Bank Limited (ASX: NAB) and Australia and New Zealand Banking Group Limited (ASX: ANZ) fell by 0.7 and 1.5 per cent, respectively, offsetting gains in the staples and materials sectors, which both added more than 1 per cent. A sustained rally in iron ore supported Fortescue Metals Group Limited (ASX: FMG) and BHP Group Limited (ASX: BHP) to gains of 1.5 and 0.9 per cent respectively, while both Coles Group Limited (ASX: COL) and Woolworths Group Limited (ASX: WOW) posted strong days amid a search for quality, finishing close to 1.4 per cent higher. It was positive news for Endeavour Group Limited (ASX: EDV) with the Dan Murphy’s owner jumping 3 per cent on news that executive chairman Ari Mervis had stepped down from the role due to ‘board disagreements’, allowing for a refresh in leadership positions amid a year of change for the group.

Beach Energy gains on capital returns, Northern Star leads gold rally, WiseTech down on acquisition

A weaker-than-expected employment report in the US was behind a renewed rally in the gold price, with the US Federal Reserve now expected to cut rates again as early as September. Northern Star Resources Limited (ASX: NST) rallied by more than 5 per cent and Evolution Mining Limited (ASX: EVN) closer to 2.5 per cent as gold finished above 3,360 US dollars per ounce. Beach Energy Limited (ASX: BPT) shareholders were positive about an increase in the dividend, tripling current levels, even as the company wrote down key assets. Shares gained more than 3.5 per cent after the company, which is heavily owned by Seven Group Holdings Limited (ASX: SVW), cut the valuation on its WA and Victorian assets by 474 million dollars. It also flagged weaker-than-expected production forecasts for the new year. Logistics technology provider WiseTech Global Limited (ASX: WTC) fell by more than 1.7 per cent after completing its largest-ever takeover offer, buying Texan e2Open for 2.1 billion US dollars. Domain Holdings Australia Limited (ASX: DHG)shareholders also fully approved the sale of the business to US giant CoStar Group Inc (NASDAQ: CSGP) in a move that will likely disrupt the local real estate classifieds market.

S&P 500 surges on dip buying, earnings surprise, Indian tariffs to increase, Musk gets huge Tesla pay

Dip buyers stepped into the market this week, pouncing on much stronger than expected earnings results to push the S&P 500 Index (NYSE: SPX) up 1.5 per cent and the NASDAQ Composite Index (NASDAQ: IXIC) close to 2 per cent. The buying was widespread, with NVIDIA Corporation (NASDAQ: NVDA) and Meta Platforms Inc (NASDAQ: META) both adding more than 3.5 per cent, while the Russell 2000 Index (INDEXRUSSELL: RUT) gained 2.1 per cent. The buying came as earnings for the S&P 500 Index (NYSE: SPX) are expected to see a 9 per cent jump, compared to expectations of below 3 per cent. President Trump announced that Indian tariffs would increase due to the nation’s continued purchase of Russian oil, while the European Union (EU) expects an executive action to be announced this week, putting further pressure on the economy. Tesla Inc (NASDAQ: TSLA) gained more than 2 per cent after the board approved a near 30 billion US dollar stock award for CEO Elon Musk in hopes it will refocus his attention on the business. Shares in streaming service Spotify Technology S.A. (NYSE: SPOT) gained more than 5 per cent after the company flagged price increases outside of the US.

Australian market edges lower amid tech and bank declines
The Australian sharemarket ended the week marginally lower as initial optimism from softer local inflation was counterbalanced by global economic concerns. The S&P/ASX 200 Index declined by 80.8 points, or 0.92 per cent, on Friday to finish at 8662, resulting in a modest 0.1 per cent loss for the week. Sentiment was pressured by rising US inflation and new American tariffs. Weakness in the technology sector drove a 2.4 per cent decline, with Xero Limited (ASX: XRO) falling 3.2 per cent, Life360 Inc (ASX: 360) down 3.1 per cent, and WiseTech Global Limited (ASX: WTC) losing 2.4 per cent.

Banks and resources paint a mixed picture
The major banks contributed to the market drag, with Commonwealth Bank of Australia (ASX: CBA) down 1.6 per cent to $175.00, National Australia Bank Limited (ASX: NAB) off 1.3 per cent to $38.41, and Westpac Banking Corporation (ASX: WBC) slipping 1 per cent. Australia and New Zealand Banking Group Limited (ASX: ANZ), however, bucked the trend with a 0.7 per cent gain. Resource stocks were mixed; while Fortescue Metals Group Limited (ASX: FMG) gained 1.5 per cent and BHP Group Limited (ASX: BHP) rose 0.1 per cent, Rio Tinto Limited (ASX: RIO) declined 0.7 per cent. Mineral Resources Limited (ASX: MIN)rebounded 4.4 per cent following a steep fall the day before. In company news, The Star Entertainment Group Limited (ASX: SGR) tumbled 16.4 per cent to an all-time low after a failed asset sale, while ResMed Inc. (ASX: RMD) climbed 1 per cent on strong earnings. Novonix Limited (ASX: NVX) fell 4.4 per cent after shelving a graphite spin-out.

Global markets fall on US jobs miss and tariffs
Global equities retreated sharply on Friday, led by disappointing US jobs data and renewed trade tensions. The S&P 500 Index and Nasdaq Composite Index dropped 1.6 per cent and 2.2 per cent respectively, marking their largest single-day declines since April, while the Dow Jones Industrial Average fell 542 points. Weaker-than-expected payroll growth of 73,000 in July, coupled with downward revisions to previous months, pointed to underlying labour market weakness. The announcement of new US tariffs of 10 to 41 per cent on imports from Canada, India, and Taiwan further dented investor confidence. Corporate performances were mixed: Amazon.com Inc. (NASDAQ: AMZN) slid nearly 8 per cent on weak cloud guidance, Apple Inc. (NASDAQ: AAPL) lost 2.9 per cent despite strong results, while Eli Lilly and Co (NYSE: LLY) gained 3 per cent on drug coverage optimism. All three US benchmarks posted weekly losses.

Australian market hits new high
The Australian sharemarket extended its record-setting run, with the S&P/ASX 200 Index (ASX: XJO) rising 0.2 per cent to close at 8959.30, reaching its fifth all-time high in just over a week. A robust start to the earnings season helped fuel gains, with about half of reporting companies beating expectations, according to UBS. The market, however, showed signs of caution, as UBS noted that while upgrades slightly outpaced downgrades, the scale of revisions painted a less optimistic picture.

Banks lead while materials weigh
The banking sector provided a lift, with National Australia Bank Limited (ASX: NAB) jumping 2.7 per cent to $40.23 despite warning of higher operating expenses. Commonwealth Bank of Australia (ASX: CBA) rebounded 1.2 per cent to $170.19 following recent losses, while Westpac Banking Corporation (ASX: WBC) added 0.7 per cent and Australia and New Zealand Banking Group Limited (ASX: ANZ) slipped 1.5 per cent. On the downside, materials lagged due to weaker iron ore prices, dragging shares of BHP Group Limited (ASX: BHP), Rio Tinto Limited (ASX: RIO), and Fortescue Metals Group Limited (ASX: FMG) lower. BlueScope Steel Limited (ASX: BSL) fell 3.1 per cent after posting a sharp profit decline. Among movers, Lendlease Group (ASX: LLC) surged 6.7 per cent on a return to profitability, REA Group Limited (ASX: REA) rose 4.5 per cent on a CEO appointment, and DigiCo Infrastructure REIT (ASX: DGI) sank 14.1 per cent after slightly missing earnings expectations.

Global markets steady ahead of Fed
US markets remained near flat, with the S&P 500 Index (NYSE: SPX) and the Nasdaq Composite Index (NASDAQ: IXIC) showing little change, while the Dow Jones Industrial Average (NYSE: DJI) dipped 0.1 per cent. Attention has turned to upcoming earnings from major US retailers and Federal Reserve Chair Jerome Powell’s speech at Jackson Hole, which investors hope will offer clues on future rate cuts. Markets are anticipating a potential rate reduction in September, with the Fed’s July meeting minutes set for release midweek. In geopolitical developments, former President Donald Trump met with Ukraine’s President Zelensky and European leaders after talks with Russian President Putin, while Intel Corporation (NASDAQ: INTC) fell 3.7 per cent following news of potential White House involvement in the company.

Australian market edges towards record on rate cut hopes

Australian shares edged closer to a record high on Wednesday, driven by strong gains in real estate stocks amid increasing expectations of an interest rate cut from the Reserve Bank of Australia next month. The S&P/ASX 200 Index rose by 51.80 points to 8756.40, just below its all-time high of 8757.20, while the All Ordinaries Index posted similar gains. A softer-than-expected inflation report showed the Consumer Price Index fell to 2.1 per cent annually, prompting a decline in bond yields and the Australian dollar, and strengthening the case for monetary easing.

Real estate and banks gain, materials mixed

The rate-sensitive property sector led the rally with notable gains in Mirvac Group (ASX: MGR), Vicinity Centres (ASX: VCX), and Scentre Group (ASX: SCG). Major banks followed with Commonwealth Bank of Australia (ASX: CBA), Westpac Banking Corporation (ASX: WBC), Australia and New Zealand Banking Group Limited (ASX: ANZ), and National Australia Bank Limited (ASX: NAB) all closing higher. In contrast, the materials sector showed mixed performance amid steady iron ore futures. Fortescue Metals Group Limited (ASX: FMG) edged up, while BHP Group Limited (ASX: BHP) and Rio Tinto Limited (ASX: RIO) declined, with Rio reporting a significant earnings drop. Company-specific developments saw IGO Limited (ASX: IGO) and Appen Limited (ASX: APX) slump, while Pilbara Minerals Limited (ASX: PLS), PointsBet Holdings Limited (ASX: PBH), and PolyNovo Limited (ASX: PNV) recorded strong gains.

Global markets steady amid Fed decision and earnings

Global markets were largely steady as the S&P 500 Index dipped slightly, the Dow Jones Industrial Average fell by 171 points, and the Nasdaq Composite Index rose modestly. The US Federal Reserve kept interest rates unchanged, with dissent from some members advocating for a rate cut. Fed Chair Jerome Powell flagged uncertainty around the inflationary impact of new tariffs from President Trump, who announced fresh duties on Indian and Brazilian imports. Corporate earnings were mixed, with Humana Inc. (NYSE: HUM), Kraft Heinz Company (NASDAQ: KHC), and Visa Inc. (NYSE: V) gaining, while Starbucks Corporation (NASDAQ: SBUX)slipped despite strong revenues. Market attention shifted to post-market results from Meta Platforms Inc. (NASDAQ: META) and Microsoft Corporation (NASDAQ: MSFT).

ASX edges higher ahead of CPI data

The Australian share market posted a modest gain on Tuesday, buoyed by late-session buying as investors braced for a key inflation report due Wednesday. The S&P/ASX 200 Index climbed 0.1 per cent to close at 8740.60, recovering from a session low of 8643.50. Despite early weakness, most sectors finished in positive territory, though investor caution remained high with the Consumer Price Index for the June quarter expected to shape the Reserve Bank of Australia’s upcoming interest rate decision.

Healthcare rotation as energy leads gains

Among sectors, energy outperformed thanks to a rebound in crude oil prices. Woodside Energy Group Ltd (ASX: WDS) rose 1.6 per cent following news it will take over operations of the Bass Strait gas assets from ExxonMobil Australia. In contrast, real estate lagged with Vicinity Centres (ASX: VCX) and Mirvac Group (ASX: MGR) both down. Financials were mixed, with National Australia Bank Ltd (ASX: NAB) gaining 1.2 per cent while Commonwealth Bank of Australia (ASX: CBA) fell 0.4 per cent. Market watchers noted a shift from bank stocks to healthcare, with CSL Limited (ASX: CSL) rising 0.5 per cent and ResMed Inc. (ASX: RMD)slightly weaker. Sandfire Resources Ltd (ASX: SFR) also rose on strong quarterly results, while Viva Energy Group Ltd (ASX: VEA) and Boss Energy Ltd (ASX: BOE) fell sharply on disappointing outlooks.

Global markets slip on earnings and Fed caution

Major US indices declined on Tuesday as caution ahead of the Federal Reserve’s interest rate decision and underwhelming corporate earnings dampened sentiment. The S&P 500 Index slipped 0.3 per cent, the Nasdaq 100 Index fell 0.2 per cent, and the Dow Jones Industrial Average lost 204 points. Weak performances from UnitedHealth Group Inc (NYSE: UNH), The Boeing Company (NYSE: BA), and Merck & Co Inc (NYSE: MRK) dragged indices lower. Earnings disappointments from United Parcel Service Inc (NYSE: UPS) and Whirlpool Corporation (NYSE: WHR) further pressured the market. Despite a surprise uptick in July’s consumer confidence, unresolved US-China trade negotiations and signs of moderating inflation kept investors focused on the Fed’s policy outlook.

ASX lifts as banks rally amid easing trade tensions

The Australian share market ended a two-day losing streak on Monday, buoyed by renewed optimism following a trade agreement between the United States and the European Union and expectations that the US-China tariff truce may be extended. The S&P/ASX 200 Index rose by 30.8 points, or 0.4 per cent, to close at 8697.7, while the All Ordinaries Index added 0.3 per cent. Financial stocks led the gains, particularly Commonwealth Bank of Australia (ASX: CBA), which climbed 1.2 per cent to $174.90. Meanwhile, National Australia Bank Limited (ASX: NAB), Westpac Banking Corporation (ASX: WBC), and Australia and New Zealand Banking Group Limited (ASX: ANZ) posted more modest increases.

Resource and lithium sectors drag despite travel and tech gains

Offsetting the gains in financials were declines in resource and energy stocks. Whitehaven Coal Limited (ASX: WHC) and Yancoal Australia Ltd (ASX: YAL) fell sharply after a court overturned a 2022 coal project approval in the Hunter Valley. Uranium miner Boss Energy Limited (ASX: BOE) plummeted 44 per cent following operational concerns at its Honeymoon project. Iron ore giants such as Rio Tinto Limited (ASX: RIO), Fortescue Metals Group Ltd (ASX: FMG), and BHP Group Limited (ASX: BHP) also retreated as futures weakened. Lithium producers including Pilbara Minerals Limited (ASX: PLS) and Liontown Resources Limited (ASX: LTR) suffered significant losses amid falling lithium prices in China. On a brighter note, Helloworld Travel Limited (ASX: HLO) surged 14.1 per cent after lifting earnings guidance, while Stealth Global Holdings Ltd (ASX: SGI) and Bubs Australia Limited (ASX: BUB) also posted strong gains on positive corporate developments.

Global markets steady as investors eye earnings and Fed decision

In global markets, US stocks were relatively unchanged on Monday as investors processed the new US-EU trade agreement and anticipated a busy week of earnings and economic updates. The S&P 500 Index edged higher to another record, the Nasdaq 100 Index added 0.3 per cent, while the Dow Jones Industrial Average slipped by 64 points. Energy stocks led gains with Exxon Mobil Corporation (NYSE: XOM) and Chevron Corporation (NYSE: CVX) rising, whereas materials stocks underperformed. Market sentiment remained cautious, with focus turning to earnings results from Meta Platforms Inc. (NASDAQ: META), Microsoft Corporation (NASDAQ: MSFT), Apple Inc. (NASDAQ: AAPL), and Amazon.com Inc. (NASDAQ: AMZN). Investors are also closely watching the US Federal Reserve’s policy meeting on Wednesday for potential clues on a September rate cut.