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ASX slips amid broad-based losses

The Australian share market retreated on Tuesday, with the S&P/ASX 200 Index falling 36.80 points to close at 8935.60, marking a 0.4 per cent decline. Eight out of eleven sectors ended in the red, driven by negative global sentiment after US President Donald Trump announced his intent to remove Federal Reserve Governor Lisa Cook. The political interference in central bank operations contributed to increased market uncertainty, which spilled over into local equities. This added unease weighed on overall equity sentiment across the ASX.

Coles and Nuix rally amid sector weakness

Materials and utilities were the primary drags, as Fortescue Metals Group Limited (ASX: FMG)reported a 41 per cent profit slump and cut dividends, sending its shares down 3.9 per cent. BHP Group Limited (ASX: BHP)fell 1.1 per cent, and Mineral Resources Limited (ASX: MIN)lost 5 per cent. In utilities, AGL Energy Limited (ASX: AGL)dropped 4 per cent. However, Coles Group Limited (ASX: COL)jumped 8.6 per cent after outperforming earnings expectations and reporting robust supermarket sales. Nuix Limited (ASX: NXL)surged 17 per cent following broker upgrades, while Imdex Limited (ASX: IMD)tumbled 14 per cent after analyst downgrades. Other notable moves included Reece Limited (ASX: REH), which fell 7.4 per cent, andAUB Group Limited (ASX: AUB), which rose 1.8 per cent on strong earnings.

Wall Street gains despite political tension

In the US, the S&P 500 Index rose 0.4 per cent, supported by gains in NVIDIA Corporation (NASDAQ: NVDA), which advanced 1.1 per cent ahead of its earnings release. The Dow Jones Industrial Average added 135 points, and the NASDAQ Composite also climbed 0.4 per cent. Optimism around corporate earnings, particularly from Eli Lilly and Company (NYSE: LLY), which rose 5.8 per cent after announcing promising diabetes drug results, helped offset broader concerns. However, President Trump’s effort to dismiss Lisa Cook over alleged misconduct has raised fears about the Federal Reserve’s independence, prompting legal action from Cook and heightened scrutiny from investors.

ASX slips from record high amid earnings and bank losses
The S&P/ASX 200 Index ended virtually flat on Monday, gaining just five points to 8972.40, after touching a record intraday high of 9054.50. Optimism from anticipated US interest rate cuts initially drove gains, but local sentiment soured due to underwhelming corporate earnings and weakness in the banking sector. Shares of Australia’s four largest banks, National Australia Bank Limited (ASX: NAB), Westpac Banking Corporation (ASX: WBC), Commonwealth Bank of Australia (ASX: CBA), and Australia and New Zealand Banking Group Limited (ASX: ANZ), all fell between 1.4 and 1.8 per cent.

Miners and energy support market amid corporate disappointments
The materials and energy sectors cushioned broader market losses, driven by rising commodity prices amid US dollar weakness. Major miners benefited from higher iron ore futures, with BHP Group Limited (ASX: BHP), Fortescue Metals Group Limited (ASX: FMG), and Rio Tinto Limited (ASX: RIO) all gaining over 2 per cent. Santos Limited (ASX: STO) advanced 0.6 per cent following takeover updates and solid earnings. However, investor sentiment took a hit with Reece Limited (ASX: REH) tumbling 16.4 per cent on disappointing full-year profits, and Endeavour Group Limited (ASX: EDV) declining 1.4 per cent after a sharp drop in net profit. Notably, Ansell Limited (ASX: ANN) surged 10.3 per cent and Aussie Broadband Limited (ASX: ABB) jumped 20.2 per cent on strong outlooks, while Southern Cross Media Group Limited (ASX: SXL) soared 26.5 per cent after reporting a strategic turnaround.

Wall Street eases as focus shifts to Nvidia and inflation data
US markets dipped after last week’s rally, with the S&P 500 Index falling 0.3 per cent, the Dow Jones Industrial Average dropping 349 points, and the Nasdaq 100 Index slipping 0.4 per cent. Investors paused ahead of Nvidia Corporation’s (NASDAQ: NVDA) earnings, which is expected to significantly impact markets given its 8 per cent weight in the S&P 500. Meanwhile, Intel Corporation (NASDAQ: INTC) lost 1 per cent after reports of a 10 per cent US government stake. Traders are also closely watching upcoming inflation data, with expectations for a 2.9 per cent core PCE reading, as Federal Reserve rate-cut odds remain high following Jerome Powell’s recent dovish comments.

The Australian share market ended the week on a low on Friday, with the benchmark S&P/ASX 200 Index (ASX: XJO) losing 51.7 points, or 0.6 per cent, to 8,967.4, while the broader All Ordinaries Index (ASX: XAO) receded 49.9 points, or 0.5 per cent, to 9,234.3. For the week, however, the S&P/ASX 200 Index (ASX: XJO) added 0.3 per cent, locking-in three straight weeks of gains, while the All Ordinaries Index (ASX: XAO) appreciated by 0.2 per cent.

Seven of 11 local sectors finished Friday lower, led by slumps in consumer staples, health care and real estate stocks. Consumer staples was the weakest sector, dragged lower by poultry producer Inghams Group Limited (ASX: ING), which plunged 72 cents, or 20.3 per cent, to $2.83 after reporting a 10.2 per cent drop in full-year net profit to $90 million. Supermarket giant Coles Group Limited (ASX: COL) also fell 72 cents, in its case 3.3 per cent, to $20.85 ahead of its results on Tuesday.

Commonwealth Bank of Australia (ASX: CBA) slid 96 cents, or 0.6 per cent, to $172.84, but Westpac Banking Corporation (ASX: WBC) advanced 25 cents, or 0.7 per cent, to $38.98. National Australia Bank Limited (ASX: NAB) put on 8 cents, or 0.2 per cent, to $42.47, while ANZ Group Holdings Limited (ASX: ANZ) surrendered 5 cents, to $33.87.

Biotech giant CSL Limited (ASX: CSL) completed a horror week with a slide of $9.40, or 4.2 per cent, to $216.60, taking its losses for the week to 20.4 per cent, after its earnings fell well short of expectations.

But buy-now, pay-later provider Zip Co Limited (ASX: ZIP) had a big day on Friday, jumping 63 cents, or 20.2 per cent, to $3.75 after beating earnings expectations and flagging a potential dual listing on the Nasdaq Stock Market (NASDAQ: NDAQ).

Fast food chain Guzman y Gomez Limited (ASX: GYG) plunged $5.27 on Friday, down 18.2 per cent to $23.70 after reporting an operating loss in its US division and weak Australian sales growth. Footwear retail group Accent Group Limited (ASX: AX1) slumped 29.5 cents, or 17.8 per cent, to $1.37, despite a decent result, because the company said trading for 2026 was tracking below market expectations. Fertility services provider Monash IVF Group Limited (ASX: MVF) dived 11 cents, or 13.7 per cent, to 69.5 cents after reporting an 8.1 per cent fall in net profit in FY25.

In the US, a dovish speech on US interest rates from Federal Reserve chief Jerome Powell unleashed share buyers on Friday. Powell indicated that US rate cuts could restart at the September meeting, but that the Federal Reserve will move on rates in a restrained manner. That helped both the blue-chip Dow Jones Industrial Average (INDEXDJX: DJI) and the broader S&P 500 Index (INDEXSP: SPX) hit record highs on Friday.

The Dow Jones Industrial Average (INDEXDJX: DJI) climbed 846.24 points, or 1.9 per cent, reaching a fresh high and closing at a record level of 45,631.74. The S&P 500 Index (INDEXSP: SPX) surged 96.74 points, or 1.5 per cent, to end at 6,466.91, while the tech-heavy Nasdaq Composite Index (INDEXNASDAQ: IXIC) gained 396.22 points, or 1.9 per cent, to settle at 21,496.53. For the week, the Dow Jones Industrial Average (INDEXDJX: DJI) advanced 1.5 per cent and the S&P 500 Index (INDEXSP: SPX) firmed 0.3 per cent, but the Nasdaq Composite Index (INDEXNASDAQ: IXIC) slid 0.6 per cent.

The broader All Ordinaries Index (ASX: XAO) advanced 106.8 points, or 1.2 per cent, to 9,284.

The index was helped by biotech giant CSL Limited (ASX: CSL) starting the rebuilding process after crashing earlier in the week: the stock gained $5.26, or 2.4 per cent, to $226.00. Among the big banks, ANZ Group Holdings Limited (ASX: ANZ) firmed 51 cents, or 1.5 per cent, to $33.92; Westpac Banking Corporation (ASX: WBC) put on 50 cents, or 1.3 per cent, to $38.73; National Australia Bank Limited (ASX: NAB) gained 36 cents, or 0.9 per cent, to $42.39; and Commonwealth Bank of Australia (ASX: CBA) rose $1.40, or 0.8 per cent, to $173.80.

Global pallets giant Brambles Limited (ASX: BXB) surged $3.07, or 13.2 per cent, to $26.30, after lifting its full-year net profit by 10 per cent and announcing a US$400 million share buyback. Electronics manufacturer Codan Limited (ASX: CDA) jumped $2.53, or 10.7 per cent, to $26.20 after reporting a 22 per cent rise in full-year revenue and a 27 per cent lift in net profit.

There was broad buying of mining stocks, with gold producer Vault Minerals Limited (ASX: VMC) the standout, up 5 cents, or 11.9 per cent, to 47 cents. Ramelius Resources Limited (ASX: RMS) gained 13 cents, or 4.7 per cent, to $2.90; West African Resources Limited (ASX: WAF) added 7 cents, or 2.7 per cent, to $2.70; Westgold Resources Limited (ASX: WGX) put on 7 cents, or 2.2 per cent, to $3.23; Newmont Corporation (NYSE: NEM) rose $1.79, or 1.7 per cent, to $107.07; and Perseus Mining Limited (ASX: PRU) lifted 6 cents, also 1.7 per cent, to $3.59.

Of the bulk miners, BHP Group Limited (ASX: BHP) gained 31 cents, or 0.7 per cent, to $42.06; Rio Tinto Limited (ASX: RIO) put on $1.11, or 1 per cent, to $114.01; and Fortescue Ltd (ASX: FMG) rose 33 cents, or 1.7 per cent, to $19.71.

In the US, the broad S&P 500 Index (NYSEARCA: SPY) slid for a fifth straight day, as traders and investors look to Federal Reserve Chair Jerome Powell’s speech on Friday. The S&P 500 Index (NYSEARCA: SPY) lost 25.61 points, or 0.4 per cent, to 6,370.17, while the 30-stock Dow Jones Industrial Average (INDEXDJX: DJI) softened by 152.81 points, or 0.3 per cent, to 44,785.5, and the tech-laden Nasdaq Composite Index (NASDAQ: IXIC) shed 72.54 points, or 0.3 per cent, to 21,100.31.

Markets eagerly await Federal Reserve Chair Powell’s remarks at the central bank’s annual symposium at the Wyoming ski resort of Jackson Hole, tonight our time, at which he is expected to offer insights into the path of interest rates, and hopefully – from the markets’ point of view – some respite from persistent inflation concerns. Fed funds futures are pricing in a nearly 75 per cent likelihood of the central bank cutting rates at its next policy meeting in September, according to CME’s FedWatch tool.

European and Asian equities retreated on the jitters around the Jackson Hole symposium, as gold prices eased under pressure from a stronger greenback.

The S&P/ASX 200 Index (ASX: XJO) added 21.8 points, or 0.3 per cent, to 8,918.0 on Wednesday, while the broader All Ordinaries Index (ASX: XAO) rose 3.6 points, barely noticeable on a percentage scale, to 9,177.4. Seven of 11 sectors on the Australian Securities Exchange (ASX) finished in the green, with real estate and financials leading, but materials and healthcare weighed on the gains.

The heavyweight financials sector gained 1.4 per cent as the four major banks all gained. National Australia Bank Limited (ASX: NAB) elevated $1.49, or 3.7 per cent, to $42.03; Westpac Banking Corporation (ASX: WBC) put on 92 cents, or 2.5 per cent, to $38.23; Australia and New Zealand Banking Group Limited (ASX: ANZ) advanced 64 cents, or 1.9 per cent, to $33.41; and Commonwealth Bank of Australia (ASX: CBA) gained $1.35, or 0.8 per cent, to $172.40.

In big mining, BHP Group Limited (ASX: BHP) slid 37 cents, or 0.9 per cent, to $41.75; Rio Tinto Limited (ASX: RIO) receded 15 cents, to $112.90; and Fortescue Ltd (ASX: FMG) gave up 31 cents, or 1.6 per cent, to $19.38. In oil and gas, Woodside Energy Group Ltd (ASX: WDS) eked out a 2-cent gain, to $26.16; while Santos Limited (ASX: STO) slipped 19 cents, or 2.5 per cent, to $7.56, on news that its results had to be delayed because a United Arab Emirates (UAE) takeover bid was pushed back.

In gold, Evolution Mining Limited (ASX: EVN) rose 9 cents, or 1.1 per cent, to $7.98; Genesis Minerals Limited (ASX: GMD) helped itself to 4 cents, up 0.9 per cent to $4.39; Gold Road Resources Limited (ASX: GOR) moved 3 cents higher to $3.33; and Capricorn Metals Ltd (ASX: CMM) added 1 cent to $9.69; but there was little joy elsewhere in the sector. West African Resources Limited (ASX: WAF) was down 5 cents, or 1.9 per cent, to $2.63; Perseus Mining Limited (ASX: PRU) lost 4 cents, or 1.1 per cent, to $3.53; and Ramelius Resources Limited (ASX: RMS) eased 3 cents, or 1.1 per cent, to $2.77.

Coal miners also had a bad day, with Yancoal Australia Ltd (ASX: YAL) particularly grisly, sinking 71 cents, or 11.4 per cent, to $5.51, after reporting that first-half net profit had slipped 61 per cent on last year, amid weak coal prices. Whitehaven Coal Limited (ASX: WHC) was down 21 cents, or 3.2 per cent, to $6.43.

The real estate index was up 1.8 per cent, helped by asset manager HMC Capital Limited (ASX: HMC), which rocketed 58 cents, or 17.7 per cent, to $3.85, after a 6.6 per cent loss on Tuesday; and developer Stockland Corporation Ltd (ASX: SGP), which gained 40 cents, or 7 per cent, to $6.12.

In the United States (US), a broad tech decline pulled the S&P 500 Index (NYSE: INX) and Nasdaq Composite Index (NASDAQ: IXIC) lower, with the S&P 500 Index (NYSE: INX) posting its fourth straight loss, down 15.59 points, or 0.2 per cent, to 6,395.78; and the Nasdaq Composite Index (NASDAQ: IXIC) off 142.09 points, or 0.7 per cent, to 21,172.86. The blue-chip Dow Jones Industrial Average (NYSE: DJI) managed an advance of 16.04 points, to 44,938.31.

Investors continued to take profits from several heavyweight technology and semiconductor names, fanning concerns about their high valuations and the longer-term strength of the ‘buy AI’ trade. Intel Corporation (NASDAQ: INTC)dropped about 7 per cent, while NVIDIA Corporation (NASDAQ: NVDA), Advanced Micro Devices Inc. (NASDAQ: AMD), Broadcom Inc. (NASDAQ: AVGO), Palantir Technologies Inc. (NYSE: PLTR), Apple Inc. (NASDAQ: AAPL), Amazon.com Inc. (NASDAQ: AMZN), Alphabet Inc. (NASDAQ: GOOGL) and Meta Platforms Inc. (NASDAQ: META) were also lower.

Minutes from the Federal Reserve’s July meeting released Wednesday showed that the central bank continued to be preoccupied with the state of the jobs market and inflation, although most policymakers agreed that it was too soon to lower interest rates. The bank held rates steady in July, but Fed governors Christopher Waller and Michelle Bowman dissented, marking the first time two voting Fed officials have done so since 1993.

The Australian share market lost ground on Tuesday, weakened by a fall in health stocks. The benchmark S&P/ASX 200 Index (ASX: XJO) fell 63.1 points, or 0.7 per cent, to 8,896.2, while the broader All Ordinaries Index (ASX: XAO) shed 59.7 points, also 0.7 per cent, to 9,173.8. Four of 11 local sectors weakened over the day, led by healthcare, while telecommunications was the best-performing sector.

The healthcare index plunged 8.4 per cent, battered by biotech giant CSL Limited (ASX: CSL)’s 16.9 per cent slide to $227.79, in the wake of the company’s announcement that it will cut up to 3,000 jobs and spin-off its influenza vaccine arms, CSL Seqirus (Private), in a strategy to shave up to $550 million off its total costs. It was CSL Limited (ASX: CSL)’s biggest one-day fall since the company listed on the ASX in 1994, and it wiped about $20 billion off its market capitalisation. CSL Limited (ASX: CSL) said it could potentially raise $17 billion through the spin-off of CSL Seqirus (Private), one of its three business units.

Mining heavyweight BHP Group Limited (ASX: BHP) reported a 26 per cent slide in full-year earnings, to a five-year low, forcing it to reduce dividends to the lowest level in eight years. The US$9 billion (A$13.9 billion) full-year net profit was weighed down by weak commodity prices. BHP Group Limited (ASX: BHP) said it would delay a multi-billion-dollar expansion of its South Australian copper division and warned that Queensland coal jobs could be cut. BHP Group Limited (ASX: BHP) announced it has agreed to sell its Brazilian gold and copper assets in a transaction valued at US$465 million (A$715.4 million). BHP Group Limited (ASX: BHP)’s share price took the bad news well, rising 65 cents, or 1.6 per cent, to $42.12. Elsewhere in the big miners, Rio Tinto Limited (ASX: RIO) softened 25 cents, or 0.2 per cent, to $113.05; and Fortescue Ltd (ASX: FMG) eased 3 cents, or 0.2 per cent, to $19.69.

Canadian uranium project developer NexGen Energy Ltd (TSX: NXE) gained 25 cents, or 2.4 per cent, to $10.83; gold producer Greatland Resources Limited (LSE: GGP) added 12 cents, or 2.2 per cent, to $5.47; rare earths star Lynas Rare Earths Limited (ASX: LYC) put on 32 cents, or 2.2 per cent, to $15.09; mineral sands heavyweight Iluka Resources Limited (ASX: ILU) advanced 12 cents, or 1.9 per cent, to $6.59; and gold miner Westgold Resources Limited (ASX: WGX) lifted 4 cents, or 1.3 per cent, to $3.18.

Energy was the second-biggest loser among the sectors, falling 2.2 per cent, with Woodside Energy Group Ltd (ASX: WDS) down 75 cents, or 2.8 per cent, to $26.14; Santos Limited (ASX: STO) off 21 cents, or 2.6 per cent, to $7.75; and Whitehaven Coal Limited (ASX: WHC) declining 15 cents, or 2.2 per cent, to $6.64.

The big banks were all higher, with National Australia Bank Limited (ASX: NAB) up 31 cents, or 0.8 per cent, to $40.54; ANZ Group Holdings Limited (ASX: ANZ) gaining 20 cents, or 0.6 per cent, to $32.77; Westpac Banking Corporation (ASX: WBC) 24 cents to the good, or 0.7 per cent, to $37.31; and Commonwealth Bank of Australia (ASX: CBA) rising 86 cents, or 0.5 per cent, to $171.05.

The best-performed sector on the day was telecommunications services, which posted a 0.7 per cent increase, powered by job-finding website operator Seek Limited (ASX: SEK), which surged $2.05, or 8 per cent, to $27.72 after reporting its result.

In the US, the broad S&P 500 Index (NYSE: SPX) lost 37.78 points, or 0.6 per cent, to 6,411.37; but the 30-stock Dow Jones Industrial Average (NYSE: DJI) managed a 10.45-point rise, to 44,922.27. The Dow Jones Industrial Average (NYSE: DJI) touched a fresh record high during the session, helped by a surge in Home Depot Inc (NYSE: HD), which rose 3.2 per cent.

The tech-heavy Nasdaq Composite Index (NASDAQ: IXIC) was down 314.82 points, or 1.5 per cent, to 21,314.95. Some of the mega-cap tech stocks struggled, with NVIDIA Corporation (NASDAQ: NVDA) down 3.5 per cent, Advanced Micro Devices Inc (NASDAQ: AMD) off 5.4 per cent and high-flying software stock Palantir Technologies Inc (NYSE: PLTR) retreating more than 9 per cent, making it the S&P 500 Index (NYSE: SPX)’s worst performer.

ASX200 hits another record high

The S&P/ASX 200 notched higher marking its fifth consecutive record high, driven by renewed optimism following the Reserve Bank of Australia’s rate cut and firm July employment data, which together bolstered expectations for further easing. Financials outperformed, with Westpac Banking Corporation (ASX: WBC) rallying strongly, while Australia and New Zealand Banking Group Limited (ASX: ANZ) and National Australia Bank Limited (ASX: NAB) also posted gains. In materials, miners like Newmont Corporation (ASX: NEM), Northern Star Resources Ltd (ASX: NST), Rio Tinto Limited (ASX: RIO), Fortescue Metals Group Ltd (ASX: FMG), and BHP Group Limited (ASX: BHP) benefited from rising forecasts for gold and iron ore.

Gold Road Resources Limited (ASX: GOR) had its scheme booklet registered with the Australian Securities and Investments Commission, outlining the proposed acquisition by a subsidiary of Gold Fields Limited: shareholders will receive A $2.52 fixed cash component, plus a variable cash consideration tied to their stake in Northern Star, as well as a potential fully franked special dividend. The Independent Expert valued Gold Road between A $2.80 and A $3.28 per share and concluded the scheme is fair and reasonable.

Australian corporate spotlight

Baby Bunting Group Limited (ASX: BBN) jumped after raising profit guidance for FY 2026 beyond forecasts. Ampol Limited (ASX: ALD) surged following its agreement to acquire EG Australia for A $1.1 billion. Amcor plc (ASX: AMC) fell sharply as weak North American volumes weighed on performance. Mirvac Limited (ASX: MGR) posted a modest profit shift to A $68 million for the year to June, though revenue slipped 10 per cent to A $2.74 billion. Cochlear Limited (ASX: COH) rose subtly after its annual profit landed at the lower end of its revised guidance.

U.S. markets slipped, though remain perched at near record highs

Overseas, U.S. equities pulled back: the S&P 500 slid 0.3 per cent, Nasdaq Composite declined 0.4 per cent, and the Russell 2000 contracted 0.6 per cent. Applied Materials, Inc. (NASDAQ: AMAT) slumped roughly 14.1 per cent after issuing weak fiscal fourth-quarter guidance, dragging down peers like KLA Corporation (NASDAQ: KLAC). Opendoor Technologies Inc. (NASDAQ: OPEN) rose about 4.3 per cent amid leadership changes and weak Q2 results. In biotech, Arcutis Biotherapeutics, Inc. (NASDAQ: ARQT) led gains with a 5.7 per cent jump on technical buying interest.

ASX boosted by banking sector recovery

The Australian share market continued its upward momentum, setting a fresh intraday high for a fourth consecutive session, supported strongly by the banking sector. Westpac Banking Corporation (ASX: WBC) surged to its highest level in over a decade after posting a 14 per cent rise in quarterly net profit to $1.9 billion, marking its best trading session since the COVID-19 pandemic. This lifted the broader financial sector, with Australia and New Zealand Banking Group Limited (ASX: ANZ) gaining 2 per cent, National Australia Bank Limited (ASX: NAB) up 1.9 per cent, while Commonwealth Bank of Australia (ASX: CBA) continued to slide, falling 1.1 per cent amid valuation concerns. The S&P/ASX 200 Index (ASX: XJO) climbed 0.5 per cent to close at 8873.80, while the All Ordinaries Index (ASX: XAO) also rose 0.5 per cent, with eight of the 11 industry sectors finishing higher.

Corporate earnings drive gains across sectors

Strong earnings reports underpinned broader market gains, with notable performances from multiple companies. Origin Energy Limited (ASX: ORG) led the utilities sector, rallying 6.3 per cent following a 26 per cent increase in full-year core net profit. In the insurance space, Suncorp Group Limited (ASX: SUN) jumped 3.6 per cent after a 52 per cent surge in profit, bolstered by the sale of its banking division. Pro Medicus Limited (ASX: PME) climbed 6.2 per cent on the back of a 40 per cent profit increase, while Temple & Webster Group Limited (ASX: TPW) jumped 8.8 per cent after reporting a 21 per cent lift in revenue. Conversely, Telstra Group Limited (ASX: TLS) dropped 2.6 per cent despite announcing a $1 billion share buyback, and South32 Limited (ASX: S32) sank 5.2 per cent following an impairment charge and operational risks at its Mozal aluminium smelter.

Global markets react to inflation and crypto momentum

Globally, markets closed mixed as higher-than-expected US wholesale inflation data dampened hopes for an aggressive interest rate cut in September. The S&P 500 Index (NYSE: SPX) recorded a modest gain, while the Dow Jones Industrial Average (NYSE: DJI) and Nasdaq Composite Index (NASDAQ: IXIC) were relatively flat. July’s Producer Price Index rose 0.9 per cent month-on-month and 3.3 per cent year-on-year, its largest increase in three years. Despite the inflation surprise, markets still project a high likelihood of a rate cut. In the corporate space, Intel Corporation (NASDAQ: INTC) jumped 7.4 per cent amid speculation over a potential US government investment, while Cisco Systems Inc. (NASDAQ: CSCO)and Deere & Company (NYSE: DE) declined on cautious outlooks. Meanwhile, Bitcoin briefly topped $US124,000 following a landmark US policy shift that allows retirement savings to invest in digital assets, boosting its global legitimacy.

ASX pushes past 8600 amid retail surge

The Australian share market closed above the 8600-point mark for the first time ever, with the S&P/ASX 200 Index gaining 7.2 points to finish at 8603 on Friday. Investor sentiment was buoyed by expectations that the Reserve Bank of Australia (RBA) will cut interest rates next week, prompting a rally in retail stocks. Wesfarmers Limited (ASX: WES) edged up 0.8 per cent, while Aristocrat Leisure Limited (ASX: ALL) and Premier Investments Limited (ASX: PMV) each rose 1.4 per cent. The index also recorded a 1 per cent weekly gain, with eight of the eleven sectors finishing in positive territory.

Banks and miners diverge as CBA slides

Despite gains among major banks, Commonwealth Bank of Australia (ASX: CBA) extended its recent downturn, falling 0.9 per cent to $178 and marking a 7.2 per cent decline from its record high. In contrast, Australia and New Zealand Banking Group Limited (ASX: ANZ), Westpac Banking Corporation (ASX: WBC), and National Australia Bank Limited (ASX: NAB) posted modest advances. Weakness in the materials sector weighed on the market, with BHP Group Limited (ASX: BHP) and Rio Tinto Limited (ASX: RIO) down 1.4 per cent and 1.3 per cent, respectively. Meanwhile, Silk Logistics Holdings Limited (ASX: SLH) surged 23.3 per cent after the Australian Competition and Consumer Commission (ACCC) cleared its acquisition by DP World Australia, and ARB Corporation Limited (ASX: ARB) climbed 3.6 per cent on a Citi upgrade.

US markets

The United States markets were closed on Thursday in observance of Independence Day.

Australian market hits fresh record

The Australian sharemarket closed at a record high on Tuesday after the Reserve Bank of Australia unanimously cut interest rates for the third time this year, lowering the cash rate to 3.6 per cent – its lowest level in more than two years. The S&P/ASX 200 Index (ASX: XJO) rose 36 points, or 0.4 per cent, to 8880.80, surpassing last week’s record of 8848.80. Gains were led by financials, with ANZ Group Holdings Limited (ASX: ANZ) up 2.2 per cent to $31.93, National Australia Bank Limited (ASX: NAB) up 1 per cent to $39.19, Westpac Banking Corporation (ASX: WBC) up 0.9 per cent to $34.63, and Commonwealth Bank of Australia (ASX: CBA) up 0.1 per cent to $178.80.

Sectors and companies in focus

Retail stocks advanced on expectations that reduced mortgage costs would boost consumer spending, with JB Hi-Fi Limited (ASX: JBH) gaining 5.6 per cent to $113.85 after a Macquarie upgrade, and Breville Group Limited (ASX: BRG) up 1.3 per cent to $35.24. Materials also rallied as iron ore futures rose to $US104.80 per tonne, pushing Fortescue Metals Group Limited (ASX: FMG) up 1.2 per cent to $19.66, Rio Tinto Limited (ASX: RIO) up 1.2 per cent to $116.72, and BHP Group Limited (ASX: BHP) up 1 per cent to $41.26. Life360 Inc. (ASX: 360) was the day’s top gainer, surging 7.8 per cent to $40.77 after upgrading full-year guidance. Declines came from Seven Group Holdings Limited (ASX: SVW), down 8.5 per cent to $47.45, Brambles Limited (ASX: BXB), down 1.5 per cent, and Atlas Arteria Group (ASX: ALX), down 1.3 per cent.

Global markets rally on US inflation data

Wall Street advanced strongly after US inflation data met expectations, easing concerns over rising prices. The S&P 500 Index (NYSE: SPX) rose 1.1 per cent and the Nasdaq Composite Index (NASDAQ: IXIC) gained 1.4 per cent, both setting record highs, while the Dow Jones Industrial Average (NYSE: DJI) added 483 points. Investors increased bets on a US Federal Reserve rate cut in September, with odds at 90 per cent for a 25-basis-point reduction. Gains were supported by easing US–China trade tensions after President Trump extended a tariff pause, and by strong earnings from companies such as Intel Corporation (NASDAQ: INTC) up 5.5 per cent, Meta Platforms Inc. (NASDAQ: META) up 3.1 per cent, and Alphabet Inc. (NASDAQ: GOOGL) up 1.2 per cent. US equities also saw their largest fund inflows in two years ahead of the Federal Reserve’s Jackson Hole meeting.