AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Highlights
- The ASX200 closed up by 0.3%, reaching 8,488 points.
- Energy sector dragged the market down, showing a 0.75% decline.
- Woodside (WDS), Magnetic Resources NL (MAU), and Mesoblast (MSB) posted losses.
The Australian stock market saw a mixed performance as the ASX200 edged higher by 0.3%, closing at 8,488 points. Despite this positive movement, the energy sector emerged as the biggest drag, pulling the overall market down due to a 0.75% decline in its performance.
According to Shane Oliver, Chief Economist at AMP, 2025 is expected to offer positive returns, but following the surprising stability of 2024, more volatility is anticipated. The market is likely to face more constrained conditions as investors prepare for a shift in the economic landscape. This outlook suggests that while positive returns are still within reach, the market's behavior could become more unpredictable.
On the bright side, the IT sector proved to be the strongest performer of the day, up by 1.1%, followed by the Real Estate sector, which rose by 0.8%. Consumer Discretionary stocks also had a positive impact, climbing 0.75%. These sectors' gains were not enough to offset the losses from energy stocks, which had the largest negative effect on the overall market.
Woodside (ASX:WDS) saw a slight dip of 0.8%, largely due to its announcement of a revised lump sum turnkey engineering, procurement, and construction (EPC) contract with Bechtel for the development of the Louisiana LNG project. The updated contract terms were seen as a factor contributing to the decrease in share price, which stood at $24.66 at market close.
Similarly, Magnetic Resources NL (ASX:MAU) also experienced a decline of 0.8%. Despite reporting strong results from recent metallurgical testing at its Lady Julie North 4 (LJN4) project in Western Australia, the market responded negatively, and the stock ended the day at $1.30.
Mesoblast (ASX:MSB) faced the most significant drop, falling 8.2%. This decline followed the announcement that the U.S. Food and Drug Administration had granted Regenerative Medicine Advanced Therapy designation for its cellular therapy, Revascor (rexlemestrocel-L). Despite this regulatory achievement, the stock’s performance was heavily affected, closing at $1.61.
The ASX200 experienced a modest increase, but the energy sector's struggles and individual company results shaped the day’s market dynamics. Investors are keeping a close eye on upcoming developments as they prepare for the year ahead, where both volatility and growth prospects are expected to play a significant role.
