AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Highlights
- ASX experiences dip as China’s economic measures fall short.
- Mining and energy stocks impacted by lower iron ore and oil prices.
- Endeavour Group issues profit warning amid flat sales, impacting share prices.
The Australian share market faced a downturn after three days of gains, with the S&P/ASX 200 index retreating by 0.4% to close at 8266.2. The pullback followed Beijing’s recent economic stimulus announcement, which failed to meet the anticipated level of support for its slowing economy. This disappointment sent the prices of iron ore and oil lower, impacting Australia’s mining and energy sectors.
Among the hardest hit were mining giants BHP Group (ASX:BHP), which fell by 4.1% to $41.63, and Rio Tinto (ASX:RIO), which declined by 3.1% to $119.47. Fortescue Metals (ASX:FMG) saw a significant drop of 7.3%, closing at $18.12. China’s cautious approach to economic stimulus dampened demand expectations for Australian mineral exports, pressuring these mining stocks.
The energy sector also faced challenges, with South32 (ASX:S32) down 2.6% to $3.7, Beach Energy (ASX:BPT) falling by 1.6% to $1.26, and Ampol (ASX:ALD) slipping 0.7% to $28.11. Despite a general slump across commodities, lithium exporter Liontown Resources (ASX:LTR) gained 0.6% to close at 84¢ after announcing adjustments to its mine expansion plans to preserve cash amid lower lithium prices.
Among major financial institutions, National Australia Bank (ASX:NAB) increased by 0.9% to $39.99, while Commonwealth Bank (ASX:CBA) saw a modest rise of 0.3% to $149.179, briefly touching an intraday record above $150. However, the retail sector experienced a hit as Endeavour Group (ASX:EDV), the parent company of Dan Murphy’s and BWS, issued a profit warning. With flat sales affecting its outlook, Endeavour’s shares dropped 4.9% to reach an all-time low of $4.45.
Meanwhile, HMC Capital (ASX:HMC) emerged as the top gainer, climbing 4.1% to $10.8 on the back of its plans to launch a substantial $4 billion data center investment trust. In the technology sector, battery technology company Novonix (ASX:NVX) surged nearly 12% to 81¢ after securing a supply deal with Stellantis, an automotive manufacturer.
The gold sector faced turbulence as Resolute Mining (ASX:RSG) shares dropped 33% to 45¢, following reports that its CEO, Terry Holohan, was detained in Mali over a tax dispute with the local government. Respiratory protection company Cleanspace (ASX:CSX) also saw a 24% decline after reporting lower-than-expected revenue year-to-date.
New Zealand-based Fonterra Shareholders’ Fund (ASX:FSF) rallied 2.9% to $4.59, boosted by an improved forecast for its 2024/25 farmgate milk price. Additionally, bitcoin surged to over $US81,000 on optimism around a more crypto-friendly regulatory stance under Donald Trump’s presidency, with his intent to make the U.S. a global crypto hub.
