AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Highlights
- S&P 500 near record highs amid tech and earnings rally.
- ASX opened lower as most sectors fell.
- Commodities under pressure while gold shines as a haven asset.
Wall Street surged overnight with the S&P 500 nearing record highs, driven by strong corporate earnings and a significant rally in technology stocks linked to artificial intelligence. However, the Australian stock market did not share the same enthusiasm as it opened in negative territory on Thursday, January 23.
The S&P/ASX 200 index fell by 32.9 points or 0.39%, settling at 8,396.90 as of 10:30 AM AEDT. Despite this pullback, the index has gained 0.84% over the past five days but remains 1.38% shy of its 52-week high.
Sector Overview
Of the 11 market sectors, 10 opened lower. The materials sector dropped by 0.59%, utilities and energy both slid 0.23%, and industrials dipped 0.11%. Weakness in commodity markets, particularly in base metals and iron ore, added to the downward pressure.
Gold, on the other hand, experienced a notable boost as investors turned to safe-haven assets amidst concerns over uncertainty in global markets. Gold prices climbed to approximately US$2,756 an ounce, marking a three-month high in intra-day trading despite a stronger USD, which typically dampens demand for gold.
Company Highlights
Fortescue Metals Group (ASX:FMG) reported robust iron ore shipments of 49.4 million tonnes for the second quarter of FY25, setting a half-year record of 97.1 million tonnes. The company also reduced its hematite C1 costs by 10% quarter-over-quarter to US$18.24 per wet metric tonne, although costs were 4% higher compared to the same quarter in FY24. Despite these achievements, shares eased 0.58% to $18.92.
Coronado Global Resources (ASX:CRN) led the top performers on the S&P/ASX 200 with a 4.93% gain to $0.745 after announcing an 8.8% quarter-on-quarter increase in group run-of-mine production to 6.9 million tonnes and a 4.7% rise in sales volumes to 4.1 million tonnes.
On the flip side, shares of gold producer Evolution Mining (ASX:EVN), mineral sands miner Iluka Resources (ASX:ILU), and lithium producer Liontown Resources (ASX:LTR) recorded losses, falling 3.91%, 3.64%, and 2.84%, respectively.
The S&P/ASX 200, Australia’s premier stock market index, tracks the performance of the country’s top 200 publicly traded companies by market capitalisation. It represents approximately 80% of the domestic equity market. While Wall Street's momentum sets a positive tone globally, the ASX appears to be navigating local and international pressures, particularly in the commodity space.
