ASX slips on latest Trump tariff
The ASX200 closed slightly down on Monday, losing 9.70 points or 0.11 per cent to 8,570.40, as the seesawing market swung between gains and losses throughout the day's trading.
The broader All Ordinaries also finished in the red, losing 5 points or 0.06 per cent to finish Monday's trading at 8,815.30.
The Australian dollar retreated slightly from an eight-month high and is currently buying 65.61 US cents.
On a mixed day, only four of the 11 sectors finished higher, led by the energy stocks and major miners.
Shares in BHP finished up 0.94 per cent to $39.73, while Rio Tinto gained 0.58 per cent to $111.74. US President Donald Trump tariff policy is starting to come into effect. Carlos Barria / NewsWire POOL Credit: NewsWire
Fortescue Metals bucked the trend and fell 0.47 per cent to $16.90.
It was also a mixed day for the big four banks. CBA shares slipped 0.39 per cent to $178.72, Westpac dropped 0.74 per cent to $33.56 and ANZ slumped 0.82 per cent to $30.08.
NAB was the outlier, eking out a small gain, up 0.13 per cent to $39.66.
Monday's trading came after President Trump over the weekend confirmed a 30 per cent tariff on goods from the European Union and Mexico which will start from August 1.
IG market analyst Tony Sycamore said this was an extension of the letters sent on July 9.
'The 'take it or leave it' tariff rates on these 12 countries will be effective from August 1, 2025,' Mr Sycamore said.
'While we can only guess which countries will receive a letter, it has been confirmed that Canada has been explicitly excluded from the list due to its USMCA protections, relatively low tariffs on US goods, and strategic importance as a North American partner.' Gold miners rose as investors jumped into safe haven assets. NewsWire / Max Mason-Hubers Credit: News Corp Australia
Safe havens – including gold and Bitcoin – jumped on the news.
Northern Star Resources jumped 1.72 per cent to $16.53, Evolution Mining gained 1.88 per cent to $7.58 and Newmont Corporation finished 1.66 per cent higher to $92.01.
Bitcoin has surged past $US120,000 ($182,000) for the first time, marking yet another record in what's shaping up to be a monumental rise.
eToro market analyst Josh Gilbert said the price jumped on the back of governments continuing with big spending budgets.
'Central banks keep running expansive monetary policies and global money supply keeps rising,' Mr Gilbert said.
'In that environment, an asset with fixed, decentralised supply cements itself as an alternative store of value.'
In company news, DroneShield continues its march higher over recent weeks after telling the ASX it will spend $13m in R&D and manufacturing to expand its Sydney based operations.
The company says the money will triple the size of the current Sydney based facility as it looks to expand its manufacturing capacity to $2.6bn by the end of 2026.
The expansion follows a $61.6m contact announcement back in June, its biggest ever order. Shares jumped 16.97 per cent to $3.24 on the announcement.
Specialty fashion group City Chic shares slipped 1.16 per cent to $0.085 after the business issued an unaudited trading update to 29 June 2025 showing earnings before interest depreciation and amortisation will come in at between $6 to $6.5m, following a financial year 2024 loss of $8.4m.
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