ASX slips as cautious investors take profits
The benchmark ASX 200 index slid 13.70 points or 0.16 per cent to finish Monday's trading at 8,589.30.
The broader All Ordinaries also finished in the red down 15.50 points or 0.18 per cent to 8,826.40.
The Australian dollar slumped 0.58 per cent and is now buying 65.10 US cents.
It was a mixed day for markets with six of the 11 sectors finishing in the red, as the local bourse seesawed throughout the day's trading. The Australian sharemarket slipped as investors await key economic news. Picture NewsWire/ Gaye Gerard. Credit: News Corp Australia
Utilities were the standout, led by Origin Energy which jumped 6.75 per cent to $11.55 while APA Group was up 0.36 per cent to $8.39 and Meridian Energy finished in the green up 2.22 per cent to $5.53.
It was also a strong day for the healthcare sector with CSL jumping 2.15 per cent to $247.98 while Sigma Healthcare rose 0.33 per cent to $3.02 and Pro Medicus closed 0.68 per cent higher to $309.98.
CBA shares slipped 0.11 per cent to $177.81, NAB dropped 0.28 per cent to $39.04, Westpac slumped 0.45 per cent to $33.48 while ANZ finished in the red down 0.63 per cent to $30.13.
Traders were cautious after US treasury secretary Scott Bessent informed the market the White House sent letters to its trading partners.
But there were some mixed messages.
Some White House staff said 12 letters were sent while others said 15, with nobody confirming who will receive a letter and what the new tariff rates will be. Utilities was the standout sector. NewsWire / Jeremy Piper Credit: News Corp Australia
However, the White House said the revised levies would come into effect from August 1.
IG market analyst Tony Sycamore said traders were taking profits waiting for the fallout from a busy macroeconomic week.
'Starting with the RBA, it would be a shock if they went against what the market is pricing in at this time and there would probably be an uproar if they didn't cut rates,' he told NewsWire.
Mr Sycamore said tariff rates would likely rise from an average of 14 to around 19 per cent on the back of these letters sent to 12 to 15 countries.
'Mr Trump did mention 70 per cent for some countries, but we don't know until that letter arrives and we see the headlines so again it makes sense to see a little bit of profit taking,' he said.
In company news, Origin Energy jumped 6.75 per cent to $11.55 after reports the company was mulling over a demerger.
Origin Energy, which owns a minority stake in UK business Octopus Energy, is reportedly seeking a demerger of its technology arm.
On the other side, Northern Star Resources slumped 8.7 per cent after reporting gold sales for the 2025 financial year came in at the lower end of its revised guidance.
It also set a weaker than forecasted guidance for 2026.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
West Australian
43 minutes ago
- West Australian
Anthony Albanese jetting off to China this week for important meeting with president Xi Jinping
Anthony Albanese is expected to receive a red carpet reception when he travels to China this weekend to meet President Xi Jinping. His trip will mark the pair's fourth meeting and Mr Albanese's second visit to China since he was elected Prime Minister in May 2022. After thawing the diplomatic freeze formed under predecessor Scott Morrison post his COVID-inquiry call, trade and investment are expected to be a heavy focus of Mr Albanese's discussions. Following their first face-to-face on the sidelines the G20 summit in Bali in 2022, Mr Albanese had travelled to Beijing in November 2023. The trip marked the first Australian PM to visit China since 2016. Their most recent meeting in November 2024 was at the sidelines of the G20 Summit in Rio de Janeiro. While the PM's last whirlwind three-day visit in 2023 divided time between Shanghai and Beijing — Mr Albanese has added Chengdu to the itinerary this time. The city of 21 million in the south-western province of Sichuan is China's famous panda hotspot. This trip will also span five days and will be joined by a media contingent and delegation of high-profile business executives. It's expected to include senior figures from BHP, Rio Tinto, BlueScope Steel, HSBC and Herbert Smith Freehills Kramer. China is WA's number one trading partner with merchandise exports to the country last year valued at $135.6 billion dollars. One in four jobs in the State rely on Beijing to export goods.
AU Financial Review
2 hours ago
- AU Financial Review
The push to allow IPOs to buy back shares to prop up prices
ASIC is keen to help Australia's listed markets along, which is good for the country. Its first two changes – surprisingly made at only the halfway point of a broader review into public and private markets – were ideas straight from the top end of town, the investment banks and law firms present whenever an Australian company taps public markets.
7NEWS
2 hours ago
- 7NEWS
RBA tipped to cut rates, but only one in ten are reducing repayments
Despite cost of living pressures Australian borrowers are opting to get ahead on their home loans, rather than taking the option to take a cut in their repayments. Australia's biggest lender, the Commonwealth Bank, has reported that only 10 per cent of eligible home loan customers chose to reduce their mortgage direct debit repayments following the May interest rate cut. The announcement comes just one day ahead of the next meeting of the Reserve Bank, to decide the cash rate. All of the big four banks and major economists are pointing to a rate cut bringing the cash rate down to 3.6 per cent. "One in ten eligible customers opted to lower their home loan repayments after the May rate cut, which is really similar to what we saw following February's cut," said Commbank Home Buying General Manager Tess Sutherland. "It shows only a small percentage of customers are freeing up their cash, while most are maintaining higher repayments to get ahead on their loans." Across the February and May rate cuts, the combined 0.50 per cent per annum rate reduction could have delivered savings of around $160 a month for those making principal and interest repayments on an average loan size of $500,000. Of those who chose to reduce their repayments, 39 per cent came from New South Wales, the largest group, ahead of Victoria with 31 per cent. "In a state like NSW, where property prices are the highest in the country, it makes sense more customers are choosing to ease financial pressure by adjusting their repayments. It's a practical way to create breathing room in the budget." "We also found that those in their thirties and forties were the most likely age group to reduce their repayments - perhaps not surprising, given many in this cohort may be juggling school-aged kids and high household costs," said Ms Sutherland. Home loan tactics: take the cut or continue to pay top dollar With the RBA expected to bring down their third rate cut for this year tomorrow, savings can be made. If lenders pass it on in full, borrowers with a $600k mortgage could see their minimum monthly repayments fall by $90, while those on a $1 million mortgage could see their repayments drop by $150. However, deciding to forego the cut in cash now and retaining current payments can also pay off. According to modelling by comparison group Canstar, a borrower with a $600,000 debt and 25 years remaining who keeps their monthly repayments the same could potentially save almost $90,000 in interest over the life of their loan and pay it off four years early. This calculation also relies on a total of four standard cash rates in 2025, as forecast by CBA and that the cash rate remains at 3.35 per cent. Canstar data insights director, Sally Tindall, said while it's up to the banks to hand out the rate cuts, it's borrowers who decide what to do with them. "Keep your repayments the same and you could save tens of thousands of dollars in interest and kick your mortgage to the curb years early," Ms Tindall said. If you do decide to bring down your repayments after a rate cut, it is important to check whether your bank will make the cut automatically, or if you need to request it.
