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The ASX snapped a 4 session losing streak today and although the market lost momentum through the middle of the session, buyers gradually re-emerged into the close with the index finishing modestly higher. Financials were mixed but stabilised after yesterday’s sharp selloff led by Commonwealth Bank while Miners once again stole the show on the upside. On the weaker side, Technology and Consumer Staples remained under pressure as the market continues to fade higher multiple growth names and consumer-facing sectors following the budget measures on Tuesday night.
- ASX 200: 8,640.70 / +10.31pts / +0.12%
- AUD/USD: 0.7258 / +0.03%
- Best sectors: Financials +1.02%, Utilities +0.79%, Industrials +0.48%
- Worst sectors: Healthcare −1.03%, Consumer Staples −1.87%, IT −2.20%
- Megaport (ASX: MP1) +27.72% surged after announcing ~$254m worth of long-term network and storage contracts across two US customers, with UBS suggesting the deals could drive material upgrades to earnings forecasts.
- Technology stocks remained under pressure despite ongoing AI enthusiasm offshore, with WiseTech Global (ASX: WTC) −4.83% weaker after major client DSV confirmed plans to transition away from CargoWise over time.
- Xero (ASX: XRO) −9.04% fell despite reporting decent numbers as the market zeroed in on earnings quality and continued risk around AI disruption.
- Consumer Staples led the market lower, with Coles (ASX: COL) −2.22% sold after the Federal Court ruled the supermarket had misled customers over discount pricing promotions. Woolworths (ASX: WOW) −1.27% followed suit.
- The banks were more mixed following yesterday’s sharp declines, with Commonwealth Bank (ASX: CBA) +1.79% rebounding modestly while National Australia Bank (ASX: NAB) −1.19% remained under pressure. Macquarie Group (ASX: MQG) +3.26% also recovered strongly.
- Mining giants continued to outperform, with BHP (ASX: BHP) +0.88% and Rio Tinto (ASX: RIO) +1.57% both trading at fresh record highs as copper prices hovered near all-time peaks.
- Weakness persisted in healthcare with CSL (ASX: CSL) −1.55% falling again after Citi downgraded the stock to Neutral following this week’s earnings downgrade and impairment announcement.
- A disappointing result weighed heavily on GrainCorp (ASX: GNC) −13.50%, with first-half profit roughly halving as oversupply in global grain markets and weaker pricing compressed margins.
- Bapcor (ASX: BAP) −18.45% plunged after downgrading FY26 EBITDA guidance, with the company citing weaker trading conditions, rising freight and fuel costs and currency headwinds in New Zealand.
- Engineering group Worley (ASX: WOR) +2.34% edged higher after announcing another $300m share buyback only weeks after completing a previous $500m program.
- ASX Limited (ASX: ASX) +2.06% gained after appointing former Euronext executive Anthony Attia as chief executive, ending the exchange operator’s global CEO search.
- Oil: trading around $US101.20/barrel (WTI) +0.2%
- Gold: trading around $US4,693/oz around our close. +0.1%
- Iron Ore: $110.50/mt / −0.5% for the day
- Asian Markets: China −0.63%, Hong Kong +0.14% and the Nikkei –0.81%.
- Global Futures: S&P 500 E-Mini +0.23%, Dow E-Mini +0.31%, FTSE +0.42%
