The ASX eked out small gains to kick off the week despite oil spiking higher on fresh US-Iran strikes and conflicting statements from each side on whether the Strait of Hormuz remains open to shipping. Six of 11 sectors finished in the red, with most support at the index level coming from the banks, while Telstra (TLS) +1.6% bounced back after last weeks outage.
Last week we saw renewed fighting in the Middle East, with Iran declaring the Strait of Hormuz closed "until further notice" on Saturday, stating no vessels would be permitted to pass until foreign interference ends. Last week, Crude oil spiked around 8% following the escalation in tensions, although it did surrender some of the gains as the week wore on. However, despite the geopolitical uncertainty, global equities shrugged off the fighting, with the Dow making new all-time highs and the MSCI World Index closing less than 0.5% below its same milestone.
The ASX 200 finished a soft week on a positive note as miners rebounded strongly on Friday, although the Materials sector still ended the week as the worst performer, down -4.4%. Fresh fighting between the US and Iran combined with a sharp unwind of the AI Trade to weigh on the miners and risk sentiment in general. Encouragingly, improving market breadth helped cushion the downside, with each of the past three sessions following a similar pattern: early weakness attracted bargain hunters, allowing the market to recover and close near its highs.
The ASX 200 closed higher today as a rebound in miners and a firmer bank sector offset broad losses elsewhere. Materials was the standout on the day (+2.32%) despite being the week's weakest sector over five days (-4.41%) — a sharp reversal as gold pushed toward US$4,115/oz and iron ore cleared US$99/tonne. Healthcare was the biggest drag, led lower by Pro Medicus. The index still finished the week down 0.43%, its fourth straight weekly decline.
US-listed ETFs attracted more than US$1 trillion in inflows during 1H26, the quickest time the industry has ever reached the impressive milestone. However, the rally was highly concentrated, with around 800 ETFs attracting little or no investor flows. To put these numbers into perspective, the US ETF industry has grown to ~US$19 trillion in AUM as of early 2026, with over 3,000 listed ETFs in the US market.
The ASX closed lower on Thursday as a fresh surge in oil prices reignited inflation fears, after Donald Trump said the Iran ceasefire was effectively "over" and the US struck Iran for a second consecutive day. The ASX 200 fell as much as ~50pts intraday before rallying through the afternoon to finish down just 22pts – another solid fight back.
The ASX 200 continues to ride the volatile rollercoaster it's been aboard for well over 400-days. Last week the local market looked destined for new all-time highs following triple-digit gains on Friday, close on the heels of a strong performance on the Thursday. This morning we're sitting at our desks contemplating what's next after President Trump declared the ceasefire with “scum” Iran is over; we knew he wasn’t happy following the USA’s debacle of an exit from the World Cup, but we didn’t think global tensions would escalate in just a matter of hours. The news is already sounding so familiar to much of the last quarter:
The ASX 200 finished modestly lower after recovering from an early 1.4% decline, with strength across Energy and Financials helping the market claw back losses following renewed geopolitical tensions in the Middle East.
The ASX200 fell away on Tuesday, finishing the soft session down 0.3% as further weakness in the miners offset a resurgence by the influential banks. While the gold and lithium names dominated the losers' enclosure from a performance perspective, it was the heavyweights in the materials sector that weighed on the index, with BHP Group (ASX: BHP), Northern Star (ASX: NST) and Evolution Mining (ASX: EVN) hitting the index by more than 0.3% on their own.
Check your email for an email from [email protected]
Subject: Your OTP for Account Access
This email will have a code you can use as your One Time Password for instant access
Verication email sent.
Check your email for an email from [email protected]
Subject: Your OTP for Account Access
This email will have a code you can use as your One Time Password for instant access
!
Invalid One Time Password
Please check you entered the correct info, please also note there is a 10minute time limit on the One Time Passcode
To reset your password, enter your email address
A link to create a new password will be sent to the email address you have registered to your account.
Market Matters members receive daily market reports, real-time trade alerts, full access to 5 portfolios and dynamic company data.
Choose how you'd like to proceed:
We have a range of membership options to suit your needs and budget, why not join today and get unlimited access to the premium Market Matters service.
