The ASX 200 finished +0.4% higher on a fairly choppy Monday, which saw a very strong local market opening, eventually losing half of the early gains. The gains were very stock/sector specific, with only 6 of the main 11 sectors closing higher, but a stomping +2.6% session by the materials stocks was enough to drive the market higher, with gold equities again the shining light with the precious metal breaking well above the $US3,700/oz milestone.
US stocks have defied sceptics in 2025, surging to record highs despite a global trade war, fiscal uncertainty, and now September’s traditionally weak reputation. The S&P 500 has added $US16 trillion in market value since April, driven largely by Big Tech, notching ~30 records and rallying 38% in five months, a pace surpassed only four times in the last 75 years.
Chinese tech stocks posted a near four-year high on Thursday as AI-fuelled buying and a regulatory ban on an Nvidia Corp. chip boosted prospects for domestic rivals. The Hang Seng Tech Index rose as much as 2% on Thursday, before fading into the close, building on Wednesday’s 4.2% rally that marked its highest close since November 2021. Gains followed a Chinese regulator’s order to halt imports for Nvidia’s RTX Pro 6000D, seen as a boost for domestic chipmakers. Chinese chipmaker SMIC contributed the most to the tech index’s advance, with shares surging as much as 8.3% in Hong Kong. Hua Hong Semiconductor Ltd. jumped as much as 13%. Shares of Alibaba Group Holding Ltd. and Baidu Inc., which are developing their homegrown alternatives to foreign chips, also rose.
This morning, the Fed delivered as expected, while the rhetoric led to volatility but ultimately a mixed close for stocks:
• The Fed cut interest rates by 0.25% as expected and pencilled in 2 more cuts before Christmas.
• However, looking ahead at the outlook for additional rate moves, Powell was cautious, saying the Fed was now in a “meeting-by-meeting situation.”
• The vote was 11-1, with Governor Miran dissenting in favour of 0.5%; he will now be on Trump's Christmas card list.
• Chair Jerome Powell pointed to growing signs of weakness in the labour market to explain why officials decided it was time to cut rates after holding them steady since December amid concerns over tariff-driven inflation.
The ASX 200 slipped 0.1% on Monday as investors continued to “buy the dip”, allowing the market to recover from an initial 0.8% fall. The winners managed to outnumber the losers on the main board, but weakness in heavyweights CBA, BHP and CSL was enough to drag the index into negative territory, albeit just.
The S&P 500 has surged more than 30% from its April lows, fuelled by expectations that the Fed will cut rates several times this year, with a 25-basis-point move widely seen as a certainty on Wednesday.
The ASX 200 retreated 0.3% on Thursday, with the losses in the banking sector catching the eye after Bendigo (BEN) became the third bank this week to announce job cuts.
The ASX200 advanced +0.3% on Wednesday, but the performance was extremely polarised on the stock and sector levels. Less than 45% of the main board advanced, but when the “Big Four Banks” rally an average of more than +1.5%, the index will always be hard to suppress.
The ASX200 slipped another 0.5% on Tuesday, extending September's retreat to 1.9% as the often weak month follows the seasonality script to a tee. Banking shares led the index fall, with heavyweight CBA worst on ground, closing down 1.3%. Gold stocks continued to shine as the market goes “all in” on a Fed rate cut next week; elsewhere, other rate-sensitive names like the retailers and tech stocks continue to outperform.
US stocks have defied sceptics in 2025, surging to record highs despite a global trade war, fiscal uncertainty, and now September’s traditionally weak reputation. The S&P 500 has added $US16 trillion in market value since April, driven largely by Big Tech, notching ~30 records and rallying 38% in five months, a pace surpassed only four times in the last 75 years.
Chinese tech stocks posted a near four-year high on Thursday as AI-fuelled buying and a regulatory ban on an Nvidia Corp. chip boosted prospects for domestic rivals. The Hang Seng Tech Index rose as much as 2% on Thursday, before fading into the close, building on Wednesday’s 4.2% rally that marked its highest close since November 2021. Gains followed a Chinese regulator’s order to halt imports for Nvidia’s RTX Pro 6000D, seen as a boost for domestic chipmakers. Chinese chipmaker SMIC contributed the most to the tech index’s advance, with shares surging as much as 8.3% in Hong Kong. Hua Hong Semiconductor Ltd. jumped as much as 13%. Shares of Alibaba Group Holding Ltd. and Baidu Inc., which are developing their homegrown alternatives to foreign chips, also rose.
This morning, the Fed delivered as expected, while the rhetoric led to volatility but ultimately a mixed close for stocks:
• The Fed cut interest rates by 0.25% as expected and pencilled in 2 more cuts before Christmas.
• However, looking ahead at the outlook for additional rate moves, Powell was cautious, saying the Fed was now in a “meeting-by-meeting situation.”
• The vote was 11-1, with Governor Miran dissenting in favour of 0.5%; he will now be on Trump's Christmas card list.
• Chair Jerome Powell pointed to growing signs of weakness in the labour market to explain why officials decided it was time to cut rates after holding them steady since December amid concerns over tariff-driven inflation.
The ASX 200 slipped 0.1% on Monday as investors continued to “buy the dip”, allowing the market to recover from an initial 0.8% fall. The winners managed to outnumber the losers on the main board, but weakness in heavyweights CBA, BHP and CSL was enough to drag the index into negative territory, albeit just.
The S&P 500 has surged more than 30% from its April lows, fuelled by expectations that the Fed will cut rates several times this year, with a 25-basis-point move widely seen as a certainty on Wednesday.
The ASX 200 retreated 0.3% on Thursday, with the losses in the banking sector catching the eye after Bendigo (BEN) became the third bank this week to announce job cuts.
The ASX200 advanced +0.3% on Wednesday, but the performance was extremely polarised on the stock and sector levels. Less than 45% of the main board advanced, but when the “Big Four Banks” rally an average of more than +1.5%, the index will always be hard to suppress.
The ASX200 slipped another 0.5% on Tuesday, extending September's retreat to 1.9% as the often weak month follows the seasonality script to a tee. Banking shares led the index fall, with heavyweight CBA worst on ground, closing down 1.3%. Gold stocks continued to shine as the market goes “all in” on a Fed rate cut next week; elsewhere, other rate-sensitive names like the retailers and tech stocks continue to outperform.
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