14
Table of Contents
Thursday Market Wrap-Up: Key Insights and Updates
As of 8:30 am AEST, ASX 200 futures are down 21 points (-0.24%). Here are the crucial highlights from overnight trading:
- Major US market indexes closed lower following the Federal Reserve’s hawkish stance.
- Nasdaq futures climbed 0.9% after strong quarterly results from major firms Meta and Microsoft.
- A significant drop in copper prices was noted after new tariffs on imported copper products, impacting mining stocks, particularly Rio Tinto, which saw a decline in shares following disappointing earnings.
Overnight Market Summary
Key US Indices (as of 8:23am AEST)
| Index | Value | % Change |
|---|---|---|
| S&P 500 | 6,363 | -0.12% |
| Dow Jones | 44,461 | -0.38% |
| Nasdaq Composite | 21,130 | +0.15% |
| Russell 2000 | 2,232 | -0.47% |
International Indices
| Country | Value | % Change |
|---|---|---|
| Canada | 27,370 | -0.62% |
| China | 3,616 | +0.17% |
| Germany | 24,262 | +0.19% |
| Hong Kong | 25,177 | -1.36% |
| India | 81,482 | +0.18% |
| Japan | 40,655 | -0.05% |
| United Kingdom | 9,137 | +0.01% |
Commodities and Currency Update
Commodity Prices (USD)
| Commodity | Value | % Change |
|---|---|---|
| Gold | 3,277.9 | -1.46% |
| Copper | 4.6129 | -18.14% |
| WTI Oil | 70.3 | +1.52% |
Currency
| Currency Pair | Value | % Change |
|---|---|---|
| AUD/USD | 0.6439 | +0.08% |
Cryptocurrency Market Overview
| Cryptocurrency | Value | % Change |
|---|---|---|
| Bitcoin (USD) | 117,311 | -0.20% |
| Ethereum (AUD) | 5,846 | -0.22% |
US Sector Performance
| Sector | % Change |
|---|---|
| Utilities | +0.69% |
| Information Technology | +0.43% |
| Communication Services | +0.15% |
| Health Care | -0.17% |
| Financials | -0.19% |
| Industrials | -0.49% |
| Consumer Discretionary | -0.57% |
| Consumer Staples | -0.94% |
| Energy | -1.35% |
| Real Estate | -1.43% |
| Materials | -1.99% |
Notable Earnings Reports
- Meta: Up 11.5% following robust Q2 earnings, driven by advertising.
- Microsoft: Increased by 8.5% after exceeding earnings expectations with a 39% rise in Azure sales.
- Rio Tinto: Reported a 4.4% drop after posting its lowest first-half profit in five years.
- HSBC: Experienced a 5.5% decline as profit fell 26% due to losses in China and Hong Kong.
Key Economic Indicators
- The Federal Reserve maintained interest rates between 4.25% to 4.50%, indicating underlying concerns about economic activity.
- US Q2 GDP reported a surprising increase of 3.0%, above the anticipated 2.0%.
- Australia witnessed a drop in inflation rates, suggesting potential rate cuts from the Reserve Bank.
What to Watch Today
Live ASX Highlights
- Beach Energy: Reports production in line with expectations; forecasts 30% growth in NPAT.
- Copper Prices: Further monitoring suggested due to unprecedented volatility, spurred by new tariffs.
Broker Updates
- Notable changes in ratings for several companies, including downgrades for Champion Iron and Lottery Corp, while Droneshield was upgraded to Buy.
Upcoming Economic Events (AEST)
- 11:30 am: Australia Retail Sales
- 1:00 pm: Japan Interest Rate Decision (expected to hold at 0.50%)
- 10:00 pm: Germany Inflation Rate data.
In summary, market participants must tread carefully as uncertainties surrounding tariffs and economic indicators loom large. Investors are advised to stay informed about the ongoing volatility in both global markets and commodity prices.
