Markets

The Australian sharemarket declined sharply as global markets reacted negatively to a higher-than-anticipated US Consumer Price Index, leading to fears of delayed Federal Reserve rate cuts.

Australian shares experienced a second consecutive decline, driven by CSL's disappointing outlook, while investors awaited US inflation data for insights into potential Federal Reserve interest rate adjustments.

The Westpac Melbourne Institute Consumer Sentiment Index increased by 6.2% to reach 86 in February, marking its highest level since June 2022, signaling a shift towards optimism among Australian consumers amidst moderating inflation, evolving interest rate expectations, and anticipated income tax reductions later in the year, as indicated by Matthew Hassan, a senior economist at Westpac.

On Monday, the ASX experienced a decline primarily driven by a few large-cap stocks, notably CSL and Woodside, amidst traders' contemplation of the market's future amid an impending week of crucial company earnings reports.

Despite a record rally in US markets on Friday, the sharemarket experienced a decline, with the S&P/ASX 200 slipping by 0.27 per cent at 7,623.90 at 11:30am. This decline is primarily attributed to healthcare giant CSL, dropping 5.2 per cent due to abandoning plans for a drug seeking regulatory approval following weak trial results.

Michele Bullock suggests that the Reserve Bank of Australia can lower interest rates even before inflation reaches the 2.5 percent target, emphasising the importance of confidence in reaching the target when adjusting monetary policy to avoid abrupt changes.

On Thursday, the benchmark S&P/ASX 200 rose 0.3% to 7638.4 points, with the utilities sector up 1%, led by AGL Energy's 10.3% surge after reporting a profit of $576 million for the six months to December.

The S&P/ASX 200 rose by 0.4% by almost midday, with gains from Cochlear and AGL being counteracted by a decline in REA Group.

On Wednesday, Australian shares rebounded, with the S&P/ASX 200 closing 0.5% higher at 7615 and the All Ordinaries also rising by the same percentage.

Australian shares, particularly miners, are rebounding today, with the S&P/ASX 200 is 0.63 per cent higher at 7,629.60, retracing losses from the past two days.

The Australian sharemarket declined as the Reserve Bank of Australia (RBA) left the cash rate unchanged and hinted at potential interest rate hikes due to high inflation, leading to a decrease in bond futures' expectations for rate cuts.

Australian shares declined as a response to Wall Street losses and rising bond yields following Federal Reserve Chairman Jerome Powell's statements that a rate cut is not imminent and expectations for multiple cuts through 2024 were too high.

Shares declined broadly, particularly impacting miners and energy sectors, as investors took profits following a recent record high.

The Australian dollar fell below the US65¢ mark, reaching US64.87¢, its lowest level since late November.

Australian shares opened 0.5% higher on Friday, with the financial sector, including banks, recovering by 0.7%. Investors were monitoring the potential impact of bad debt exposure to US commercial property.

The S&P/ASX 200 Index declined by 1.2%, closing at 7588.2 points, primarily driven by investors' concerns regarding bad debt exposure in the real estate sector following warnings from US and Japanese lenders.

The S&P/ASX 200 Index fell by 1.03 percent at around 11:30am from a record high as the resources, energy, and tech sectors drove the market lower.

The Australian sharemarket reached a new all-time high as inflation cooled more than anticipated in the December quarter, prompting a risk-on rally among traders.

In Q4, Australian inflation slowed to 0.6%, falling below the market consensus of 0.8%, marking the fourth consecutive quarter of declining annual inflation, with the CPI dropping from 5.4% to 4.1% over the past 12 months.

The Australian sharemarket extended its winning streak to seven sessions, with the S&P/ASX 200 index gaining 0.3% and reaching 7600.2 points at the close, nearing its previous record high from August 2021.

Retail sales in December dropped by 2.7%, falling short of the expected 1.9% decline, indicating that consumers reduced their spending ahead of Christmas.

Australian sharemarket extended its winning streak for the sixth consecutive day, with the S&P/ASX 200 rising 0.3% to 7578.4 points, primarily driven by a 1.8% surge in energy stocks due to rising oil prices amid escalating tensions in the Middle East.

The Australian sharemarket exhibited mixed performance, as gains in energy stocks driven by rising oil prices due to escalating Middle East tensions were offset by a 1.3% decline in tech stocks, reflecting disappointing earnings reports from US tech giants, including a significant drop in Tesla's shares.

Australian shares opened higher with a significant boost from iron ore miners BHP, Rio Tinto, and Fortescue, all of which saw gains exceeding 1 percent, driving up the overall market index.

Australian shares experienced a subdued session, with the S&P/ASX 200 index edging up 0.1 percent, driven by a rally in the mining and utilities sectors, while health sector stocks, notably Nanosonics, saw significant declines.

Australian shares saw an extension of gains during the opening session, buoyed by the S&P 500 achieving its third consecutive record high. This development coincided with mixed quarterly reports preceding the "Magnificent 7" group of megacap companies.