Australian Stocks Rise Modestly

Australian shares added 22 points or 0.3% to 8,815 in early trade on Wednesday, reversing weakness in the prior four sessions amid gains in non-energy minerals, energy minerals, and consumer services. A rebound on Wall Street overnight supported sentiment as traders shrugged off geopolitical risks, focusing instead on the tech sector. However, gains were limited by caution ahead of domestic labor market data for June and July flash PMI readings later this week. Miners jumped, as copper prices hit their highest in more than six weeks due to firm demand in top consumer China and sharp declines in inventories. BHP Group climbed 2.9% to its highest level since July 16, and Rio Tinto added 2.5%. Gold stocks also rose, with solid gains from Evolution Mining (4.6%) and Northern Star Resources (3.3%). Conversely, the four major banks fell modestly, while Technology One (-3.6%), Wisetech Global (-2.7%), and Seek (-1.5%) were among top laggards from the tech sector.

The ASX 200 ended almost flat to finish at 8,793 on Tuesday, after a third session of weakness, with gains in non-energy minerals, tech, and energy minerals offsetting losses in healthcare, retail trade, and financials. Traders anticipated Australia's labor market data after May’s solid jobs growth contrasted with a near four-year high in the jobless rate. Markets recovered from early losses amid stronger U.S. stock futures on reports of mediation in the Middle East, with President Trump said to be considering a 10-day ceasefire to reopen the Strait of Hormuz. In top trading partner China, officials pledged to meet full-year growth targets despite soft Q2 results, ahead of Politburo meetings in late July. Nextdc surged 8.0% on stronger utilisation. Energy stocks also advanced, boosted by Woodside Energy (1.1%) and Origin Energy (1.3%). On the downside, the big four banks fell between 0.6% and 1.5%, while Pro Medicus (-3.3%), Sonic Healthcare (-2.7%), and PLS Group (-1.9%) also dragged.

Australian equities fell 47 points or 0.5% to 8,744 on Tuesday morning deals, extending weakness for the fourth straight session and approaching their lowest level in nearly two weeks. Sentiment tracked weaker U.S. futures after Wall Street closed lower overnight, pressured by rising oil and Treasury yields. Geopolitical tensions added to caution as President Trump vowed Iran would “pay” for the deaths of three U.S. service members, while Yemen’s Houthis declared a maritime embargo on Saudi Arabia. Locally, traders stayed guarded ahead of June labor data and July flash PMIs later this week. Most sectors dropped, led by manufacturing, healthcare, logistics, and process industries. The big four banks lost 0.9–1.2%, while Pro Medicus (-3.6%), QBE (-2.1%), Brambles (-1.9%), and Lynas (-1.0%) weighed. Bucking the trend, Yancoal Australia jumped 3.9% while South32 was up 3.7%. Nextdc rose 2.6% after reporting an 11% rise in contracted utilisation over the final ten weeks of its fiscal year.