Australian Stocks Inch Up, Still Facing Fifth Weekly Decline

Australian shares added 18 points or 0.2% to 8,631 in Friday morning trade, rebounding from a 2% slump in the prior session as bargain hunters returned after markets hit their lowest since mid-June amid domestic and global headwinds. Meanwhile, U.S. stock futures edged higher after Wall Street closed little changed overnight, with traders awaiting monthly jobs data and as the global bond sell-off eased. Gains were led by tech, consumer non-durables, and energy minerals, though weakness in healthcare and utilities capped momentum. The four major banks advanced modestly, while PLS Group (3.2%), QBE Insurance (2.9%), and Suncorp (1.3%) posted notable rises. Still, the market is on track for a fifth straight weekly decline, down about 0.3% so far, reflecting persistent inflation concerns, rising crude tied to Middle East tensions, and hawkish policy expectations. Traders now look to next week’s September final PMI and October consumer confidence for fresh economic signals.

The ASX 200 plunged 175 points, or 2.0%, on Thursday, its steepest one-day fall since early March, finishing at 8,614, the lowest since mid-June. Australian markets snapped a three-session winning streak as sentiment soured on surging U.S. Treasury yields, sticky inflation, and renewed fears of further tightening by the Reserve Bank. Analysts also cautioned that continued hikes could trigger the country’s worst property slump in three decades. Trade data also weighed, with August’s surplus shrinking to a three-month low as imports outpaced exports. Still, stronger U.S. stock futures capped further weakness, as traders await Friday's U.S. monthly job reports. Heavy selling gripped markets, driven by energy minerals, logistics, transport, and financials. The big four banks fell between 0.9% and 3.3%, while Northern Star Resources (-4.1%), CSL (-3.3%), and Woodside Energy (-3.1%) also posted sharp falls. Suncorp Group tumbled 7.4% after denying takeover talks with Japan’s Tokio Marine.

ASX200 decreased to 8639.00 Index Points, the lowest since June 2026. Over the past 4 weeks, Australia Stock Market Index (AU200) lost 3.74%, and in the last 12 months, it decreased 3.39%.