The Australian sharemarket continues to hover around a six-month low as strong gains by the resources sector are offset by the major banks as sentiment remains weakened amid concerns about valuations and that interest rates in the US will not fall anytime soon.
The S&P/ASX 200 index was up by just 5.4 points, or 0.1 per cent, to 8474.50 at 12.10pm AEDT, with six of the 11 sectors higher. Materials were by far the strongest sector as gold prices lifted amid returning haven demand. Northern Star added 3.3 per cent, Evolution Mining 3.4 per cent and Newmont 1.4 per cent. BHP underpinned the sector’s bounce as it climbed 1 per cent.
Crude oil prices rose as markets braced for deeper disruptions to Russian supply, with the European Union and US moving to further restrict Moscow’s ability to fund its war in Ukraine. This helped Woodside to rise by 0.9 per cent and Beach Energy 0.6 per cent.
Technology reversed heavy selling in morning trade as it looks to claw back a 14 per cent plunge in the past five sessions as investors nervously await those Nvidia results due tomorrow morning Australian time. WiseTech Global rallied 1.5 per cent, Xero 1.9 per cent and US-based Life360 trimmed its fall to 1.1 per cent.
The major banks weighed again as Commonwealth Bank and ANZ both fell 1.1 per cent, Westpac dipped 0.2 per cent, and National Australia Bank by 0.3 per cent.
Stocks in focus
In company news, market darling DroneShield tumbled 12 per cent as US chief executive Matt McCrann resigned, effective immediately, after serving in the position since 2022. The company is down 45 per cent in the past month.
Webjet surged 17.9 per cent as Helloworld lobbed a 90¢ a share bid after quietly amassing a sizable stake in the online travel agency over the past half year. It came as Webjet reported a dip in first-half earnings. Helloworld is up 3.1 per cent.
Nufarm soared 9.1 per cent as group executive portfolio solutions Rico Christensen was announced as Greg Hunt’s replacement as chief executive from January 1. The agriculture supplies business also reported a statutory net loss of $165.3 million for FY25, driven by $142.4 million in mostly non-cash charges linked to a review of its Seed Technologies unit.
TPG Telecom fell 4 per cent as it raised $300 million through the issue of new shares to institutional investors, but cut the size of the round after the death of a Sydney person unable to reach Triple Zero due to an outdated Samsung phone.
News Corp executive Andrew Cramer has been appointed to the position of REA Group chief financial officer to start February 12 amid the pending retirement of Janelle Hopkins. REA Group rose 1.2 per cent.
KMD Brands – the owner of Kathmandu, Rip Curl and Oboz – soared 6.4 per cent as first quarter group sales grew 7.9 per cent year-on-year for the period from August to October.
