Australian shares off record high as CSL plummets on job cuts, demerger plans
The S&P/ASX 200 index fell 0.6% points to 8,905 points by 0047 GMT.
It had ended Monday at a record high.
The benchmark gauge briefly pulled back from the 8,900-point level during the session as CSL's annual results triggered a 5.2% selloff in healthcare stocks.
Shares of CSL, the world's second largest producer of flu vaccines, slipped as much as 11.2% to A$241.05 after it announced plans to demerge its unit, CSL Seqirus, by the end of June 2026 and to lay off up to 15% of its workforce.
Meanwhile, investors failed to cheer the 14% rise in CSL's annual profit and the announcement of an A$750 million ($487 million) buyback starting fiscal year 2026.
Energy stocks lost 1.6%, dragged by top energy players Woodside and Santos. Woodside shed 1.3% to A$26.54 after reporting a 24% drop in first-half profit.
Meanwhile, Santos slumped 3% to A$7.72 on flagging that Abu Dhabi's National Oil Company (ADNOC)-led international consortium will not be able to finalise an $18.7 billion takeover bid before the extended August 22 deadline.
It also deferred its interim results to August 25 from August 20.
Bucking the trend, miners added 0.1%, helped by global miner BHP's 0.7% gains.
On Tuesday, BHP posted its smallest annual underlying profit in five years and announced its lowest dividend in eight years.
New Zealand's benchmark S&P/NZX 50 index rose marginally to 12,983.16 points. Meanwhile, the country's producer prices rose in the second quarter, per official data.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
3 hours ago
- Business Recorder
Copper rangebound as investors navigate mixed market signals
BEIJING: Copper prices traded in a tight range on Tuesday, with traders staying cautious as mixed market signals cast a shadow on directions. A stronger US dollar, with investors still closely monitoring prospects for the Federal Reserve's rate cuts, remained a drag for the base metals complex, as it makes commodities priced in the greenback more expensive for buyers using other currencies. But hopes of stronger seasonal demand in top consumer China lingered, supporting prices of the red metal used in power and construction sectors. The most-traded copper contract on the Shanghai Futures Exchange dipped 0.13% to 78,920 yuan ($10,982.92) per metric ton, as of 0259 GMT. Benchmark three-month copper on the London Metal Exchange, however, added 0.2% to $9,752.5 a ton. Copper markets will be closely watching Thursday's EU and US manufacturing Purchasing Managers Index (PMI) data releases, as softer prints would reinforce current demand concerns while any upside surprises could provide short-lived support, analysts at consultancy Benchmark Mineral Intelligence (BMI) said in a note. China's imports of refined copper remained weak due to unfavourable arbitrage between SHFE and LME warehouses, BMI analysts said, expecting the import premium to continue at a low level as domestic copper production keeps increasing. Additionally, output in Peru, the world's third-largest copper producer, rose 7.1% year-on-year in June, thanks to the robust increase at the MMG-controlled Las Bambas mines. However, China's latest pledge to continue to boost consumption reignited demand hopes. SHFE aluminium dipped 0.12%, nickel dropped 0.51%, tin fell 0.33% and zinc shed 0.65%, while lead advanced 0.21%. LME aluminium fell 0.29%, nickel lost 0.57%, zinc ticked down 0.11%, while lead gained 0.36% and tin was little changed.
Business Recorder
3 hours ago
- Business Recorder
European shares rise as investors weigh potential Russia-Ukraine peace deal
European shares edged higher on Tuesday as investors weighed the possibility of a peace deal between Russia and Ukraine following encouraging diplomatic signals after a White House meeting with European leaders. The pan-European STOXX 600 index was up 0.1%, as of 0708 GMT, with most major regional bourses in the green. US President Donald Trump told his Ukrainian counterpart Volodymyr Zelenskiy that Washington would help guarantee Ukraine's security in any peace deal to end Russia's war there, though the extent of any assistance was not immediately clear. The pledge followed a White House meeting with European leaders, with formal guarantees expected to be finalised within the next 10 days. German Chancellor Friedrich Merz said that Zelenskiy and Russian President Vladimir Putin would meet within the next two weeks, followed by Trump extending a three-way meeting afterward to begin negotiations. Defence stocks dropped 0.7%, pressured by news of a potential Ukraine-Russia summit, as hopes for de-escalation reduced demand for military-related assets. Shares of Renk Group, Rheinmetall and Hensoldt slipped between 1.9% and 3.2%. Merck fell marginally after Barclays downgraded the company's rating to 'equal weight' from 'overweight'.
Business Recorder
3 hours ago
- Business Recorder
South African rand weaker as markets eye Fed symposium, local inflation print
JOHANNESBURG: South Africa's rand was weaker in early trade on Tuesday, as investors looked to the Fed's Jackson Hole symposium for hints on the US interest rate trajectory, while also eyeing inflation figures from Africa's most industrialised economy. At 0634 GMT the rand traded at 17.6550 against the dollar , down about 0.2% on Monday's close. Global investor focus is mainly on the Federal Reserve's annual symposium where Fed Chair Jerome Powell is due to speak on the economic outlook and the central bank's policy framework. ETM Analytics said the risk-sensitive rand will likely take cues from this meeting as it currently remains range-bound against the dollar. 'The USD-ZAR started the week on the defensive, which looks set to continue,' the note said. 'Expectations are for central banks to adopt a more dovish stance, but with some conservatism as the full effects of the tariffs remain unknown. Early signs that the global economy may be slowing require confirmation, which will take several more months.' Statistics South Africa will release July inflation data on Wednesday, with most analysts expecting a rise from 3.0% in June. South Africa's benchmark 2035 government bond was weaker in early deals, as the yield rose 1.5 basis points to 9.66%.
