Big four banks drag the ASX to worst day since April
The benchmark ASX 200 slumped 89 points or 1.02 per cent to 8,668.20. The massive falls came just a single trading day after the benchmark had its best gains since the mid April recovery.
Even with the large falls during Monday's trading, the ASX 200 still had its second highest ever close.
The broader All Ordinaries also fell 80.60 points or 0.89 per cent to 8,926.20.
The local dollar eked out a small gain and was buying 65.13 US cents at the time of writing.
Banks, consumer discretionary and property stocks led the declines with the market heavy financials slumping 2.51 per cent.
Westpac was the hardest hit of the big four banks down 3.61 per cent to $33.07, while CBA slumped 2.52 per cent to $177.87, ANZ sank 2.50 per cent to $30.05 and NAB slid 2.40 per cent to $38.25.
Consumer discretionary stocks also slumped during Monday's trading.
Wesfarmers fell 0.97 per cent to $83.75, JB Hi Fi dropped 1.48 per cent to $105.91 and Eagers Automotive slumped 3.58 per cent to $18.88.
IG market analyst Tony Sycamore said Monday's sharp fall is the largest since the Liberation Day sell-off in early April and is almost twice the size ASX futures predicted when they closed 49 points lower on Saturday morning.
'In the absence of any fresh news, today's pullback is possibly related to profit taking ahead of the August earnings season which will likely highlight stretched valuations with certain sectors, particularly the banks,' he said.
Meanwhile the major iron ore miners were one of the bright spots on the market, after the price of the underlying commodity continued its march higher.
Iron ore futures rose 1.2 per cent to $US99.50 a tonne.
Shares in BHP rose 0.42 per cent to $40.46, Rio Tinto gained 1.19 per cent to $114.46 while Fortescue climbed 1.47 per cent to $17.25.
In company news, AMP shares jumped 9.77 per cent to $1.68 after announcing its latest results. According to its latest statement AMP's superannuation division posted its first net inflow since 2017, along with growth in its platform and rising assets under management.
Shares in Afterpay's parent company Block soared 11.18 per cent to $122 after cracking the US S & P 500.
Block will replace Hess Corp after it was acquired by Chevron.
Australian home builder AV Jennings is up 1.50 per cent to $0.68 after it announced a fully franked special dividend of 16.7 cents per share on the condition it can be acquired by American real estate firm Proprium Capital Partners.
Shares in Cromwell Property Group jumped 8.22 per cent to $0.40, after announcing Brookfield has signed a binding sales and purchase agreement which is subject to the Foreign Investment Review Board approval.
Investsmart Group shares also soared 9.09 per cent to $0.12 per cent after the business announced a jump in total funds under management and strong performance fees revenue.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
AU Financial Review
5 minutes ago
- AU Financial Review
Alt-coin returns leave bitcoin in wake, challenging its dominance
A months-long rally in bitcoin has pushed the world's most popular cryptocurrency to values well beyond the pandemic-era boom, but going mainstream has pushed investors to find the next big thing, fuelling rapid growth among rival tokens. XRP, the third-most-popular token and one of five that will be part of a strategic crypto reserve announced by US President Donald Trump, is up 530 per cent since his election.
The Advertiser
2 hours ago
- The Advertiser
US, China to launch new talks on tariff truce extension
Top US and Chinese economic officials will resume talks in Stockholm to try to tackle longstanding economic disputes at the centre of a trade war between the world's top two economies, aiming to extend a truce by three months and keeping sharply higher tariffs at bay. China is facing an August 12 deadline to reach a durable tariff agreement with President Donald Trump's administration, after Beijing and Washington reached preliminary deals in May and June to end weeks of escalating tit-for-tat tariffs and a cut-off of rare earth minerals. Without an agreement, global supply chains could face renewed turmoil from US duties snapping back to triple-digit levels that would amount to a bilateral trade embargo. The Stockholm talks come hot on the heels of Trump's biggest trade deal yet with the European Union on Sunday for a 15 per cent tariff on most EU goods exports to the US, including autos. The bloc will also buy $US750 billion worth of American energy and make $US600 billion worth of US investments in coming years. No similar breakthrough is expected in the US-China talks but trade analysts said that another 90-day extension of a tariff and export control truce struck in mid-May was likely. An extension of that length would prevent further escalation and facilitate planning for a potential meeting between Trump and Chinese President Xi Jinping in late October or early November. A US Treasury spokesperson declined comment on a South China Morning Post report quoting unnamed sources as saying the two sides would refrain from introducing new tariffs or other steps that could escalate the trade war for another 90 days. Trump's administration is poised to impose new sectoral tariffs that will impact China within weeks, including on semiconductors, pharmaceuticals, ship-to-shore cranes and other products. "We're very close to a deal with China. We really sort of made a deal with China, but we'll see how that goes," Trump told reporters before European Commission President Ursula von der Leyen struck their tariff deal. Previous US-China trade talks in Geneva and London in May and June focused on bringing US and Chinese retaliatory tariffs down from triple-digit levels and restoring the flow of rare earth minerals halted by China and Nvidia's H20 AI chips and other goods halted by the United States. So far, the talks have not delved into broader economic issues. They include US complaints that China's state-led, export-driven model is flooding world markets with cheap goods, and Beijing's complaints that US national security export controls on tech goods seek to stunt Chinese growth. "Geneva and London were really just about trying to get the relationship back on track so that they could, at some point, actually negotiate about the issues which animate the disagreement between the countries in the first place," said Scott Kennedy, a China economics expert at the Center for Strategic and International Studies in Washington. "I'd be surprised if there is an early harvest on some of these things but an extension of the ceasefire for another 90 days seems to be the most likely outcome." US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng will lead the delegations in Stockholm. Bessent has already flagged a deadline extension and has said he wants China to rebalance its economy away from exports to more domestic consumption - a decades-long goal for US policymakers. In the background of the talks is speculation about a possible meeting between Trump and Xi in late October. Trump has said he will decide soon on a landmark trip to China, and a new flare-up of tariffs and export controls would likely derail planning. Top US and Chinese economic officials will resume talks in Stockholm to try to tackle longstanding economic disputes at the centre of a trade war between the world's top two economies, aiming to extend a truce by three months and keeping sharply higher tariffs at bay. China is facing an August 12 deadline to reach a durable tariff agreement with President Donald Trump's administration, after Beijing and Washington reached preliminary deals in May and June to end weeks of escalating tit-for-tat tariffs and a cut-off of rare earth minerals. Without an agreement, global supply chains could face renewed turmoil from US duties snapping back to triple-digit levels that would amount to a bilateral trade embargo. The Stockholm talks come hot on the heels of Trump's biggest trade deal yet with the European Union on Sunday for a 15 per cent tariff on most EU goods exports to the US, including autos. The bloc will also buy $US750 billion worth of American energy and make $US600 billion worth of US investments in coming years. No similar breakthrough is expected in the US-China talks but trade analysts said that another 90-day extension of a tariff and export control truce struck in mid-May was likely. An extension of that length would prevent further escalation and facilitate planning for a potential meeting between Trump and Chinese President Xi Jinping in late October or early November. A US Treasury spokesperson declined comment on a South China Morning Post report quoting unnamed sources as saying the two sides would refrain from introducing new tariffs or other steps that could escalate the trade war for another 90 days. Trump's administration is poised to impose new sectoral tariffs that will impact China within weeks, including on semiconductors, pharmaceuticals, ship-to-shore cranes and other products. "We're very close to a deal with China. We really sort of made a deal with China, but we'll see how that goes," Trump told reporters before European Commission President Ursula von der Leyen struck their tariff deal. Previous US-China trade talks in Geneva and London in May and June focused on bringing US and Chinese retaliatory tariffs down from triple-digit levels and restoring the flow of rare earth minerals halted by China and Nvidia's H20 AI chips and other goods halted by the United States. So far, the talks have not delved into broader economic issues. They include US complaints that China's state-led, export-driven model is flooding world markets with cheap goods, and Beijing's complaints that US national security export controls on tech goods seek to stunt Chinese growth. "Geneva and London were really just about trying to get the relationship back on track so that they could, at some point, actually negotiate about the issues which animate the disagreement between the countries in the first place," said Scott Kennedy, a China economics expert at the Center for Strategic and International Studies in Washington. "I'd be surprised if there is an early harvest on some of these things but an extension of the ceasefire for another 90 days seems to be the most likely outcome." US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng will lead the delegations in Stockholm. Bessent has already flagged a deadline extension and has said he wants China to rebalance its economy away from exports to more domestic consumption - a decades-long goal for US policymakers. In the background of the talks is speculation about a possible meeting between Trump and Xi in late October. Trump has said he will decide soon on a landmark trip to China, and a new flare-up of tariffs and export controls would likely derail planning. Top US and Chinese economic officials will resume talks in Stockholm to try to tackle longstanding economic disputes at the centre of a trade war between the world's top two economies, aiming to extend a truce by three months and keeping sharply higher tariffs at bay. China is facing an August 12 deadline to reach a durable tariff agreement with President Donald Trump's administration, after Beijing and Washington reached preliminary deals in May and June to end weeks of escalating tit-for-tat tariffs and a cut-off of rare earth minerals. Without an agreement, global supply chains could face renewed turmoil from US duties snapping back to triple-digit levels that would amount to a bilateral trade embargo. The Stockholm talks come hot on the heels of Trump's biggest trade deal yet with the European Union on Sunday for a 15 per cent tariff on most EU goods exports to the US, including autos. The bloc will also buy $US750 billion worth of American energy and make $US600 billion worth of US investments in coming years. No similar breakthrough is expected in the US-China talks but trade analysts said that another 90-day extension of a tariff and export control truce struck in mid-May was likely. An extension of that length would prevent further escalation and facilitate planning for a potential meeting between Trump and Chinese President Xi Jinping in late October or early November. A US Treasury spokesperson declined comment on a South China Morning Post report quoting unnamed sources as saying the two sides would refrain from introducing new tariffs or other steps that could escalate the trade war for another 90 days. Trump's administration is poised to impose new sectoral tariffs that will impact China within weeks, including on semiconductors, pharmaceuticals, ship-to-shore cranes and other products. "We're very close to a deal with China. We really sort of made a deal with China, but we'll see how that goes," Trump told reporters before European Commission President Ursula von der Leyen struck their tariff deal. Previous US-China trade talks in Geneva and London in May and June focused on bringing US and Chinese retaliatory tariffs down from triple-digit levels and restoring the flow of rare earth minerals halted by China and Nvidia's H20 AI chips and other goods halted by the United States. So far, the talks have not delved into broader economic issues. They include US complaints that China's state-led, export-driven model is flooding world markets with cheap goods, and Beijing's complaints that US national security export controls on tech goods seek to stunt Chinese growth. "Geneva and London were really just about trying to get the relationship back on track so that they could, at some point, actually negotiate about the issues which animate the disagreement between the countries in the first place," said Scott Kennedy, a China economics expert at the Center for Strategic and International Studies in Washington. "I'd be surprised if there is an early harvest on some of these things but an extension of the ceasefire for another 90 days seems to be the most likely outcome." US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng will lead the delegations in Stockholm. Bessent has already flagged a deadline extension and has said he wants China to rebalance its economy away from exports to more domestic consumption - a decades-long goal for US policymakers. In the background of the talks is speculation about a possible meeting between Trump and Xi in late October. Trump has said he will decide soon on a landmark trip to China, and a new flare-up of tariffs and export controls would likely derail planning. Top US and Chinese economic officials will resume talks in Stockholm to try to tackle longstanding economic disputes at the centre of a trade war between the world's top two economies, aiming to extend a truce by three months and keeping sharply higher tariffs at bay. China is facing an August 12 deadline to reach a durable tariff agreement with President Donald Trump's administration, after Beijing and Washington reached preliminary deals in May and June to end weeks of escalating tit-for-tat tariffs and a cut-off of rare earth minerals. Without an agreement, global supply chains could face renewed turmoil from US duties snapping back to triple-digit levels that would amount to a bilateral trade embargo. The Stockholm talks come hot on the heels of Trump's biggest trade deal yet with the European Union on Sunday for a 15 per cent tariff on most EU goods exports to the US, including autos. The bloc will also buy $US750 billion worth of American energy and make $US600 billion worth of US investments in coming years. No similar breakthrough is expected in the US-China talks but trade analysts said that another 90-day extension of a tariff and export control truce struck in mid-May was likely. An extension of that length would prevent further escalation and facilitate planning for a potential meeting between Trump and Chinese President Xi Jinping in late October or early November. A US Treasury spokesperson declined comment on a South China Morning Post report quoting unnamed sources as saying the two sides would refrain from introducing new tariffs or other steps that could escalate the trade war for another 90 days. Trump's administration is poised to impose new sectoral tariffs that will impact China within weeks, including on semiconductors, pharmaceuticals, ship-to-shore cranes and other products. "We're very close to a deal with China. We really sort of made a deal with China, but we'll see how that goes," Trump told reporters before European Commission President Ursula von der Leyen struck their tariff deal. Previous US-China trade talks in Geneva and London in May and June focused on bringing US and Chinese retaliatory tariffs down from triple-digit levels and restoring the flow of rare earth minerals halted by China and Nvidia's H20 AI chips and other goods halted by the United States. So far, the talks have not delved into broader economic issues. They include US complaints that China's state-led, export-driven model is flooding world markets with cheap goods, and Beijing's complaints that US national security export controls on tech goods seek to stunt Chinese growth. "Geneva and London were really just about trying to get the relationship back on track so that they could, at some point, actually negotiate about the issues which animate the disagreement between the countries in the first place," said Scott Kennedy, a China economics expert at the Center for Strategic and International Studies in Washington. "I'd be surprised if there is an early harvest on some of these things but an extension of the ceasefire for another 90 days seems to be the most likely outcome." US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng will lead the delegations in Stockholm. Bessent has already flagged a deadline extension and has said he wants China to rebalance its economy away from exports to more domestic consumption - a decades-long goal for US policymakers. In the background of the talks is speculation about a possible meeting between Trump and Xi in late October. Trump has said he will decide soon on a landmark trip to China, and a new flare-up of tariffs and export controls would likely derail planning.
Mercury
2 hours ago
- Mercury
PNN secures Pocitos water drilling approval
Special Report: Power Minerals has received the green light to carry out hydrological drilling to advance its Rincon Lithium joint venture project in Argentina's Salta province. Power Minerals gets approval for hydrological drilling at Rincon joint venture in Argentina's Salta province Drilling targets industrial water source needed for direct lithium extraction operations at Pocitos project Navigate Energy poised to release US$4 million investment commitment for JV The drilling at the Pocitos project within the JV area is aimed at securing an industrial water source, which is essential for direct lithium extraction operations. This program will explore freshwater resources within the extensive alluvial fan northeast of the Pocitos salar. Finding a source of industrial water will strengthen Power Minerals' (ASX:PNN) plan to establish the Rincon JV with Navigate Energy as a lithium carbonate production hub in South America. 'Moving ahead with drilling to identify an industrial water source helps us progress our development plans,' managing director Mena Habib said. 'Pocitos has the potential to offer this required water source and we look forward to seeing what drilling will reveal.' Pocitos project The Pocitos project sits within Salta province in South America's famed lithium triangle, a region recognised as the go to destination for lithium brines drawing majors and juniors alike. Pocitos itself benefits from direct access to the General Belgrano Railway connecting to Pacific (Chile) and Atlantic (Argentina) ports, integration with existing natural gas pipelines and connection to the Cauchari and Altiplano solar farms, and support from a reliable legal and regulatory mining framework along with a skilled workforce. Ongoing infrastructural improvements such as the paving of highway Route 27, a planned high-voltage electrical connection from Cauchari, and a 435-hectare industrial park at Pocitos, add further to the project's strength. PNN adds that integration of the Rincon JV entity is nearing completion, which will release US$4 million in investment from Navigate Energy as part of its commitment. This includes funding dedicated to both Rincon and Pocitos development activities. The broader Rincon JV area has a JORC resource of 292,564t lithium carbonate equivalent at a lithium concentration of 248mg/L. Development will be through the use of direct lithium extraction, which has been proven to deliver substantial cost, water, and energy savings compared to traditional methods. This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions. Originally published as Power Minerals gains water drilling approval to advance Pocitos lithium production hub
