Miners drag Australian shares lower on weaker iron ore prices
Australian shares fell due to iron ore price drops, affecting hot metal output and the S&P/ASX 200 index (7799.00). Energy stocks dropped amid Gaza ceasefire and Gulf storms. Financials and Commonwealth Bank of Australia dipped. Gold stocks rose, hitting June 11 highs, following U.S. jobs data and possible rate cuts. The S&P/NZX 50 declined 0.5%.
started the week lower on Monday, as weighed on the due to falling , while investors awaited crucial print later in the week.The S&P/ASX 200 index fell 0.3% to 7799.00 by 0015 GMT. The benchmark fell 0.1% on Friday.
Miners dropped 0.8%, as iron ore prices fell on output weighing on sentiment.
Heavyweight miners BHP Group and Fortescue fell 0.8% and 1.4%, respectively.
Globally, investors await U.S. inflation data for June to gain a better understanding of the 's interest rate trajectory, after recent boosted market expectations of a rate cut.
U.S. jobs data released on Friday, showed unemployment reached a 2-1/2-year high, signalling towards a veering labour market that keeps the Fed on course to start cutting rates soon.
Back in Sydney, lost 0.6%, eyeing their worst day since June 27, after oil prices declined as likelihood of a ceasefire agreement in Gaza began to outweigh the summer's high demand for fuel and the risk of supply disruptions from storms in the Gulf of Mexico.
Top energy producer Woodside Energy fell 0.4%, while Santos declined 0.8%.
Financials fell 0.2%, tracking the broader index, with the country's biggest lender Commonwealth Bank of Australia down 0.3%.
Bucking the trend, rose as much as 1.9% to hit their highest level since June 11 and the sub-index was set to rally for a fifth consecutive day, as bullion prices rose after recent U.S. jobs report solidified expectations of a September rate cut.
In New Zealand, the benchmark S&P/NZX 50 index fell 0.5% to 11,730.42.
Source: Stocks-Markets-Economic Times
