The ASX 200 we dropped 134 points to 8744 (-1.5%) today as the banking sector came under extreme pressure. We saw CBA down 1.9%, WBC down 4.8% ex-dividend today and the Big Bank Basket falling to $288.50(0.1%). Other financials also under pressure today, with the insurers falling as QBE updated the market on their gross written premium expectations and MQG suffering after reporting their second-biggest profit ever, falling 1.1%. Other financials also in trouble today included GQG falling 4.1% and the ASX down 3.2% too, with ZIP giving up some of its gains this week. REITs also under pressure with GMG down 1.9% and SCG down 2.4%. Industrials generally were weaker today, with WES continuing to fall as well, down 2.0% with ALL slipping lower too. Healthcare once again eased back, with CSL falling again and RMD slipping 0.9%. Both COL and WOW slipped today, as well as utilities, where we had ORG down 2.3% and APA down 2.0%.

Resources generally were somewhat better than their banking cousins, with BHP down only 1.0%, RIO off 0.8%, and the gold miners easing back, but generally a little mixed, and we had NST down 2.5%. Lithium stocks slipped, and we saw energy stocks as well under some pressure, with WDS down 1.4% and the coal stocks easing back together with uranium stocks.

In corporate news today, REA rose 1.4%  despite lowering its full-year cost growth guidance. QBE reaffirmed its guidance, and TAH continued to fall on analyst downgrades following the investigation launched by AUSTRAC. We also had NWS results today with a stronger-than-expected third quarter.

Nothing on the economic front as we await US NFP numbers for April. Locally, Westpac pushed out its next RBA rate rise to August. UK Council elections see Reform doing well.

Asian markets saw losses today; Japan slipped 0.4% on the Nikkei, HK down 1.1% and China down 0.5%.

US futures slightly higher. Dow up 85, Nasdaq up 137. 10-year yields drifted to 4.93%. European markets set to fall around 0.7%

HIGHLIGHTS

• Winners: LNW, BRE, IPX, MI6, SKS, SMI, XYZ
• Losers: TAH, SLX, IMR, EOS, 4DX, EUR, ZIP
• Positive Sectors: ‘Old skool’ platforms.
• Negative Sectors: Banks. REITs. Insurers. Healthcare.
• ASX 200 Hi 8805 Lo 8718 Up 15pts for the week.
• Big Bank Basket: Crashes to $288.50 (-2.3%) WBC XD.
• All-Tech Index: Flat.
• Gold: Steady at $6545.
• Bitcoin: Drops to US$79633
• 10-year yields: Steady at 4.93%.
• AUD: Lower at 72.23c.

MARKET MOVERS

• LNW +11.7% good bounce on results rethink.
• IPX +7.2% continues higher.
• MI6 +6.7% good jump.
• SKS +6.5% debt facility and contract wins.
• XYZ +4.8% results cheer.
• SIQ +4.7% EV boom continues.
• GTK +9.2% becoming a substantial shareholder.
• RML +10.2% US defense forum presentation.
• TAH -14.2% broker downgrades.
• SLX -6.7% uranium fall out.
• 4DX -5.6% profit taking continues.
• EUR -5.2% profit taking.
• WTC -4.6% drops yet again.
• TAM -14.1% investor presentation.
• Yesterday’s Hero: KAO -2.8%
• Speculative Stock of the Day:  Nothing today.

ECONOMIC AND OTHER NEWS

• Trump extends EU trade deal deadline while issuing fresh threat.
• UK Labour suffers heavy early local election losses as Reform surges.
• Anthropic weighs deal for near $1tn valuation as revenue surges.
• Big Tech’s $725bn AI spending spree sends free cash flow to a decade low.
• IMF warns new AI models risk ‘systemic’ shock to finance.
• US World Cup chief defends high ticket prices.
• Boeing CEO Kelly Ortberg is set to join President Donald Trump on his trip to China. Citigroup CEO Jane Fraser has also been invited on the trip and plans to go, a person familiar with the matter said.
• TSMC reported a 17.5% increase in its sales, highlighting sustained spending by hyperscalers bankrolling the AI boom. Sales in April rose to NT$410.7bn ($13.1bn). Analysts on average are expecting TSMC’s June-quarter revenue to grow 35%.

And finally…

Most people think that t-rexes can’t clap because they have short arms, but really it’s because they are dead.

Clarence

XXXX