The ASX 200 took a dive today, down another 125pts at 8593 (1.4%), as the peace deal in the Gulf is starting to slide away. Banks and gold bore the brunt of the selling, with CBA off 2.1% and WBC down 1.3%, with the Big Bank Basket at $269.32 (-1.9%). Insurers also fell hard, QBE down 2.8% and IAG off 1.6%, with financials generally easier, while ASX continues lower.
REITs also fell as bond yields rose, GMG off 1.2% and SCG down 0.8%. Old-school platforms remained under pressure, SEK down 3.9% and REA off 1.1%. Tech fell hard too, XRO off 2.6% and WTC falling 1.6%. The All-Tech Index dropped 1.1%. Healthcare was also under pressure, CSL fell 1.7% and RMD down 1.4%. Supermarkets held up. Industrials slid, BXB down 2.5% and QAN falling 1.5% as oil prices rose.
Resources were sold down as bullion fell heavily and gold stocks turned nasty, NEM down 7.5% and EVN off 7.7%. Lithium stocks held up, PLS up 0.3%, while rare earths fell, LYC off 2.5%. Uranium stocks drifted lower, PDN down 1.7%. The big iron ore miners were also under pressure, BHP down 1.2% and RIO falling 2.5%.
In corporate news, SDR rallied 8.6% after a new partnership deal. CSL dropped again despite the new CEO topping up his holding. VUL rose 2.3% as its financing package closed. And EOS had a good day, up 4.2% on some new director signings.
On the economic front, April household spending collapsed much more sharply than expected, down 1.1% over the month.
Asian markets eased. Japan off 0.5%, HK down 1.4% and China off 0.1%.
US futures down slightly, Dow down 12 and Nasdaq off 141. European markets set to open around 0.7% lower. Oil up 3% on renewed hostilities.
HIGHLIGHTS
Winners: SDR, PPC, SHV, CNI, IPG, DDR, WEB
Losers: KCN, GMD, APE, PRU, AIS, AGI
Positive Sectors: Supermarkets.
Negative Sectors: Banks. Gold. REITs. Financials. Healthcare.
ASX 200 Hi 8664 Lo 8562
Big Bank Basket: Lower at $269.32 (-1.9%)
All-Tech Index: Down 1.1%
Gold: Slips to $6171
Brent Crude up 3.0%
Bitcoin: Slips to US$72905
10-year yields: Rise to 4.90%
AUD: Easier at 71.23c.
MARKET MOVERS
SDR +8.6% partnership.
IPG +5.9% earnings guidance.
SHV +7.7% going nuts on presentation.
EOS +4.2% new NEDs
PNV +4.2% buyers back.
PPC +8.5% upgrade to earnings.
DDR +5.7% broker upgrades.
IVZ +11.9% petroleum production sharing agreement signed.
KCN -10.5% gold price hurts.
GMD -10.2% smacked hard.
APE -9.7% Macquarie downgrades.
DTR -5.4% sell off continues.
Yesterday’s Hero: HTG -5.3%
Speculative Stock of the Day: ACR +30.0% Honourable mention to ADO +25.7% firing again.
ECONOMIC AND OTHER NEWS
Private new capital expenditure (capex) rose 6.5% in the March quarter 2026 to be 14.6% higher than a year ago, driven by higher spending on data centres.
April household spending collapsed much more sharply than expected at minus 1.1% over the month, marking the worst figure since October 2023, well below market expectations for a 0.5% decline and reversing March’s strong 1.6% rebound.

 
Annual spending growth also slowed materially to 4.9% year-on-year from 6.3%, reinforcing concerns that consumer momentum may be deteriorating faster than markets and policymakers anticipated.

APRA said it will keep the mortgage serviceability buffer, which banks apply when assessing borrowers’ capacity to repay a home loan, at 3 percentage points and it will also maintain its other two macroprudential policy settings at current levels citing economic uncertainty.
Kuwait air defenses activated against ‘missile and drone threats’.
Iran’s Islamic Revolutionary Guard Corps said it struck a U.S. air base after a U.S. attack was conducted outside Bandar Abbas airport.
Chip stocks race towards biggest gains since dotcom era on AI demand.
Australia sues Post-it maker 3M over ‘forever chemicals’.
Nvidia chief Jensen Huang to join board at prestigious Beijing university.

And finally…

My grandfather has the heart of a lion and a lifetime ban at the zoo.

Clarence

XXX