The local share market started the week lower, ahead of the US Federal Reserve’s two-day policy meeting, which begins on Tuesday. The betting is that the Fed will not move on rates this week, but there is less consensus about what the Fed will do in November. The Open Market Committee hands down its rates call on Wednesday.
The benchmark S&P/ASX 200 (INDEXASX: XJO) closed 48.6 points, or 0.7%, lower at 7230.40, while the broader All Ordinaries (INDEXASX: XAO) fell 54.5 points, also 0.7%, to 7428.1. All sectors closed weaker.
The major banks were mixed, with Westpac Banking Corp (ASX: WBC) gaining 2 cents to $21.79 and ANZ Group Holdings Ltd (ASX: ANZ) putting on 5 cents to $25.75; while National Australia Bank Ltd. (ASX: NAB) slipped 10 cents, or 0.3%, to $29.58, and Commonwealth Bank of Australia (ASX: CBA) lost 53 cents, or 0.5%, to $102.63.
Commonwealth Bank of Australia (ASX: CBA)
There was some joy for the big miners, with the Iron ore price reaching US$121 a tonne, up 20% in a month. Rio Tinto Ltd (ASX: RIO) advanced 40 cents, or 0.3%, to $119.31; and BHP Group Ltd (ASX: BHP) gained 8 cents, or 0.2%, to $45.76; but Fortescue Metals Group Ltd (ASX: FMG) eased 2 cents, to $21.20.
Tech leads market lower
On the industrial side, Tech was the biggest underperformer, with the sector index down 2.6%, following a decline on the Nasdaq on Friday.
Logistics software group WiseTech Global Ltd (ASX: WTC) dropped $1.71, or 2.5%, to $67.46; battery technology company Novonix Ltd (ASX: NVX) plunged 9 cents, or 9.5%, to 86 cents; buy-now, pay-later provider Zip Co Ltd (ASX: ZIP) fell 2 cents, or 6.2%, to 30 cents, and semi-conductor company Weebit Nano Ltd (ASX: WBT) tumbled 40 cents, or 9.5%, to $3.83.
Whitehaven Coal Ltd (ASX: WHC) slid 6 cents, or 0.9% to $6.10, after confirming that it is in the running to acquire BHP’s major Daunia and Blackwater coal mines in Queensland. New Hope Corporation Ltd (ASX: NHC) retreated 5 cents, or 0.8%, to $6.17; Yancoal Australia Ltd (ASX: YAL) lost 5 cents, or 1%, to $$5.01; but Stanmore Resources Ltd (ASX: SMR) rose 5 cents, or 1.5%, to $3.32; and Coronado Global Resources Inc (ASX: CRN) lifted 1.5 cents, or 0.8%, to $1.80.
In energy, Woodside Energy Group Ltd (ASX: WDS) sank 55 cents, or 1.4%, to $37.84; Santos Ltd (ASX: STO) lost 13 cents, or 1.6%, to $7.78; Beach Energy Ltd (ASX: BPT) retreated 2.5 cents, or 1.5%, to $1.66; and Brazilian-based producer Karoon Energy Ltd (ASX: KAR) gave back 3 cents, or 1.2%, to $2.53.
Uranium producer Paladin Energy Ltd (ASX: PDN) moved 4 cents, or 4.2%, higher to $1.00. Gold miner Silver Lake Resources Ltd (ASX: SLR) lost 8 cents, or 8.3%, to 88 cents after it confirmed it was the buyer behind an 11% stake in West Australian gold producer Red 5 Limited (ASX: RED). Red 5 rocketed 4.5 cents, or 20.5%, to 26 cents.
Red 5 Limited (ASX: RED)
Positive moves on the US indices, but barely
In the US, the major indices barely moved in the Monday session, becalmed ahead of the Federal Reserve meeting, but showing green. The 30-stock Dow Jones Industrial Average (INDEXDJX: .DJI) advanced 6.06 points, to 34,624.30; the broader S&P 500 (INDEXSP: .INX) eked out a 3.2-point gain, to 4,453.53; and the tech-heavy Nasdaq Composite (INDEXNASDAQ: .IXIC) Index added 1.9 points, to 13,710.24.
In the bond market the US 10-year yield eased 2.3 basis points, to 4.309%, while the 2-year yield was flat, at 5.041%.
Gold rose US$10.31, or 0.5%, to US$1,933.49 an ounce, the global benchmark Brent crude oil grade gained 50 cents, or 0.5%, to US$94.43 a barrel, and US West Texas Intermediate crude advanced 74 cents, or 0.8%, to US$92.22 a barrel.
The Australian dollar is buying 64.37 US cents this morning, down from 64.41 at the ASX close on Monday.