Closing Bell 13th February: XJO hovers around 7600. MQG, CSL lower on earnings

Australian shares showed minimal movement on Tuesday afternoon, with the performance of utilities and banks balancing out declines in the healthcare sector, as investors awaited important US inflation data for potential interest rate directions. Amid the earnings season, several companies including Breville, Seek, Seven West Media, and James Hardie experienced sharp declines after reporting unsatisfactory results. By 2 pm, the S&P/ASX 200 was stable, with gains in five out of eleven sectors, particularly utilities and banks, while healthcare suffered due to CSL’s outlook concerns overshadowing its profit increase. The most significant weekly loss since mid-2023 loomed as shares dropped over 7% since CSL halted efforts for a major regulatory approval. Other notable movements included Seek’s 9% drop due to declining profits and customer volumes, Breville’s over 10% fall from expected sales, Seven West Media’s 15% plunge in advertising revenue, and James Hardie’s 5.5% decrease after a profit margin report. Macquarie Group also fell by 1.4% following a profit warning, while Strike Energy faced a 22% drop due to operational issues. The Australian dollar remained steady amidst reduced trading activity, with bond yields rising as rate cut expectations diminished following remarks by central bank officials on the need for more evidence of inflation slowing.