What's Affecting Markets Today
Asian markets mostly stronger
Asian-Pacific stock markets mostly saw gains on Tuesday, following positive momentum from Wall Street, as investors awaited the release of China’s April manufacturing PMI. Japan’s Nikkei 225 rose by 1.05%, with the broader Topix index also up nearly 2% after a public holiday. This came despite Japan’s retail sales in March growing slower than expected and a slight uptick in unemployment.
The Japanese yen experienced volatility, dropping to a record low of 160.03 against the dollar before recovering to around 155. This followed reports from The Wall Street Journal that Japan had intervened in the currency market, selling U.S. dollars and buying yen to stabilize the currency.
In China, the official manufacturing PMI for April indicated a slight deceleration in growth, recording a 50.4, which still surpassed Reuters’ predictions. Meanwhile, Hong Kong’s Hang Seng index remained nearly unchanged, and China’s CSI 300 index dropped slightly by 0.27%. South Korea’s Kospi increased by 0.54%, although the country reported a significant decline in factory output in March, the largest decrease in over a year.
ASX Stocks
ASX 200 - 7,664.1 (+0.3%)
Key Highlights:
Australian shares experienced modest gains on Tuesday afternoon, with the S&P/ASX 200 increasing by 0.3% to 7,664.1, driven by strong performance in the lithium mining sector. This rise follows a 0.8% gain on Monday, led by sectors such as iron ore and lithium exploration. However, industrials saw a decline, dropping 0.7%.
Worley Limited faced a significant drop of 8% following a major share sale by its largest shareholder, Sidara. Similarly, Ampol’s shares fell by 3.3% after a notable decrease in refiner margins. Conversely, the big four banks saw marginal increases, with mining majors like BHP and Fortescue Metals showing positive movements, gaining 0.5% and 1.7% respectively.
Market attention is fixed on the upcoming U.S. Federal Reserve meeting, with expectations of subtle interest rate cuts this year. Meanwhile, disappointing retail sales in March pushed the Australian dollar down by 0.6%, although it remains on track for a second consecutive monthly gain.
Leaders
LTM Arcadium Lithium Plc 9.52%
CU6 Clarity Pharmaceuticals Ltd 8.59%
AZS AZURE Minerals Ltd 8.36%
IGO IGO Ltd 5.50%
NGI Navigator Global Investments Ltd 3.67%
Laggards
WOR Worley Ltd -7.91%
MSB Mesoblast Ltd -7.37%
WA1 WA1 Resources Ltd -4.56%
MAD Mader Group Ltd -4.14%
ERA Energy Resources of Australia Ltd -3.64%