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Investor sentiment downturn pressures Australian sharemarket drop

Australian shares likely to drop as US inflation rises, Trump plans tariff escalation, mining stocks may offer some support.

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Australian shares likely to drop as US inflation rises, Trump plans tariff escalation, mining stocks may offer some support.

In Short

Investor sentiment linked to US consumer inflation is set to negatively impact the Australian sharemarket, with an expected 1.1% decline before Donald Trump’s upcoming tariff escalation.

While major tech stocks suffered losses in the US, some positive movement in mining stocks may occur due to rising commodity prices.

Investor sentiment linked to the US consumer is impacting shares as the Australian sharemarket is expected to drop on Monday before Donald Trump’s Liberation Day, which will escalate the tariff war.

S&P/ASX 200 futures indicate a 1.1 per cent decline at the open after US markets fell on Friday due to a higher-than-expected inflation reading.

The S&P 500 dropped 2 per cent, the Dow Jones Industrial Average fell 1.7 per cent, and the Nasdaq decreased 2.7 per cent following the personal consumption expenditures index, which showed a 0.4 per cent increase in prices for February, rising to 2.8 per cent year-on-year.

This inflation figure coincided with US consumer confidence hitting a two-year low, negatively impacting market sentiment. Major technology stocks like Apple, Amazon, Google, and Microsoft faced significant losses.

Despite the expected pressure on the local market, some positive movement may occur in mining stocks, according to CommSec chief economist Ryan Felsman, as commodity prices rose on Friday. Gold futures hit record highs, while iron ore futures also increased.

New government forecasts predict modest growth in Australian resource and energy commodity export volumes over the next five years, with earnings expected to decline from $415bn in 2024 to $387bn in 2025.

Listed energy companies may face further pressure as oil prices decline amid global growth concerns. With inflation persisting in the US, Trump is preparing for tariffs starting on April 2. Lululemon shares plummeted 14 per cent recently due to economic concerns among shoppers.

The Reserve Bank’s rate-setting meeting on Tuesday is expected to keep the cash rate at 4.1 per cent following a reduction in February.

Ahron Young is an award winning journalist who has covered major news events around the world. Ahron is the Managing Editor and Founder of TICKER NEWS.

Money

Stocks rally ahead of Thanksgiving as markets log four days of gains

Markets gain momentum ahead of Thanksgiving, with the Dow up 388 points and Oracle rising 4% amid investor optimism.

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Markets gain momentum ahead of Thanksgiving, with the Dow up 388 points and Oracle rising 4% amid investor optimism.


Markets are moving into the Thanksgiving break with strong momentum, as stocks notch four straight days of gains. The Dow Jones Industrial Average jumped 388 points, while the S&P 500 added 0.9%, pushing both indexes toward their best week since June.

Oracle led major movers, rising more than 4% after Deutsche Bank reaffirmed its bullish outlook on the tech giant. Broad investor optimism continues building across sectors as economic data softens and earnings remain resilient.

All eyes are now on the Federal Reserve and what potential shifts in interest-rate policy may mean for the markets. U.S. markets will close Thursday for the Thanksgiving holiday and reopen Friday for a shortened trading session.

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#Markets #Stocks #Thanksgiving #DowJones #SP500 #Oracle #FederalReserve #FinanceNews


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Money

Dow surges 500 points amid rate cut optimism

Dow jumps 569 points on fresh hopes for December rate cut and AI market optimism

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Dow jumps 569 points on fresh hopes for December rate cut and AI market optimism

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In Short:
– Dow Jones rose 569 points, reflecting optimism for a Federal Reserve interest rate cut.
– Alphabet’s stock increased as Meta may invest in AI chips, but Nvidia’s declined amid market concerns.
The Dow Jones Industrial Average increased by 569 points or 1.2% on Tuesday, reflecting investor optimism for an upcoming Federal Reserve interest rate cut. The S&P 500 and Nasdaq Composite also posted gains, up 0.8% and 0.4% respectively. This represented a recovery from earlier losses, where the S&P 500 briefly fell by 0.7%.Banner

Markets anticipate an 85% chance of a quarter-point rate cut in December, driven by comments from New York Fed President John Williams, who indicated the possibility of lower rates soon. Investor sentiment strengthened following reports that Kevin Hassett may be appointed as the next Fed chair, potentially resulting in a more lenient monetary policy.

Tech Sector

Alphabet saw its stock rise by over 1% after reports indicated that Meta Platforms might invest in its AI chips. This could signal increased demand for AI technology, benefiting the sector overall. However, Nvidia’s stock fell more than 3%, suggesting concerns about its dominance in the AI chip market.

Investors are also wary of the valuation of tech stocks. Despite recent gains, the S&P 500 and Nasdaq remain down over 1% and 3%, respectively, for November, while the Dow has lost more than 1% this month. The broader market’s performance indicates ongoing scrutiny regarding tech valuations amid changing economic expectations.


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Money

Gold prices surge as Central Banks buy big, but risks grow ahead

Gold prices surge as central banks increase demand; risks include a stronger dollar and rising interest rates.

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Gold prices surge as central banks increase demand; risks include a stronger dollar and rising interest rates.


Gold prices are climbing fast as central banks ramp up buying, pushing demand to its highest levels in years. The metal’s reputation as a safe haven is strengthening, especially amid rising geopolitical tensions and global financial uncertainty.

But experts warn the shine could fade. A stronger US dollar and the possibility of rising interest rates may weigh on momentum, making investors question how long the rally can last.

Dr Steven Enticott from CIA Tax breaks down the drivers behind gold’s surge—from ETF inflows to physical bar demand—and what could send the price sharply higher… or lower.

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#gold #markets #centralbanks #economy #finance #investing #interestRates #usdollar


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