AU Morning Wrap | ASX 200 suffers sharply from tariff policies
G'day, mooers! Check out the latest news on today's stock market!
• All major U.S. stock indexes close higher Wednesday, Trump unveils tariffs after hours
• Australian stocks take a big hit on tariff policy
• Stocks to watch: ANZ, TWE and etc.
Wall Street Summary
The Nasdaq Composite, S&P 500 and Dow Jones closed higher Wednesday as Wall Street waits for after-hours tariff policy. The $Nasdaq Composite Index (.IXIC.US)$ rose 0.9% to 17,511.51, the $S&P 500 Index (.SPX.US)$ added 0.7% to 5,670.97, and the $Dow Jones Industrial Average (.DJI.US)$ gained 0.6% to 42,225.32.
After hours, President Donald Trump announced baseline tariffs of 10% on all countries, and he also plans to impose tariffs of 34% on China, 20% on the European Union and 24% on Japan. US stock futures and the dollar fell.
AU Market Watch
The $S&P/ASX 200 (.XJO.AU)$ dropped 1.8% to 7,794.8 at the open. Trump imposed a 10% tariff on Australia, specifically mentioning Australian beef in his press conference, criticizing Australia's years-long ban on U.S. beef.
Mining stocks sold off heavily at the opening bell as traders worried about the impact of the tariffs on China's economic growth. China is Australia's biggest export market for iron ore. $BHP Group Ltd (BHP.AU)$ fell 2.5% and $Fortescue Ltd (FMG.AU)$ dropped 2.6%.
The technology and financial sectors both experienced significant declines. The technology sector dropped by 2.2%, driven by $WiseTech Global Ltd (WTC.AU)$'s 2.5% fall. The financial sector dipped 2.5%, $CommBank (CBA.AU)$ fell by 1.9% and $Macquarie Group Ltd (MQG.AU)$ by 4.2%.
Commodities
As of the latest data, gold prices rose 1.22% to $3,153.56 per ounce, Brent oil prices fell 2.67% to $72.95 per barrel, and iron ore prices fell 0.29% to $102.21 per tonne.
Crypto
As of the latest data, $Bitcoin (BTC.CC)$ is priced at $82,663.18, dropped 2.8% in the past 24 hours, while $Ethereum (ETH.CC)$ is priced at $1,794.48, dipped 5.83% over the previous 24 hours.
Stocks to Watch
$ANZ Group Holdings Ltd (ANZ.AU)$ dropped 3.5% after APRA ordered the bank to set aside an additional A$250 million for risk management purposes.
$Treasury Wine Estates Ltd (TWE.AU)$ dropped by 3% despite assurances that the new US tariffs would minimally affect its bottom line, as only 15% of its US-sourced wines are imported from outside the US.
$BHP Group Ltd (BHP.AU)$ is exploring the potential sale of its Australian iron ore and coal units to focus more on copper and potash.
$GenusPlus Group Ltd (GNP.AU)$ is acquiring MGC Group Holdings, a provider of safety-critical rail systems, through a binding share purchase agreement.
Economic calendar (AEDT):
11:30 AM Australian Balance of Trade
Source: Dow Jones Newswires, AFR, Market Index
Disclaimer: Moomoo Technologies Inc. is providing this content for information and educational use only.
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