Investors were cautious ahead of comments expected from central bankers at the upcoming Jackson Hole symposium. Wall Street fell, weighed down by certain megacaps, while European equities rose. Australia’s performance was driven mostly by CSL—the third-largest company in the region.
Jackson Hole Symposium drags sentiment
Wall Street fell to a two-week low ahead of the Federal Reserve’s Jackson Hole symposium later in the week. The DOW fell -0.1%, while the S&P 500 and NASDAQ moved lower -0.7% and -1.4% respectively. Benchmarks were weighed down by Nvidia and Microsoft, falling -3.4% and -1.2% respectively. Home Depot added +3.4% despite posting quarterly results below analyst estimates. Intel increased +8.5% after the chipmaker received a US$2 billion capital injection from SoftBank Group. Palo Alto Networks rose +3.5% after the cybersecurity firm forecast FY26 revenue and profit above estimates. Medtronic fell -3.5% following news it would add two new directors to the board as Elliott Investment Management purchased a large stake in the company. The US two-year yield fell -3bp to 3.75%, while the 10-year yield dropped -4bp to 4.30%.
European investors take advantage of peace deal on the horizon
Optimism over a Russia–Ukraine peace deal lifted the Stoxx 600 after President Trump described the meeting with Russian counterpart Putin as ‘very good’. The benchmark rose +0.7%, while the UK’s FTSE 100 added +0.3%.
CSL drags down the ASX, investors unhappy with restructure
The ASX 200 fell -0.7%, driven mostly by CSL’s -16.9% drop. The biotech firm unveiled a major restructuring of the business, which included a spin-off from its vaccine operations. The company said the plan would slash staff numbers by -15% and aims to generate cost savings of US$500m–US$550m over three years. BHP jumped +1.6% after the market’s second-largest company produced higher-than-expected FY25 final dividends; it also posted earnings in line with consensus estimates. Woodside Energy fell -2.8% after the oil and gas producer posted earnings that fell short of market expectations, while its interim dividend was higher than expected. Santos lost -2.6% after it said it does not expect a binding offer from XRG by Friday, when the due diligence access ends. HUB24 cut -0.1% after regaining most of its losses. The investment platform operator reported 2H earnings that were behind market forecasts. ARB spiked +8.9% following a higher final dividend and declared special dividend. Reliance Worldwide fell -6.7% after its 1H26 guidance exposed short-term challenges for the plumbing supplies group. A2 Milk surged +5.2% after six investment banks raised their recommendations and target prices on the stock. The NZX 50 dropped -0.3%. In Asia, Japan’s Nikkei 225 fell -0.4%, Hong Kong’s Hang Seng lost -0.2%, and Korea’s Kospi cut -0.8%. China’s Shanghai Composite and CSI 300 decreased -0.0% and -0.4% respectively.
WTI Crude and Gold down, Iron Ore flat
WTI crude fell -1.6% to US$62.40/bbl, gold lost -0.4% to US$3,318.56/oz, and iron ore remained flat at US$101.62/MT.
NZ Headlines
The spectre of government intervention loomed large over electricity generator and retailer Mercury’s annual result, released as the Electricity Authority announced measures aimed at boosting market competition.
Rakon director Brent Robinson has lined up two unnamed independent directors who will join the board ‘within hours’ if he is made chair at its annual meeting on Friday.
Casino operator SkyCity has placed its shares in a trading halt, saying it expects to announce a capital raise in the next few days.
Today's Events
- RBNZ Official Cash Rate Decision
- Fletcher Building (FBU): FY25 Result
- Spark (SPK): FY25 Result