Australian shares opened lower on Thursday, with the S&P/ASX 200 dropping 0.75% in early trade. Banks, miners, and energy companies led declines, while a global focus on falling oil prices and mixed cues created pressure through the morning.
ASX 200 Performance and Key Movers
The benchmark index fell to 8,819 points on Wednesday, a 0.67% loss from the prior session. Over the past month, ASX 200 has dropped 1.57%. The index remains 8.31% above its level one year ago, with the all-time high of 9,054.5 reached in August 2025. Futures signalled a further 0.2% decline, with top sectors such as Industrials, Utilities, and Energy falling 1.0%, 1.5%, and 5.0% respectively.
Figure 1: ASX 200 as of 12:50 UTC
Sector Recap: Energy, Financials, and Miners
Energy stocks struggled after Brent crude shed 0.8% to US$67.93 a barrel overnight. Beach Energy and Santos both faced early selling. The financial sector slipped 0.7%, with NAB down 1.1% and Westpac lower by 0.7%. Heavyweight miners retreated by nearly 1% after commodity prices softened. BHP cut 1.1% after announcing plans to suspend operations and trim 750 jobs at a Queensland coking coal mine.
Dividend Moves and Corporate Announcements
Several large-cap stocks went ex-dividend, including A2 Milk, Cochlear, NRW Holdings, and South32. South32 will issue a fully franked 4 cent final dividend on 16 October. Charter Hall Retail REIT declared a 6.35 cent unfranked quarterly distribution for September.
Gold and Commodities Snapshot
Gold stocks slid as the gold futures price fell 0.8% to US$3,693.8 an ounce. The decline followed the US Federal Reserve’s announcement of an interest rate cut, with the central bank signalling two more cuts expected by year-end. Miners like Newmont and Northern Star Resources opened weaker in response.
Global Market and Currency Impact
Wall Street closes offered a weak lead, despite the Dow Jones gaining 0.57% to finish at 46,018.32, while the S&P 500 dipped 0.1% and the Nasdaq fell 0.33%. In Asia, the Nikkei rose 0.8% to a record, but the ASX 200 moved against the trend. The Australian dollar traded at 66.51 US cents early Thursday, reflecting cautious sentiment.
Market Statistics and Trading Volume
Wednesday’s trading volume for the ASX 200 was below average, reflecting investor wariness ahead of critical jobs data and the Federal Reserve’s announcement. Broader market data show the index projected to end this quarter around 8,830 points, with expectations for a rate cut in November steady at 70%.
Short Sellers and Penny Stock Action
Weekly short sale data highlighted Battery Minerals (BOE) at 20.77% and Pilbara Minerals (PLS) at 18.54% of their market cap shorted, indicating cautious bets against the sector. Penny stocks such as Dusk Group, IVE Group, MotorCycle Holdings, and Pureprofile caught attention, with Dusk trading at A$0.82 and MotorCycle Holdings at A$3.25. Stronger earnings outlooks supported these smaller names amid market volatility.
Analyst Focus and Standout Calls
Sonic Healthcare drew a buy rating from Bell Potter, with analysts stating, “Sonic Healthcare is a stock that looks attractive on a dividend screen, with rising yields and sustained earnings growth supporting the security of income for investors.” The report cited stable performance and improved prospects following volatile COVID-linked earnings.
Also Read: Syerston Scandium Project Emerges as a Global Critical Minerals Breakthrough in 2025
Economic Outlook and Central Bank Moves
Upbeat domestic data led to increased caution about a Reserve Bank of Australia rate cut in September, with odds at 20%. Markets have priced a 25 basis point cut from the US Federal Reserve, completed overnight, with further easing expected.
Company-Specific Moves
BHP flagged a workforce reduction as commodity prices declined. Charter Hall REIT confirmed its latest distribution for investors. MotorCycle Holdings, Dusk Group, and other penny stocks offered resilience and outperformed many blue chips in the week’s trading.
Outlook for the Remainder of the Day
Thursday’s session continued under pressure, with trading desks watching commodity moves and international leads closely. Investors remained cautious ahead of local jobs figures and ongoing central bank activity. Sectors exposed to global macro news—financials, extractives, and energy—remained at the forefront.
Closing Thoughts
The ASX 200 saw extended weakness, following the global trend of subdued equity performance. Sector-based divergence persisted as local fundamentals and international developments continued to influence market sentiment.
