FX.co ★ Australian Shares Off to a Muted Start

On Thursday, the S&P/ASX 200 remained stable at approximately 8,730, interrupting its two-day positive trajectory. This was largely due to declines in gold mining shares, which counterbalanced the gains in the healthcare sector. Gold stocks experienced a notable decline of up to 2.6%, marking their most substantial decrease since July 16, as gold prices continued to fall amid reports of international trade agreements. Both the U.S. and the EU are reportedly nearing the implementation of a 15% tariff on most imports, a move intended to prevent a wider trade conflict, following the recent US–Japan tariff deal that contributed to alleviating global trade tensions. In contrast, healthcare stocks saw upward movement, with companies like CSL rising by 0.7% and Telix by 1.8%. Fortescue Metals Group, a leading mining company, also experienced a significant surge, climbing 4.9% to its highest point since February, after announcing record fourth-quarter iron ore shipments. On the economic data front, Australian business activity in July reached its fastest growth rate since April 2022, driven by increases in manufacturing output for the first time in three months and a significant acceleration in services, supported by strong new orders and sustained hiring, although export demand remained sluggish and overall business confidence dipped.