FX.co ★ ASX 200 Turns Early Strength to Finish Lower

The S&P/ASX 200 slipped 24 points, or 0.3%, to close at 8,955 on Thursday, erasing its early gains and snapping a two-day advance as weakness in process industries, non-energy minerals, logistics, and financials weighed on the market.

Sentiment deteriorated after April data showed Australian inflation expectations rose to their highest level since November 2022, fuelling concerns over renewed cost pressures. A further drag came from labor-market figures indicating that employment growth slowed to a four-month low in March, led by a decline in part-time positions.

Traders also turned cautious despite China’s better-than-expected Q1 2026 GDP reading, amid lingering worries that the conflict in the Middle East could curb future growth. In the U.S., President Trump said the war with Iran was “close to over,” but Washington’s ongoing port blockade continues to pose risks of supply disruption.

Australia’s “big four” banks fell between 1.3% and 2.8%, while notable underperformers included Reece Ltd. (-5.3%), Viva Energy (-4.5%), Evolution Mining (-4.2%), and Greatland Resources (-4.0%).