FX.co ★ Australian Stocks Fall as Miners Drag

The S&P/ASX 200 declined by 0.2% to approximately 8,900 during early trading on Thursday, reversing gains made in the previous session. This downturn was primarily driven by a slump in major mining stocks. The mining sector experienced a 1.6% drop, influenced by falling copper and iron ore prices. BHP, a leading player in global mining, decreased by 2.1% from its record peak, while Rio Tinto observed a modest rise of 0.1%. The copper miner is advocating for its chairman and CEO to maintain their positions amid prospective merger negotiations with Glencore, although both entities remain at odds over valuation and governance issues. Gold mining and energy companies similarly saw declines of over 1%. In contrast, stocks in the banking and technology sectors mostly saw gains. Nonetheless, Wisetech Global and Life360 experienced further losses, falling by 4% and 2%, respectively, aligning with declines among their Wall Street counterparts. Despite this, overall market sentiment received a boost following the release of December trade data, which revealed that Australia’s goods surplus expanded to AUD 3.37 billion—slightly surpassing expectations. This increase was primarily attributed to a rebound in exports, driven by higher shipments of metal ores and minerals, while imports dropped to their lowest level in three months.