The ASX 200 slipped 0.1% to finish at 9,264 on Friday, ending a five-session winning streak as investors took profits after the index set fresh record highs twice earlier in the week. Sentiment was also pressured by weaker U.S. stock futures and rising geopolitical risks, following reports that Iran may seek to restrict “hostile” vessels transiting the Strait of Hormuz.
Sector performance was mixed: commercial services, healthcare, technology, and financials declined, while non-energy minerals and manufacturing advanced. The big four banks lost between 1.0% and 1.6%, with other notable underperformers including Fortescue (-2.3%) and Qantas (-1.1%).
Despite Friday’s pullback, the market notched a second consecutive weekly gain, rising 3.2%, supported by persistent buying interest and a recovery in Australia’s June export figures. In China, Australia’s largest trading partner, both exports and imports continued to grow at double-digit annual rates in July, although the pace moderated from June.
Looking ahead, traders are focused on next week’s Reserve Bank interest rate decision, as economic activity shows signs of cooling and cost pressures remain elevated, despite three rate hikes so far this year.
