The Australian stock market has marginally declined on Tuesday, giving up some of the gains from the preceding two sessions. This shift follows mostly negative signals from Wall Street. The central S&P/ASX 200 is teetering just below the 7,900 level. Losses in technology shares are almost balanced by advances in mining and energy sectors, which are experiencing a spike in commodity prices.
The S&P/ASX 200 Index has dropped by 3.00 points, or 0.04 percent, to sit at 7,893.90, after reaching a record high of 7,910.50 and a low of 7,867.90. The broader All Ordinaries Index has also slightly descended by 3.90 points or 0.05 percent to 8,149.80. On the previous trading day prior to the holidays, Australian stocks significantly rose in value.
Major miners like Rio Tinto saw gains above 1 percent, with BHP Group and Mineral Resources also making modest gains. Fortescue Metals, however, showed a slight decrease in value. Oil stocks are mostly on the rise, with Santos, Woodside Energy, and Beach Energy all gaining, while Origin Energy faced a minor setback.
In the tech sector, WiseTech Global, Zip, Afterpay owner Block, and Xero all reported losses, while Appen made some gains. Gold miners, for the most part, saw an increase with Evolution Mining, Newmont, Northern Star Resources, Resolute Mining, and Gold Road Resources all moving upwards.
Regarding the big four banks, Commonwealth Bank remained stable, while ANZ Banking, National Australia Bank, and Westpac have slightly risen. Austal saw a significant jump of 11 percent in share prices after they confirmed a takeover offer from South Korean shipbuilder Hanwha Ocean at $2.825 cash per Austal share.
On the other hand, Orora shares dropped by 13 percent following the lowering of its FY24 earnings projections due to a weak market for its products. The latest Judo Bank survey revealed that Australia's manufacturing sector continued to shrink in March, indicating a challenging economic landscape.
Minutes from the Reserve Bank of Australia's March 19 policy meeting revealed that the country's economic recovery is largely on track, despite the bank maintaining its benchmark interest rate at 4.35 percent for the third consecutive meeting. The economic outlook and interest rate path remain uncertain in the face of persistent inflation.
In currency matters, the Aussie dollar is trading at $0.649 on Tuesday.
Overseas, on Wall Street, shares largely fell over trading on Monday, with the Dow and S&P 500 receding after achieving record closing highs last Thursday. The Nasdaq, however, managed a slight advance.
European markets remained closed for Easter Monday. Crude oil prices rose due to concerns about potential supply disruptions following reports of an Israeli strike near Iran's embassy in Damascus. The West Texas Intermediate Crude oil futures for May ended up by $0.54 or 0.65 percent at $83.71 per barrel.
