The S&P/ASX 200 sank 126 points, or 1.45%, to close at 8,505 on Monday, its lowest finish since April 1, deepening losses from the previous session. Sentiment was hit by a sharp decline in U.S. stock futures after President Trump warned Iran to accelerate efforts toward a peace agreement, amplifying geopolitical tensions in the Middle East.
Adding to the pressure, a batch of weaker-than-expected Chinese data weighed on the market. April industrial production and retail sales growth in China — Australia’s largest trading partner — slowed to multi‑year lows, likely reflecting reduced fiscal support.
Losses were broad-based across the local market, with most sectors finishing lower. Transport, non‑energy minerals, consumer-related stocks, and process industries led the declines. Brambles Ltd. dropped about 19% after the logistics group cut its full‑year profit growth outlook, blaming repair‑capacity constraints among its U.S. subcontractors. Other notable laggards included BHP Group, Macquarie Group, and Evolution Mining.
Investors are now looking ahead to key domestic data and policy signals, including Australia’s flash May PMI, the Reserve Bank of Australia’s meeting minutes, and April labor market figures due later this week.
