ASX Retreats 3.0% Weekly as Inflation Fears Mount

The ASX 200 slid 78 points, or 0.9%, to end at 8,741 on Friday, its lowest in seven weeks. The benchmark index fell for a fourth straight session, logging its worst week in six months with a 3.0% slide. Sentiment weakened as surging crude oil prices raised doubts over a quick easing in Australia’s inflation. RBA Deputy Governor Hauser said further hikes will be debated at September’s meeting, echoed by Assistant Governor Hunter’s warning of limited tolerance for stronger cost pressures. The country’s 10-year bond yield spiked above 5.3%, the highest since May 2011, tracking U.S. Treasury gains and reinforcing expectations of tighter borrowing conditions. Losses were broad, led by healthcare, non-energy minerals, tech, and consumer stocks. Major miners tumbled, with BHP down 4.3%, Rio Tinto off 3.7%, and Fortescue slipping 2.4%. South32 (-4.4%), Northern Star Resources (-2.3%), and Evolution Mining (-2.0%) also lagged. In contrast, the big four banks gained between 0.6% and 2.5%.





