Australian Shares Retreat After Record Highs, Weekly Gain Intact

Australian stocks fell 38 points, or 0.4%, to 9,234 on Friday morning trading, snapping gains in the prior five sessions as traders booked profits after markets recently hit record highs. U.S. equity futures also weakened after Wall Street’s overnight losses, weighed by geopolitical tensions that lifted oil prices and revived inflation worries, fueling bets of further Fed hikes. Caution emerged ahead of July trade data in top trading partner China later today. Locally, the Reserve Bank will hold a policy meeting next week against a backdrop of slowing activity and sticky cost pressures despite three hikes this year. Commercial services, healthcare, and industrials weighed, partly offset by gains in energy minerals and utilities. Heavyweights BHP (-0.4%) and Rio Tinto (-0.7%) eased after reports that they were called to a critical-minerals meeting with President Trump. Still, markets remain up 2.9% so far this week, lifted by persistent buying and a rebound in Australia’s June exports.




