ASX closes lower; A2 Milk leads losses as China’s birth rate hits record low
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The news: The Australian sharemarket finished lower as A2 Milk shares slumped after the National Bureau of Statistics of China reported the country’s birth rate had fallen to its lowest level on record.
The benchmark ASX 200 fell 0.33% to end at 8,874.5 with eight of the 11 sectors finishing in the red.
The tech sector was the worst performing as WiseTech Global (-4.6%), Xero (-2.8%), Technology One (-1.3%), Life360 (-7.7%) and Megaport (-3.8%) posted losses.
Biggest movers:
- A2 Milk (-10.6%) – The number of births in China hit its lowest on record in 2025. China is milk powder and baby formula manufacturer A2 Milk’s largest market.
- Neuren Pharma (-3.8%) – Told the exchange it disclosed recent sales projections from its Rett syndrome treatment Daybue "promptly and without delay", in response to an ASX aware letter dated 15 January.
- Gold miners – The spot price of gold hit another intraday high of around USD4,690.59 per ounce amid trade war fears after US President Donald Trump levied fresh tariffs on European countries opposed to his bid to take control of Greenland. Catalyst Metals (+7.1%), Bellevue Gold (+4.6%%) and Westgold Resources (+4.4%) were among the best performers.
Other news:
- NRW Holdings (-2.7%) – Wholly owned subsidiary, Golding Contractors, has signed a $750 million mining services agreement with TEC Coal at the Stanwell Meandu Mine in Southern Queensland, effective from January 2026.
- Viva Energy (-1.7%) – Announced the retirement of its chair, Robert Hill, effective 1 March, after 10 years with the company. Sarah Ryan has been appointed as the chair elect.
- Fisher & Paykel Healthcare (-0.5%) – Appointed Anna Curzon as a non-executive director, effective 1 February. The announcement follows the retirement of former non-executive director Pip Greenwood.
- PolyNovo (-0.4%) – Has seen a 26% year-on-year jump in first-half sales to $68.2 million, according to unaudited trading results.
- City Chic Collective (+3.6%) – Plus-size women's apparel retailer City Chic Collective has reported a 0.5% decline in group sales revenue for the first half of FY26 to $69.2 million, compared with the prior corresponding period, driven by weaker sales in the Americas.
- Nickel Industries (+1.7%) – Expects December quarter adjusted EBITDA to be in the range USD35 million ($52.4 million) to USD40 million, less than half the earnings generated in the preceding quarter due to a sales licence extension delay.
What’s ahead:
- US markets will be closed to observe the Martin Luther King day public holiday.
- The World Economic Forum in Davos, Switzerland will kick off this evening (AEDT) and run until Friday.
