ASX starts lower as copper miners sink; Lifestyle Communities sheds 34%
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More news: Australian shares dropped at the open as copper miners slumped after US President Donald Trump threatened a new tariff on copper imports. Troubled property developer Lifestyle Communities also tumbled after losing a tribunal hearing in Victoria.
The benchmark S&P/ASX 200 index was down 49.8 points, or 0.58%, to 8,540.9 at 10:30am AEST. Nine of the 11 sectoral indices were in the red.
Copper miners were among the biggest losers after Trump announced plans for a 50% tariff on copper. Sandfire Resources (-8.5%), Evolution Mining (-6.9%) and Capstone Copper (2.3%) all fell.
Meanwhile, property developer Lifestyle Communities tanked 34.3% after emerging from a two-day trading halt. The selloff came after a Victoria tribunal ruled that deferred management fees in the some of the company's residential contracts were void.
Chemicals and explosives maker Orica, up 3.4%, was among the best performers across the ASX 200 index after appointing Boral's outgoing CEO Vik Bansal as its next chair.
Australian shares to edge lower after Trump's tariff comments drag US stocks
The news: Australian shares are poised to open lower after a mixed session on Wall Street as US President Donald Trump previewed a new 50% tariff on copper imports and a possible 200% levy on pharmaceuticals.
The numbers: Updated at 7:30am AEST:
- ASX futures: down 7 points, or 0.1%, to 8,571
- Wall Street: Dow Jones down 0.37%, S&P 500 down 0.07%, and Nasdaq up 0.03%
- Europe: CAC 40 up 0.56%, DAX up 0.55%, and FTSE 100 up 0.54%
- Spot gold: down 1.04% to USD3,302 per ounce
- Oil prices: Brent down 0.19% to USD70.02/bbl, and US WTI up 0.37% to USD68.18/bbl
- AUD: up 0.62% to 65.33 US cents
- Bitcoin: up 0.09% to USD108,784.
The context: US stocks experienced a choppy session as investors digested Trump's latest comments on tariffs.
The US president said a new 50% tariff on all copper imports will be announced imminently. He also said a new duty on semiconductors will be announced soon, and that his administration is exploring tariffs of up to 200% on pharmaceuticals.
Trump also told reporters at the White House that extensions will not be granted to his new trade tariff deadline of 1 August.
