ASX opens lower as oil majors fall on OPEC+ ramp-up plans
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More news: Australian shares lowered at the open as energy stocks led early losses. The benchmark S&P/ASX 200 index was down 29 points, or 0.33%, to 8,842.2 at 10:40am AEST.
Seven of the 11 sectoral indices were in negative territory, as energy dropped 2.1%.
Oil giants Woodside Energy (-3.1%) and Santos (-1%) both fell after the Organization of the Petroleum Exporting Countries and its partners (OPEC+) agreed to ramp up oil output from October. Smaller producers Karoon Energy (-3.7%) and Beach Energy (-1.3%) were also lower.
Smartgroup Corporation (-5.1%), Super Retail Group (-4.9%) and AUB Group (-3.5%) also tumbled as they traded ex-dividend.
Australian shares to open lower ahead of US inflation data
The news: Australian shares are poised to open lower this morning after US stocks retreated on Friday, as investors wait for key inflation data due later this week.
The numbers: Updated at 7:30am AEST:
- ASX futures: down 15 points to 8,848
- Wall Street: Dow Jones down 0.48%, S&P 500 down 0.32% and Nasdaq down 0.03%
- Europe: CAC 40 down 0.31%, DAX down 0.73% and FTSE 100 down 0.09%
- Spot gold: up 1.15% to USD3,587 per ounce
- Oil prices: Brent up 0.26% USD65.67/bbl and US WTI up 0.16% to USD61.97/bbl
- AUD: down 0.57% to 65.55 US cents
- Bitcoin: up 0.93% to USD111,279.
The context: US stocks pulled back on Friday after new employment data showed US job growth weakened in August.
However, the report boosted confidence that the US Federal Reserve will lower interest rates for the first time in nine months when policy officials meet on 16-17 September.
Investors will now await the latest US producer price index reading, due Wednesday, and consumer price index figures, due Thursday.
