ASX opens lower weighed down by tech stocks, GYG plunges
Make us a preferred source
Make us a preferred source on Google
More news: Australian shares opened lower weighed down by the tech and consumer discretionary sectors.
The benchmark ASX 200 was down by 29.9 points, or 0.33% to 9,056 at 10:26am AEDT. Seven of the 11 sectorial indices opened in the red.
Industrials (+0.19%) was the best performing sector, led by gains in Transurban (+0.14%), Auckland Airport (+0.27%), Worley (+0.56%), Downer EDI (+3.20%) and Ventia (+1.56%).
Telix Pharmaceuticals (+6.57%) was the best performing stock at the open despite reporting a net loss of USD5.3 million ($7.51 million) for the full-year 2025.
DigiCo (+6.14%) rallied after swinging to a first-half profit of $37.9 million, while QBE Insurance (+6.01%) rose after posting a USD2.15 billion net profit for the full-year.
Austal (+5.86%) rose after securing a $4 billion contract from the Commonwealth department of defence.
Elsewhere, tech (-2.71%) was the worst performing sector across the ASX 200, led by a fall in Megaport (-4.93%) after posting an interim net loss of $3.3 million.
Guzman y Gomez (-10.67%) plunged despite reporting a 45% increase in interim profit and lifting its dividend.
Australian shares to open lower as geopolitics, credit jitters hit Wall St
The news: Australian shares are set to open lower after Wall Street indices fell overnight as escalating US-Iran tensions drove oil prices to their highest level since August and dampened risk appetite, with losses in alternative asset managers following a private credit fund restricting withdrawals and weakness in Nvidia and Apple adding to the decline.
The numbers: Updated at 7:23am AEDT:
- ASX futures: down 53 points to 8,994.
- Wall Street: Dow Jones down 0.67%, S&P 500 down 0.48% and the Nasdaq down 0.54%.
- Europe: CAC 40 down 0.36%, DAX down 0.93% and FTSE 100 down 0.55%.
- Spot gold: up 0.39% to USD4,995 per ounce.
- Oil prices: Brent up 2.05% to USD71.79/bbl and US WTI up 2.13% to USD66.57/bbl.
- AUD: down 0.11% at 70.50 US cents.
- Bitcoin: up 0.77% to USD66,932.
The context: All three major US indices traded lower overnight, led by losses in big tech stocks. Nvidia and Apple were among the biggest drags on the S&P 500, falling 0.55% and 1.47% respectively. AI-related stocks have remained volatile in recent months amid concerns over high valuations and limited evidence that heavy investments in AI are driving revenue and profit growth.
Escalating US-Iran tensions also weighed on sentiment, with oil climbing to its highest level since August amid a US military buildup in the Middle East and concerns any conflict could disrupt supplies through the Strait of Hormuz.
Private credit concerns weighed on alternative asset managers, with Blue Owl Capital shares falling about 8% when the firm restricted withdrawals from one of its private credit funds, raising fresh scrutiny over risks in the roughly USD 1.8 trillion market.
The move dragged down peers including Apollo Global Management, Ares Management and TPG, as investors reassessed credit quality and lenders’ exposure to software companies.
Elsewhere, Americans filing new applications for unemployment benefits fell more than expected last week, dropping by 23,000 to a seasonally adjusted 206,000 in the week ended 14 February. Economists polled by Reuters had forecast 225,000 claims.
Markets are pricing in around a 50% chance of an interest rate cut by the Federal Reserve at its June meeting, according to CME’s FedWatch Tool.
Locally, QBE Insurance, Latitude Group, Mineral Resources, Megaport, Inghams, Guzman y Gomez, Cobram Estate Olives and Polynovo are among companies scheduled to report earnings today.
