Australian shares declined on Thursday, on track to snap a five-day rally dragged by heavyweight financials, while an escalation in trade war tensions after the US unveiled auto tariffs also weighed on sentiment.
The S&P/ASX 200 index fell 0.6% to 7,950.6, as of 0004 GMT.
The benchmark closed 0.7% higher on Wednesday.
Banks fell 0.8%, with the “Big Four” banks losing between 0.1% and 0.7%.
US President Donald Trump announced a 25% tariff on imported cars and light trucks from April 2, reigniting trade war concerns plaguing global investors.
Locally, tech stocks followed their Wall Street peers to drop 2.2% to around a one-week low. Xero lost 1.3%, while WiseTech Global shed 3.6%.
Pension fund AustralianSuper sold its stake in WiseTech after market hours on Wednesday, saying the logistics software giant’s recent handling of founder Richard White’s transition did not meet its expectations.
A rally in oil prices drove energy stocks 0.6% higher, with Woodside rising 1% and Santos adding 0.2%.
Miners gained 0.2% on stronger iron prices and the prospect of reduced US tariffs on China after Trump said he might give concessions to get a deal signed on short video app TikTok.
Australian shares rally as cooling inflation boosts rate cut hopes
Meanwhile, February inflation data on Wednesday showed price pressures eased across half the consumer basket, supporting the bets for interest rate cuts from the Reserve Bank of Australia in the upcoming months.
The central bank is scheduled to meet next week, from March 31 to April 1.
US property data group CoStar sweetened its bid for Australia’s Domain Holdings, sending its shares 4.3% lower.
The revised offer price was at a discount to the Australian stock’s last closing price of A$4.47.
In New Zealand, the benchmark S&P/NZX 50 index traded 0.2% lower.
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