Australian shares fell on Wednesday, led by losses in gold and mining stocks, after US President Donald Trump said he would impose a 50% tariff on imported copper and warned of levies on foreign-made drugs.
The S&P/ASX 200 index fell 0.7% to 8,535.10 by 0034 GMT.
The benchmark ended flat on Tuesday.
Gold stocks dropped more than 5%, tracking lower bullion prices.
The sub-index hit its lowest level since April 10. Mining stocks lost 0.8%.
Gold miners with exposure to copper Evolution Mining and Genesis Minerals dropped 7.4% and 4.4%, respectively. Sandfire Resources and Capricorn Metals shed 5.5% and 4.9%, respectively.
Trump told reporters at a White House meeting that he would announce the copper tariff later in the day but gave no timeline, while US Commerce Secretary later told CNBC that it would likely take effect by late July or August 1.
Trump also said he plans to announce tariffs on imported pharmaceuticals which could reach 200%, but would give drugmakers about one year “to get their act together.”
Healthcare stocks lost 0.6%, with sector major CSL down 0.7%.
Meanwhile, the Reserve Bank of Australia blindsided markets on Tuesday by keeping its cash rate unchanged at 3.85% as board members chose to wait for clearer proof that inflation is losing steam.
Financials skidded 0.8%, with National Australia Bank down 0.2%.
ANZ, Westpac and Commonwealth Bank of Australia shed between 0.1% and 0.4%.
Bucking the broader trend, energy stocks were up 0.4% as oil prices edged higher.
Sector heavyweights Woodside Energy advanced 1.2%, while Santos gained 0.8%.
New Zealand’s benchmark S&P/NZX 50 index fell 0.9% to 12,748.12. Later in the day, the Reserve Bank of New Zealand (RBNZ) is expected to keep interest rates on hold, according to a Reuters poll.
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