Australian shares slip on Fortescue-led miner selloff; banks limit losses

Australian shares fell on Thursday after a selloff in miners following Fortescue’s weak preliminary quarterly update, combined with investor caution after US Federal Reserve minutes showed officials were divided over further rate hikes.

The S&P/ASX 200 index fell 0.4% to 8,693.30 points by 2328 GMT, after ending 0.1% lower on Wednesday.

Fed minutes highlighted growing debate among policymakers over the inflation outlook, with officials split between treating recent price pressures as largely supply-driven and arguing that stronger demand warranted tighter policy, leaving investors cautious on the path of future rate cuts.

On the bourse, miners lost more than 2%, hitting their lowest since September 16, weighed down by Fortescue.

The world’s fourth-largest iron ore miner said its cash balance fell 37% in the September quarter, while reporting a preliminary 6% fall in first-quarter iron ore shipments.

Fortescue shares fell more than 3.5% to their lowest level since July 2025, making it one of the biggest laggards on the ASX.

The sub-index also came under pressure from lower aluminium and zinc prices.

Tech stocks fell 1.1%, tracking Wall Street’s losses, with WiseTech Global down 0.6%.

Gold stocks bore the brunt of the selloff, falling 2% to their lowest level since mid-September, hurt by a drop in bullion prices.

Gold miners Evolution Mining and Northern Star Resources shed 1% each. Bucking the trend, banks rose 0.5%, with the “Big Four” trading in the green.

Energy stocks gained 1.2%, with sector majors Woodside Energy and Santos rising more than 0.5% each.

Among other stock moves, bourse operator ASX gained 4.5% to hit its highest since mid-August after brokerage Citi raised its earnings forecasts for ASX, on stronger trading activity.

Meanwhile, New Zealand’s benchmark S&P/NZX 50 index was slightly down at 13,667.48.