Australian shares are trading higher on Friday, buoyed by softer US inflation data that has revived expectations of interest rate cuts in early 2026. At 12.35pm AEDT, the S&P/ASX 200 is up 0.4 per cent, or 33.4 points, at 8,621.6, with eight of 11 sectors in positive territory. Markets have responded to November US core inflation of 2.6 per cent and headline inflation of 2.7 per cent, prompting traders to price roughly a 25 per cent chance of a January rate cut and a near-certain move by April. Technology and financials are leading gains locally, with strength across TechnologyOne, Xero, WiseTech and the major banks, while materials are weighing on the index as iron ore prices retreat.
Despite Friday’s rebound, the local market is still on track to end the week down about 0.86 per cent, snapping a three-week winning streak. Earlier in the week, sentiment was pressured by falling commodity prices, weaker oil markets, and caution ahead of delayed US jobs data, with sharp sell-offs in miners, energy stocks and uranium names, most notably Boss Energy’s plunge after downgrading its Honeymoon project. Volatility eased on Thursday and has continued into Friday as rate expectations shifted, but losses earlier in the week mean the ASX is still tracking toward a weekly decline.
In Friday’s company news,
EOS lands US$21m RWS order, backlog tops $400m
Electro Optic Systems
(ASX:EOS) has secured a US$21 million order for its R400 Remote Weapon System from a North American customer, with the systems to be integrated onto light armoured vehicles destined for South America. Manufacturing will occur in Canberra during 2026–27, and the contract adds to a growing list of defence orders announced in 2025. Following the latest award, EOS said its unconditional contract backlog now exceeds $400 million, up sharply from $136 million at the end of 2024, with most revenue expected to be recognised over the next two years.
Cleveland Clinic adopts CT:VQ™, accelerating US rollout
4DMedical
(ASX:4DX) has secured a commercial agreement with Cleveland Clinic for the clinical use of its CT:VQ™ lung imaging technology, marking its third major US academic medical centre deployment since FDA clearance, following Stanford and the University of Miami. The agreement includes an initial one-month introductory pricing period before moving to full commercial terms and positions Cleveland Clinic as a key reference site for broader US hospital adoption. The deal reinforces 4DMedical’s strategy of targeting elite institutions to establish CT:VQ™ as a standard of care in respiratory diagnostics.
Symal enters South Australia with $23m acquisition
Symal Group
(ASX:SYL) has entered a conditional agreement to acquire an 80% stake in South Australian civil contractor Davison Earthmovers for $23.2 million, funded from cash reserves, with completion expected in Q3 FY26. Davison brings nearly four decades of operating history, more than $11 million in plant and equipment, and forecast annualised EBITDA of around $7 million. The acquisition provides Symal with immediate scale in South Australia and is expected to be earnings-per-share accretive in its first year, aligning with the group’s national expansion strategy.
