The Australian sharemarket began the day in negative territory on Friday, mirroring a downturn in US stocks triggered by escalating geopolitical tensions between the United States and Iran. By 10.15am AEDT, the S&P/ASX 200 Index had fallen by 23.10 points, or 0.3 per cent, to 9063.10, with nine out of eleven sectors experiencing declines. Renewed concerns about a potential conflict sent oil prices to their highest level since August.
Technology stocks were among the hardest hit, with WiseTech Global, a software company that provides solutions for the logistics industry, plummeting 5.1 per cent, bringing its year-to-date losses to nearly 30 per cent. Xero, a cloud-based accounting software provider, also fell, declining by 3.2 per cent. Megaport also experienced a significant loss after it delivered revenue of $134.9 million for the December half. Conversely, some mining companies showed positive movement, with Mineral Resources rising 2.8 per cent after announcing record first-half revenue.
QBE Insurance Group experienced a surge, rising 6.8 per cent after reporting a 21 per cent increase in full-year net profit, driven by improved premium income and investment returns. Austal also jumped 5.7 per cent after securing a significant $4 billion contract to construct landing craft for the Australian Defence Force. On the other hand, Inghams Group, a poultry producer, experienced a sharp decline, diving 11.1 per cent after cutting its full-year profit forecast due to rising costs. Alliance Aviation also fell after reporting a contract with a major airline was unprofitable.
Guzman y Gomez also saw a plunge after sales were softer than the market expected. Other notable movements included Ramsay Health Care, which added 2.4 per cent on plans to separate its European hospitals business, and DigiCo Infrastructure REIT, which rose following a reported increase in underlying revenue. Telix Pharmaceuticals experienced a rise despite posting a net loss, with the cancer diagnostics biotech forecasting slower revenue growth this year.
