Australian shares end flat as WiseTech slump offsets gains in banks, gold
The tech sub-index fell 4.2 per cent for its steepest intraday decline since April 9
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AUSTRALIAN shares ended little changed on Monday (Jun 22) as gains in banks and gold miners offset a sharp selloff in WiseTech Global, while investors awaited key inflation and labour market data due later this week.
The benchmark S&P/ASX 200 index ended 0.1 per cent lower at 8,816.10 points, after losing 0.9 per cent on Friday.
WiseTech Global tumbled 18.4 per cent, hitting its lowest level since July 2021 and weighing on the broader market.
Widespread media reports said that the Australian Federal Police were investigating its founder, Richard White, over claims he exploited a woman’s immigration status for sex and provided false information on a visa application.
“With Richard White still highly influential as founder and chair, ongoing investigations are weighing on sentiment, driving a valuation discount until there’s clearer board stability and resolution,” Junvum Kim, a senior sales trader at Saxo Asia Pacific, said.
Technology stocks bore the brunt of WiseTech’s selloff, with the sub-index falling 4.2 per cent for its steepest intraday decline since April 9.
Energy stocks lost 0.4 per cent, led by a 0.9 per cent drop in Woodside Energy, while miners slipped 0.6 per cent as sector heavyweight BHP Group fell 1.7 per cent.
Bucking the trend, gold miners advanced 1.8 per cent, tracking a rebound in bullion.
Northern Star Resources and Evolution Mining added 1.6 per cent and 3.4 per cent.
Financials lent further support to the index, rising 0.5 per cent, with Commonwealth Bank of Australia and ANZ Group both adding 0.6 per cent.
Investors would also be looking at monthly inflation data due on Wednesday, which Westpac analysts expect to fall in May.
Last week, Australia’s central bank held its cash rate steady, but warned it might yet hike again if needed to control inflation.
New Zealand’s benchmark S&P/NZX 50 index fell 0.4 per cent to 13,446.05 points.
Shares of a2 Milk rose as much as 11.1 per cent to a three-week high after receiving approval in China to convert two infant milk formula registrations into its own brands. REUTERS
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