FX.co ★ ASX 200 Weekly Decline Extends to 3rd Straight Period

The ASX 200 closed virtually unchanged at 8,731 on Friday, pausing after recent gains as strength in technology, industrial services, and non-energy minerals was offset by weakness in healthcare, energy, and consumer non-durable stocks. Early advances faded after Reserve Bank of Australia Governor Michele Bullock adopted a hawkish tone in parliamentary testimony, warning that inflation remains persistently high and that upside risks are emerging, thereby keeping the option of further rate hikes on the table.

U.S. equity futures strengthened, supported by softer oil prices and lower U.S. Treasury yields. Among local heavyweights, BHP Group rose 1.4%, while gold miners Evolution Mining and Northern Star Resources added 4.4% and 2.4%, respectively. By contrast, the major banks retreated between 0.2% and 1.9%, with Xero down 4.1% and Bluescope falling 3.1%.

On a weekly basis, the benchmark index edged down 0.1%, marking a third consecutive weekly decline as investor caution intensified ahead of Australia’s August labor market data, due next week, following July’s unexpected uptick in unemployment and fall in total employment.