FX.co ★ Australia Shares Trade Slightly Lower as New Month Begins

Australian shares slipped 27 points, or 0.3%, to 8,950 on the first trading day of August, erasing the prior session’s gains as investors turned cautious ahead of key domestic data releases this week, including June household spending, trade figures, and July job advertisements. Attention is also on Australia’s largest trading partner, China, with PMI data from a private survey and fresh trade numbers due in the coming days.

Losses on the ASX were partly contained by firmer U.S. equity futures, after President Trump signaled restraint on further strikes against Iran, bolstering hopes for progress in the five-month conflict. On the domestic front, July factory activity was revised higher alongside signs of easing inflation, while June private credit recorded its strongest increase in six months.

Sector performance was mixed. Energy minerals, consumer services, and healthcare dragged on the index, while utilities and consumer non-durables provided some support. Three of the four major banks declined, and energy producers Woodside (-1.5%) and Santos (-1.4%) also fell. In contrast, Wisetech gained 1.3%, Evolution Mining added 1.2%, and QBE rose 0.7%.