FX.co ★ Australian Stocks Trade Lower After Wall Street Losses

Australian shares fell 26 points, or 0.3%, to 8,701 in early Thursday trade, extending the previous session’s decline as muted U.S. stock futures followed Wall Street’s break in its recent winning streak. A renewed surge in Treasury yields reignited inflation worries, while the latest Federal Reserve minutes showed policymakers were divided over the case for additional rate hikes, though most still expect at least one more increase before year-end.

On the domestic front, October inflation expectations climbed to a four-month high, underscoring persistent price pressures amid elevated global energy costs tied to tensions in the Middle East. Losses on the ASX were partly contained as markets in China, Australia’s largest trading partner, prepared to reopen after the Golden Week holiday.

Sector performance was mixed. Tech, non-energy minerals, and logistics stocks led the declines, while gains in consumer non-durables, energy minerals, and retail trade helped cushion the market. Heavyweight BHP Group slipped 2.4%, with Lynas Rare Earths (-4.4%), Fortescue (-3.4%), Evolution Mining (-2.2%), and Northern Star Resources (-2.0%) also dragging on the index.