The ASX ended Monday relatively unchanged, with the S&P/ASX 200 up just 2.1 points at 8,423 by the closing bell.
Over the last five days, the index is virtually unchanged, but is currently 1.07% below its 52-week high.
Eight of the 11 sectors ended the day higher. However, energy retreated 1.16% and materials was down 0.43%.
The bottom dwellers included aluminium major Alcoa (ASX:AAI), which slid 6.27% to $66.58, lithium miner Pilbara Minerals (ASX:PLS), which dropped 4.45% to $2.15, and oil and gas producer Beach Energy (ASX:BPT), which decreased 4.22% to $1.25.
ANZ says the aluminium market is facing multiple challenges, including changes to trade policies, supply disruptions of bauxite and alumina, and sanctions.
At the same time, OPEC supply policies are struggling to support crude oil prices, as concerns of weaker demand persist.
“With investors increasingly bearish on economic growth, sentiment is likely to remain weak,” ANZ senior commodity strategist Daniel Hynes says.
“This comes as seasonal trends result in a slowdown in oil demand. Even additional Fed rate cuts are unlikely to alleviate oil market concerns about weakening global economic growth and its impact on demand.
“The OPEC delayed its planned production hikes by another three months and pace of unwinding has been made gradual as well.”
The S&P/ASX 200 is Australia’s leading share market index and contains the top 200 ASX-listed companies in terms of market capitalisation, and accounts for about 80% of the country’s equity market. The index is designed to measure the performance of the 200 largest index-eligible stocks listed on the ASX by float-adjusted market capitalisation.
It is recognised as the institutional investable benchmark in the country.
Write to Angela East at Mining.com.au
Images: ASX & Stock
