The ASX edged lower on Tuesday but commodities got a nice shot in the arm on promised China stimulus.
The S&P/ASX 200 dipped 11.3 points, or 0.13%, to 8,411.7 points as of 10:37am AEDT. The index has lost 0.98% for the last five days, and sits 1.21% below its 52-week high.
Six of the 11 sectors bucked the downward pull, with materials the standout on a 3.01% gain thanks to China rolling out more stimulus in 2025.
China’s Politburo said it would embrace a “moderately loose” strategy next year, which ANZ says signals further easing to come.
“The statement calls for ‘more proactive’ fiscal policy with the aim of boosting consumption ‘forcefully’, expanding domestic demand more broadly, stabilising the property and stock markets, and achieving ‘counter-cyclical adjustment’,” ANZ analysts Mahjabeen Zamen, Brian Martin, and Daniel Hynes say in a research note.
“The statement signals potential rate cuts, fiscal expansion and asset buying ahead but the magnitude of stimulus is yet to be revealed. China’s Central Economic Work Conference is expected to provide further details on economic targets and stimulus plans later this week.”
The top movers in early trade included lithium miner Pilbara Minerals (ASX:PLS), which advanced 8.37% to $2.33, Mineral Resources (ASX:MIN) with a 7.31% gain to $36.69, iron ore miner Fortescue (ASX:FMG), which climbed 6.31% to $20.47, IGO (ASX:IGO) with a 5.75% tick up to $5.25, and Liontown Resources, which rose 5.33% to $0.64.

The S&P/ASX200 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



