The Australian Securities Exchange (ASX) has followed US markets down, albeit only marginally, after US President Donald Trump threatened big tariffs on Europe and Apple.
The S&P/ASX200 edged back 4.4 points to 8,356.5 points as of 10.30am (AEST) today (26 May).
Over the past five trading sessions, the index is virtually unchanged and is 3% below its 52-week high.
A breakdown in trade talks between the US and Europe has led to Trump promising to place a 50% tariff on imports of European goods into the US from 1 June.
ANZ Economist Sophia Angala says it is unclear whether the tariffs will include any carve-outs or sector exemptions.
“Treasury Secretary [Scott] Bessent said that the 50% tariff threat is Trump’s response to the slow pace of progress,” Angala says.
“Trump also threatened 25% tariffs against Apple and other device manufacturers to encourage them to move their production to the US.
“Following a brief period of de-escalation of trade tensions, financial markets are now worried about a fresh round of escalation.”
More sectors were lower than higher. Utilities slipped 0.2%, industrials inched down 0.08% and the financial sector moved down 0.04%.
Materials and energy, however, started the session in the green with advances of 0.16% and 0.07%, respectively.
Trump also last week signed an executive order to fast track the production and operation of nuclear energy in the US.
This put a rocket under uranium stocks today. Deep Yellow (ASX:DYL), Boss Energy (ASX:BOE) and Paladin Energy (ASX:PDN) dominated the top movers in early trade. Deep Yellow jumped 10.04% to $1.37, Boss rallied 7.29% to $4.27 and Paladin rose 6.76% to $6.16.
Capstone Copper (ASX:CSC) was also an early mover, adding 2.49% to trade at $7.82.
Bluescope Steel (ASX:BSL), meanwhile, fell 1.63% to $22.89 this morning.
At the junior end of the market, uranium explorer GTI Energy (ASX:GTI) climbed 25% to $0.005
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: Stock
