Australian sharemarket dips; gold prices hit record high

The Australian share market saw a decline in the afternoon after a brief increase earlier in the day. This followed disappointing trends in US futures, raising concerns about the sustainability of gains observed on Wall Street. The S&P/ASX 200 Index was fluctuating but managed to rise slightly by 0.1 percent, finishing at 7865.1. The All Ordinaries also increased by 0.2 percent. Among the 11 sectors, utilities showed the best performance. Initially, the ASX was boosted by positive US retail sales data, which is an indicator of consumer confidence. However, the situation shifted as tensions escalated in the Middle East, particularly with airstrikes in Gaza, which also drove gold prices to a new record. In the banking sector, the Commonwealth Bank fell by 0.6 percent, while both the National Australia Bank and Macquarie dropped more than 1 percent. However, Westpac and ANZ shares remained positive. In the consumer discretionary area, companies like Aristocrat Leisure and JB Hi-Fi faced losses, with drops of 1.9 and 2.3 percent, respectively. On the other hand, utility stocks, seen as stable in uncertain times, rose, with Origin Energy and AGL Energy increasing by at least 1.2 percent. Gold hit around $US3,020 per ounce, attracting attention to gold mining stocks. Newmont saw an increase of 2.5 percent, along with gains for Northern Star and Evolution Mining. In company news, New Hope's shares surged 8.8 percent after reporting a significant rise in profit and announcing a share buyback. Woolworths gained 1.1 percent following an upgrade from Macquarie, which sees potential growth in supermarket stocks. Conversely, Endeavour's shares fell 1.6 percent after Goldman Sachs changed its rating to “neutral.” Concerns about market competitiveness were raised amid management changes. Gold Road Resources dropped by 4.2 percent due to predictions of lower output from its joint venture, linked to equipment issues. In a separate development, South Korea’s Hanwha is making a move to acquire nearly 10 percent of Austal, with shares in the shipbuilder jumping 8.6 percent.