Australian Shares Remain Steady as US Economic Concerns Rise
Australian shares showed little change, closing at 7,962.3 amidst US economic concerns, including tariffs and unemployment. Cobre entered an agreement with BHP for copper projects in Botswana, while Johns Lyng is set to be removed from the ASX 200 Index. Star Entertainment received a non-binding proposal from Bally’s.
On Monday, Australian shares closed largely unchanged, reflecting a cautious optimism amidst growing concerns regarding the US economy. The S&P/ASX 200 Index ended at 7,962.3, indicating a slight positive bias despite waning investor confidence in sustained US economic growth.
Concerns are escalating due to rising tariffs on imports from China, Mexico, and Canada, increasing unemployment rates, and planned reductions in the federal workforce, as reported by Bloomberg. Ed Yardeni, President of Yardeni Research, remarked, “It’s getting harder to make out the shape of the economy through the fog of Trump 2.0’s firings and tariffs,” emphasizing the prevailing uncertainty.
In corporate developments, Cobre CCBE has entered into an earn-in agreement with BHP Group’s wholly-owned subsidiary for its copper projects, Kitlanya East and Kitlanya West, located in Botswana. This news resulted in a drop of over 3% in Cobre’s share price by market close.
Additionally, Johns Lyng Group JLG is set to be delisted from the S&P/ASX 200 Index prior to market opening on March 24, with shares falling by 12% on the last trading day. Furthermore, Star Entertainment Group SGR has confirmed receiving a non-binding proposal from Bally’s Corporation, listed on the New York Stock Exchange.
In summary, the Australian stock market is experiencing stability amidst rising concerns about the US economic outlook. The developments in corporate news, including Cobre’s agreement with BHP and the removal of Johns Lyng from the index, highlight ongoing market fluctuations influenced by broader economic factors. Investors remain cautious as they navigate potential risks.
Original Source: www.tradingview.com
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