Oil price surge drives Australian stock market sharply lower across most sectors
Australian equities tumbled as oil prices rose above US$100, pulling down most sectors and weakening the Aussie dollar.
On Thursday, the ASX 200 dropped 92 points, about 1.03%, to 8,819.40, and the broader All Ordinaries fell 94.60 points, roughly 1.04%, as oil prices surged past US$100 a barrel amid ongoing US-Iran confrontations. The rally in crude pressured the Australian dollar, which slipped to 72.14 US cents, and sparked a broad market sell-off, with ten of eleven sectors closing in the red; materials, technology and financial stocks posted the steepest losses, while telecommunications managed a modest gain.
Iron-ore producers BHP, Rio Tinto and Fortescue each fell between 1.77% and 2.71%, and the four major banks also retreated. Company-specific moves included Eagers Automotive’s 3.09% rise after agreeing to acquire half of Zagame Automotive, GrainCorp’s 4.03% drop after reaffirming its FY26 guidance, and Nine Entertainment’s 1.86% dip after confirming a six-year, $830 million EPL deal with Stan Sports. Nvidia also announced partnerships with eight Australian data-centre operators to supply AI chips and software.
