Daily Market Update: 25 September 2025

All Ords hit by inflation, US Fed call, Myer, Xero sink again

The Australian share market was pushed lower by both global and domestic forces on Wednesday, dropping 0.9 per cent, as nine of the eleven market sectors lost ground. Utilities and energy were among the few gainers, boosted by President Trump’s aggressive comments towards Russia, while financials fell 1.8 per cent. Inflation data showed prices lifting back to 3 per cent from 2.8 per cent, largely driven by higher food and energy costs, dampening hopes of an October rate cut. Commonwealth Bank of Australia (ASX: CBA) fell 0.9 per cent, and Westpac Banking Corporation (ASX: WBC) slipped after announcing 200 teller job cuts. The retail and technology sectors were hardest hit, with Xero Limited (ASX: XRO) down over 1 per cent, WiseTech Global Limited (ASX: WTC) down more than 2 per cent, and Myer Holdings Limited (ASX: MYR) falling close to 4 per cent as spending concerns deepened.

Star license hold extended, KMD hit by slowing sales, Deterra in asset sale

The Star Entertainment Group Limited (ASX: SGR) dropped another 2 per cent after its Sydney casino licence suspension was extended until March next year. KMD Brands Limited (ASX: KMD), owner of Kathmandu, rallied over 2 per cent despite reporting an 83 million dollar full-year loss, citing margin pressure and slower sales. Encouragingly, same-store sales were up 22 per cent in the first seven weeks of the new year, led by Rip Curl. No dividend was declared. Deterra Royalties Limited (ASX: DRR) rose 2.2 per cent after confirming the 91 million dollar sale of gold royalties.

US markets pause ahead of rates, Alibaba surges on AI spend, Microsoft teams with Anthropic

US markets paused on Wednesday, with the Dow Jones Industrial Average (INDEXDJX: DJI) down 0.4 per cent, the NASDAQ Composite Index (NASDAQ: IXIC) off 0.3 per cent, and the S&P 500 Index (NYSE: SPX) also down 0.3 per cent, as traders awaited the next Fed decision. Micron Technology Inc (NASDAQ: MU) slipped 2 per cent despite upgrading guidance the day before. Alibaba Group Holding Limited (NYSE: BABA) gained more than 8 per cent after announcing it would spend beyond its already planned 50 billion US dollar AI investment this year. Microsoft Corporation (NASDAQ: MSFT) confirmed a partnership with Anthropic, rival to OpenAI, to broaden AI options within its Office platform.