Thursday 4th December 2025
Daily Market Update: 05 December 2025
ASX lifted by miners despite rate hike fears
The Australian sharemarket extended its gains for a third straight session on Thursday, buoyed by strength in the materials sector as copper prices surged to record highs. The S&P/ASX 200 Index (ASX: XJO) rose 23.2 points to close at 8618.4, up 0.3 per cent, despite growing concerns that interest rates could rise sooner than expected. Rio Tinto Limited (ASX: RIO) hit a record high of $140.58, while BHP Group Limited (ASX: BHP) climbed 3.6 per cent to $44.55. Other miners also rallied, including South32 Limited (ASX: S32), Sandfire Resources Limited (ASX: SFR), and Capstone Copper Corp (ASX: CSC).
Interest rate outlook rattles property and retail
Signs of stronger consumer spending and persistent inflation have shifted bond market expectations, with traders now factoring in a potential interest rate hike by the Reserve Bank of Australia as early as February. Economists, including Barrenjoey’s Jo Masters, forecast hikes in May and August, though the RBA is expected to hold rates at 3.6 per cent next week. This rate outlook pressured rate-sensitive sectors, with real estate and retail stocks retreating. Goodman Group (ASX: GMG) fell 2.7 per cent, while Stockland (ASX: SGP) and Scentre Group (ASX: SCG) also declined. Retailers such as JB Hi-Fi Limited (ASX: JBH) and Temple & Webster Group Limited (ASX: TPW) were also weaker. Among financials, ANZ Group Holdings Limited (ASX: ANZ) led bank gains, while Bendigo and Adelaide Bank Limited (ASX: BEN) rose on news of acquiring RACQ Bank’s loan and deposit book.
Global markets steady ahead of US Fed decision
On Wall Street, major indices ended flat as investors awaited the US Federal Reserve’s policy meeting next week. The S&P 500 Index (NYSE: SPX), Nasdaq 100 Index (NASDAQ: NDX), and Dow Jones Industrial Average (NYSE: DJI) all showed little change as mixed labour market data kept hopes alive for a potential rate cut. Private payrolls unexpectedly fell while weekly jobless claims declined, adding to uncertainty. Tech stocks were mixed, with Intel Corporation (NASDAQ: INTC) down 7.5 per cent and Amazon.com Inc. (NASDAQ: AMZN), Apple Inc. (NASDAQ: AAPL), and Alphabet Inc. (NASDAQ: GOOGL) also lower. In contrast, Meta Platforms Inc. (NASDAQ: META) rose 3.4 per cent, and strong earnings lifted Salesforce Inc. (NYSE: CRM) and Dollar General Corporation (NYSE: DG).
| Australian Indices | Daily % | Weekly % | 1 Month % | 3 Month % | 1 Year % |
| ASX 200 | 0.3 | 0.0 | -1.9 | -1.8 | 5.0 |
| Financials | 0.3 | -1.4 | -7.8 | -5.8 | 2.9 |
| Resources | 0.7 | 2.0 | 5.1 | 10.5 | 24.8 |
| Information Technology | 0.1 | -2.6 | -10.3 | -14.2 | -12.3 |
| Global Indices | Daily % | Weekly % | 1 Month % | 3 Month % | 1 Year % |
| US 500 | 0.1 | -0.4 | -0.2 | 4.2 | 11.1 |
| Europe | -0.1 | -0.1 | 1.2 | 3.6 | 21.9 |
| Japan | 1.3 | -1.2 | -2.3 | 3.5 | 15.8 |
| China top 50 | -1.0 | -2.1 | -2.9 | 0.4 | 29.2 |
| India top 50 | -0.5 | -2.6 | -1.7 | 0.7 | -4.3 |
| Fixed Interest | Daily % | Weekly % | 1 Month % | 3 Month % | 1 Year % |
| Australian Treasury Bond | -0.3 | -1.0 | -1.5 | -1.2 | 2.0 |
| Australian Corporate Bond | 0.0 | -0.9 | -1.4 | -1.0 | 2.8 |
| US Treasury | 0.0 | -0.4 | 0.3 | 1.5 | 3.9 |
| Cash | 0.0 | 0.1 | 0.3 | 0.9 | 4.1 |
| Commodities & Crypto | Daily % | Weekly % | 1 Month % | 3 Month % | 1 Year % |
| Gold | -1.2 | 0.4 | 5.0 | 17.0 | 54.9 |
| Silver | -1.3 | 8.2 | 20.4 | 40.4 | 80.7 |
| Crude Oil | 1.0 | 0.5 | -2.4 | -5.4 | -1.8 |
| Bitcoin | -1.3 | 0.9 | -11.5 | -16.9 | -11.3 |
