What’s going on here?

The S&P/ASX 200 index hit the brakes at 8,023.90, ending a 10-day winning streak, while New Zealand’s S&P/NZX 50 index rose 0.5%, ending a four-day losing streak to close at 12,529.99.

What does this mean?

Goods and the energy sector lost momentum, falling 0.9% and 1% respectively, as global commodity price concerns took center stage. Technology stocks fell 0.4% following losses on Wall Street. Bank stocks posted a slight 0.1% gain, driven by Commonwealth Bank of Australia and National Australia Bank. ANZ shares, however, fell 2.2% due to a AU$250 million liquidity reduction related to alleged binding Trading offences. Tabcorp slipped 3.5% after being fined A$4.3 million for breaches of the gambling law, and Inghams hit its lowest since mid-August 2023, reflecting declining poultry volumes and missed benefit Goals.

Why should I care?

For markets: A rocky road for raw materials and technology.

The decline in commodity and technology stocks underlines the Volatility These sectors are facing problems due to global price volatility and interconnected markets. Investors should keep a close eye on these sectors, especially as the Federal Reserve’s next moves could further shake things up.

The overall picture: All eyes are on the Fed as the market watches closely.

Investors are eagerly awaiting Federal Reserve Chairman Jerome Powell’s speech at the Jackson Hole Economic Symposium. A 25 basis point rate cut is widely expected in September. According to the CME FedWatch tool, such a move could have a significant impact on market liquidity and risk. asset Perfomance.