Australian shares post best August in 16 years as earnings season ends

Aug 29, 2025, 13:58 GMT+7Refinitiv1 min read
Key points:

• ASX 200 advances nearly 2.6% in August
• Westpac, Coles gain over 15% in August
• RBNZ chair Neil Quigley resigns

(Reuters) - The Australian benchmark notched its best August performance in sixteen years on Friday as the corporate earnings season wrapped up, while losses in financial stocks dragged the shares slightly lower on the day.
The benchmark S&P/ASX 200 indexhas risen nearly 2.6% this month, the most gains in August since 2009, as markets digested the Reserve Bank of Australia's rate cut alongside a barrage of corporate results.
Underperforming minerssoared more than 11% this month. Investors also favoured relatively stable sectors such as consumer staples (. AXSJ ), up 2.3%, and financials, up 3%, following stellar earnings from the likes of grocer Colesand lender Westpac.
The two companies added nearly 16% and 15% this month, respectively.
On the day, the benchmark closed 0.1% lower to 8,973.1 points.
Heavyweight financialsended 0.6% lower on the day, with top lender Commonwealth Bank of Australiadropping 1.8%.
"Investors are concerned about fiscal 2026 margin compression as rates are expected to continue falling," said Justin Lin, an investment analyst at Global X ETFs.
Earlier this week, the Reserve Bank of Australia joined the U.S. Federal Reserve to tilt towards a dovish stance on their monetary policies. Lower rates would lower borrowing costs, which could potentially impact bottom lines of banks.
Limiting benchmark losses, technology stocks XXIJ closed 3.1% higher after data centre landlord NEXTDCsoared more than 17.4% on annual earnings beat.
Energy stocksrose 1%. Shares of uranium majors Bossand Paladin Energyadvanced 7.7% and 7.8% respectively, after Canada's uranium producer Cameco Corpflagged a production downgrade for fiscal 2025.
Markets believe the downgrade will drive up uranium prices, allowing equities to react favourably to that decision, said Glyn Lawcock, head of mining research at Barrenjoey.
New Zealand's benchmark S&P/NZX 50 indexclosed up 0.2% at 12,930.73 points.
Reserve Bank of New Zealand Chair Neil Quigley tendered resignation from the board and as chair with immediate effect, the country' finance minister said.

Sumber : Reuters