1h agoFri 12 Dec 2025 at 5:18amMarket snapshotASX 200: +1.2% at 8,697 pointsAustralian dollar: +0.1% at 66.67 US centsWall Street: Dow Jones (+1.3%), S&P 500 (+0.2%), Nasdaq (-0.4%)Europe: DAX (+0.7%), FTSE (+0.5%), Stoxx 600 (+0.6%)Spot gold: -0.3% to $US4,268/ounceOil (Brent crude): +0.7% to $US61.69/barrelIron ore: +0.6% to $US104.81/tonneBitcoin: -0.5% at $US92,371
ASX 200: +1.2% at 8,697 pointsAustralian dollar: +0.1% at 66.67 US centsWall Street: Dow Jones (+1.3%), S&P 500 (+0.2%), Nasdaq (-0.4%)Europe: DAX (+0.7%), FTSE (+0.5%), Stoxx 600 (+0.6%)Spot gold: -0.3% to $US4,268/ounceOil (Brent crude): +0.7% to $US61.69/barrelIron ore: +0.6% to $US104.81/tonneBitcoin: -0.5% at $US92,371Prices current around 16:15pm AEDT
Live updates on the major ASX indices:
47m agoFri 12 Dec 2025 at 5:38am
Have a good weekend
We might close our business blog for another week.
And it was a profitable few days for investors, even if the gains were modest.
The ASX was up 0.7 per cent on the week … it’s at a 4-week high, but still 4.6 per cent off its best-ever numbers.
And the Aussie dollar is stronger than it has been for a while, as it pushes toward 67 cents to the greenback. Once it passes 66.8, it will set a 12-month high.
That will make things a little less expensive for those overseas holidays over the festive period, spending foreign currency.
We’ll catch you on Monday. Until then, enjoy the second weekend of summer.
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1h agoFri 12 Dec 2025 at 4:54am
Hanwha stake in Austal means ‘long-term growth opportunity’: Betashares
Government approval for South Korea’s Hanwha to increase its stake in Australian shipbuilder Austal is “a positive development” that highlights how sector activity is extending beyond Europe, according to one of Australia’s largest ETF providers, Betashares.
Federal Treasurer Jim Chalmers on Friday gave the green light for the South Korean defence company to double its stake in Austal after months of protracted deliberations.
Betashares investment strategist Tom Wickenden said the move showed the expansion of defence activity.
“For both companies, we believe this is a positive development that could unlock synergies, enhance information sharing, and improve production capabilities,” Mr Wickenden said in a media statement.
“With defence spending targets often tied to rising GDP, we see global defence expenditure as a multi-decade trend that remains under-represented in many Australian portfolios.
“The growing activity in the sector presents a long-term growth opportunity, and we expect M&A to continue in various forms as spending expands.”
The statement said that Australian-traded defence ETFs had received over $500 million in inflow this year, adding that the Betashares Global Defence ETF had returned 43% in the same period.
1h agoFri 12 Dec 2025 at 4:35am
Workforce participation explained
I enjoyed the finance report with David Chau, thank you. I noted the employment participation rate of 66.7%. Having checked the definition of “participation rate” and who it includes, am I correct in thinking that 33.3% of working age able people simply don’t bother to work or look for work? If so, should we be concerned? That percentage astounds me!
– Jonathan
Hi Jonathan,
Australia’s participation rate isn’t too bad — in fact, we’re about middle of the pack for the OCED when you look at the percentage of 25-64-year-olds in work or looking for it, which is 82.8% here versus an OECD average of 79.7%.
So, actually, only around 13% of Australians who would be considered prime working age are out of work and not actively looking for a job.
The 66.7% ABS figure is the participation rate of all permanent and long-term residents aged over 15.
So that includes a lot of people who are retired, studying, off work to look after other people (kids, elderly parents, etc.), on long-term vacation, unable to work due to ill health or disability, in an institution (such as prison), or otherwise out of the workforce by necessity or choice.
When you know that it includes a lot of school kids and university students, and an even bigger and growing number of retirees, then the 33% of people not in the labour force isn’t so surprising.
By the way, Australia’s labour force participation rate is only just off a record high of 67.2% set at the beginning of this year.
So, at least as far as the labour force survey, which goes back to the late 1970s, there has never been a higher proportion of Australians in work or looking for it than there has been recently.
2h agoFri 12 Dec 2025 at 4:23am
How is Asia performing this afternoon?
The benchmark Nikkei 225 Index closed the morning session at 50,610.04, up 461.22 points or 0.92%, after touching a high of 51,127.69 earlier.
Market heavyweight SoftBank Group is surging more than 5% and Uniqlo operator Fast Retailing is gaining more than 3%.
Among the major exporters, Sony is gaining almost 2%, Canon is adding more than 1%, Mitsubishi Electric is advancing almost 3% and Panasonic is up more than 2%.
In the currency market, the US dollar is trading in the higher 155 yen-range on Friday.
Elsewhere in Asia, New Zealand, Hong Kong, Singapore, South Korea, Malaysia and Taiwan are higher by between 0.2 and 1.3% each, while China and Indonesia are down 0.4 and 0.1%, respectively.
Reporting with RTTNews
2h agoFri 12 Dec 2025 at 4:08am
‘Welcome development’ to keep Tomago open beyond 2028
The Australian Aluminium Council describes the federal government decision to extend the life of the nation’s largest aluminium smelter as “a welcome development”.
The prime minister announced on Friday that a deal was being finalised to keep the Tomago Aluminium smelter in the NSW Hunter Valley open beyond 2028.
The company had previously announced it was weighing up its future due to rising energy prices.
“Importantly, we see a plan which involves both federal and state governments working together with Australian industry,” Australian Aluminium Council CEO, Marghanita Johnson, said.
“[It’s] committing to the hard work needed to pursue the best outcome Tomago Aluminium and its workforce, the broader Hunter community, and the people of NSW who rely on the vital role Tomago plays in maintaining grid stability and reliability.”
Today’s announcement represents a step in the right direction in creating the conditions needed to help restore Australia’s industrial competitiveness, Ms Johnson said.
“Australia must ensure we retain our value-added industrial capability — to maintain our role in global supply chains with significant economic and geostrategic benefits,” she said.
Prime Minister Anthony Albanese said Tomago workers had been told talks are ongoing between the company, state and the Commonwealth to find an energy solution, with details to be finalised in the new year.
2h agoFri 12 Dec 2025 at 4:07am
ASX holding onto gains as we enter final hour of trade
The benchmark S&P/ASX 200 index just touched 6,700 points around 3pm AEDT.
The share market today is being supported by gold stocks.
The materials sector overall is up 2.5%, while the financials have gained 1.6%.
Energy is up 0.3%.
3h agoFri 12 Dec 2025 at 3:24amEx-ANZ CEO wants ‘earliest possible hearing’ of case
Former CEO Shayne Elliott says he wants to resolve his dispute with ANZ as quickly as possible after suing the bank for stripping him of $13.5 million in bonuses.
ANZ said it would defend a case brought by Mr Elliott in the NSW Supreme Court against the bank relating to his remuneration outcomes in the 2025 financial year.
“I will be seeking the earliest possible hearing of my claim before the court and am fully committed to see this process through,” he told Reuters.
The ANZ board cut the bonuses of Mr Elliott and other executives after the bank agreed to pay a $240 million civil penalty to regulators for systemic failures ranging from acting “unconscionably” in a government bond deal to charging dead customers.
Mr Elliott served as the bank’s CEO for almost a decade until May 2025.
“The bank and I had a clear, unambiguous agreement about the terms of my departure,” Mr Elliott said.
“As you would expect, having entered into a contract, my expectation is that those terms would be honoured.”
Mr Elliott said he had offered to forgo his 2024 bonus and incentive payments.
He said he would seek a NSW Supreme Court declaration that ANZ had breached the contract he had with the bank over his leaving terms.
Reporting by Reuters
3h agoFri 12 Dec 2025 at 3:10am
US oil may retest support at $US58.12
US oil may end its bounce around resistance at $US58.42 per barrel and retest support at $58.12.
The contract is riding on a wave C from $60.52, which is capable of travelling to $55.02, its 100% projection level.
Given that the market has climbed above resistance at $57.77, it is likely to test the next resistance at $58.42, a break above which may lead to a gain to $59.22.
On the daily chart, the downtrend remains steady within a falling channel. The contract is falling toward key support at $56.18, the 100% projection level of a wave C from $70.48.
Only a break above $59.56 could the bearish outlook be revised.
Reuters reporting shows the downtrend remains steady within a falling channel. (Refinitiv)3h agoFri 12 Dec 2025 at 2:53amAustralian market arvo snapshot
It’s looking like a pretty positive afternoon for each of the ASX 200 major sectors, all of which are up. Take a look at the snapshot below:
ASX 200 sector summary (Refinitiv)
Overall, 49 stocks are in the red, four unchanged, and 147 stocks gaining.
Boss Energy takes top spot for the afternoon, up +7.2%, while Metcash is down the bottom (-3.1%).
Here are all the top movers:
Top movers on the ASX 200 (Refinitiv)
And all of the bottom movers:
Bottom movers on the ASX 200 (Refinitiv)
3h agoFri 12 Dec 2025 at 2:43am
Market snapshotASX 200: +1.2% at 8,692 points (live values below)Australian dollar: +0.1% at 66.67 US centsWall Street: Dow Jones (+1.3%), S&P 500 (+0.2%), Nasdaq (-0.4%)Europe: DAX (+0.7%), FTSE (+0.5%), Stoxx 600 (+0.6%)Spot gold: -0.2% to $US4,274/ounceOil (Brent crude): +0.7% to $US61.70/barrelIron ore: +0.4% to $US106.15/tonneBitcoin: -0.5% at $US92,462
Prices current around 13:40pm AEDT
Live updates on the major ASX indices:
3h agoFri 12 Dec 2025 at 2:33am
ANZ shares higher but outperformed by other big banks
A quick check in on ANZ shares, after the news that the bank is facing a lawsuit brought by former CEO Shayne Elliott, which ANZ says it plans to vigorously defend.
ANZ shares are currently 0.9% higher, so not too shabby.
However, it is worth noting its big four bank peers are rising even more strongly so far this session:
CBA +2.1%NAB +1.6%Westpac +1.3%
ANZ shares are up 25% year-to-date.
4h agoFri 12 Dec 2025 at 2:11am
Can the market just keep climbing?
It’s Santa Rally season again, without the September and October downturn to support it.
How far has investing moved from fundamentals to now treat, what is basically a decades old meme, as a given?
– Andrew
Hi Andrew,
I’ve read your question.
Here’s the thing. When the big banks and insurance companies on Wall Street were bailed out in 2008, and central bank cash came surging into the financial system like a torrent in 2009, I think the psyche of market participants was forever changed.
It’s called moral hazard.
Risk is easier to take on when you know a rescue is immediately available.
I asked RBA governor Michele Bullock earlier this year if the bank would step-in with cash following some sort of market meltdown.
She said it would provide support if there was any sort of threat to financial stability.
Can the market keep climbing higher? Of course it can.
Should it? That’s not for me to answer.
Will it correct/pull-back? Some analysts and Wall Street titans, including JPMorgan’s Jamie Dimon say it is due for a retreat.
Others remain bullish.
Clear as mud?
Probably.
4h agoFri 12 Dec 2025 at 2:09amTomago Aluminium set to remain open
Australia’s largest aluminium smelter is set to remain open after talks between the company and the Commonwealth.
Tomago Aluminium announced in October that it may no longer be viable to keep operating beyond 2028 due to the rising cost of electricity.
Prime Minister Anthony Albanese visited the smelter near Newcastle today to meet with employees.
Workers were told talks are ongoing between the company, state and the Commonwealth to find an energy solution, with details to be finalised in the new year.
Follow the politics live blog in a new tab for more details:
4h agoFri 12 Dec 2025 at 2:03amASX extends rally, on track for weekly gain
The ASX 200 is 1.1% higher heading into the afternoon, its strongest rise in about 2.5 weeks.
That puts the benchmark index on track to make a 0.6% gain for the week, despite posting losses Monday through Wednesday.
Most sectors are on the rise, led by materials and financials, with technology the only sector in the red, following similar moves on Wall Street.
5h agoFri 12 Dec 2025 at 1:18amEx-ANZ boss Shayne Elliott sues banking giant after losing $13.5m in bonuses
ANZ’s former chief executive Shayne Elliott has launched legal action against the bank, over its decision to slash $13.5 million from his bonus payments, months after he retired.
Mr Elliott filed his lawsuit in the Supreme Court of NSW yesterday.
ANZ’s decision to dock its former CEO’s bonus in the 2024-25 financial year was part of its focus on “corporate accountability”, which arose out of several bank scandals that occurred during his tenure.
In September, ANZ agreed to pay a $240 million fine to the corporate regulator ASIC for essentially ripping off the government and its customers.
Shayne Elliott was ANZ’s CEO for almost a decade. (ABC News: John Gujnn)
In particular, ANZ had mishandled a bond sale, which potentially cost the federal government $26 million, amid “widespread misconduct”, which affected almost 65,000 of its retail customers.
ASIC chair Joe Longo didn’t hold back with his criticms, even going as far as to call some of the bank’s actions “grubby”.
How has ANZ responded?
The banking giant has published a statement defending its position:
“Under the Australian Prudential Regulation Authority’s Prudential Standard CPS 511, ANZ is required to design remuneration in a way that encourages prudent risk management as well as linking executive pay to performance and risk outcomes.
“The Board is also required to consider these matters when deciding to release unvested equity on an annual basis.
“In assessing remuneration outcomes this year, the Board determined that no Australian-based Group Executive would receive short-term variable remuneration, excluding those in acting roles.
“It also resolved that some of the long-term variable remuneration due to vest to Mr Elliott would be adjusted downwards to zero for 2025 and 2026.”
The statement ends with a quote from ANZ’s chairman Paul O’Sullivan, who said:
“The Board has been considered and very deliberate in its assessment of remuneration outcomes. We are confident in our position and we will defend this matter vigorously.”
For more background on the scandals engulfing ANZ, which led to Mr Elliott’s bonus being slashed, you can read this article by Michael Janda and Emilia Terzon:
5h agoFri 12 Dec 2025 at 1:08am
Australian share market going for gold
The share market is performing well today.
At midday AEDT, the benchmark S&P/ASX 200 index had gained 1.1% to 8,685 index points.
The index remains 4.5% below its all-time high achieved in October.
Gold miners are pushing the market up higher today.
The price of the precious metal surged roughly 2% overnight to near $US4,274 ($6,410) an ounce.
It’s since pulled back slightly to $US4,270 in Asian trade.
Newmont is up 5.2%, Northern Star has gained 1.9%, and Evolution Mining rose 3.7%.
Wall Street gave the local market a tailwind overnight, with the Dow Jones Industrial Average hitting another record high.
Oracle disappointed analysts earlier this week with its earnings result but the bears seem to have been contained within trading on the tech-heavy Nasdaq.
5h agoFri 12 Dec 2025 at 1:03am
Australian households ‘in good shape’: Morningstar
The average Australian borrower is much better off now than before the COVID-19 pandemic, according to a report by independent investment research and data provider, Morningstar.
Morningstar’s Industry Landscape analysis for December 2025, focused on our major banks, with the headline: Four giants anchor Australia’s economy.
It was authored by Nathan Zaia, senior equity analyst, and Oriana Pham, associate equity analyst.
“Households [are] in good shape… economic downturns happen, but the average borrower is in a much stronger position than before Covid,” Morningstar wrote in a media release.
“Offset account balances increased materially, and balances with a loan/value ratio above 80% declined.
“While rising unemployment and falling house prices could weaken this position, it points toward loan losses remaining within historical averages.”
The analysis also predicted “mid-single-digit credit growth over the next five years”, while noting that the “upside to credit growth from increased leverage appears modest”.
It also said it expected net interest margins for major banks to average 1.85% by 2027, “not too dissimilar to fiscal 2025 levels”.
6h agoFri 12 Dec 2025 at 12:20am
Austal to weigh ‘opportunities and risks’ of any Hanwha partnerships
A little more detail for Austal’s ASX release, after the treasurer approved South Korean defence company Hanwha doubling its stake in the shipbuilder.
Austal said Hanwha has previously said publicly that “it would seek to partner with Austal on various shipbuilding opportunities and seek a board position” if it was approved to increase its stake.
“The Austal board will closely review the opportunities and risks associated with those partnership and board position requests, should they be made officially, before it determines whether this would deliver demonstrable benefits for all Austal shareholders,” the Australian firm said today.
It listed a slew of relevant factors that would need to be assessed, including feedback from design partners, “the efficient running of the board and its meetings given discussions of sensitive national security topics”, potential additional governance and security measures, and the value and impact of adding an extra director.
6h agoFri 12 Dec 2025 at 12:13amAustal shares drop as South Korea’s Hanwha gets green light to lift stake
Shares in Austal are out of a trading halt and down 4.2%.
South Koren defence company Hanwha has been given the thumbs up to double its stake in the Australian shipbuilder.
Treasurer Jim Chalmers issued a statement on Friday morning to announce the government’s decision, which “was not taken lightly”, and stressed there would be “strict conditions” on Hanwha’s stake in the shipbuilder, given the bid’s security and diplomatic sensitivities.
It comes after months of protracted deliberations, during which the federal government consulted national security agencies.
“Australia welcomes foreign investment and operates a non-discriminatory foreign investment framework to ensure foreign investment is in our national interest,” Mr Chalmers said.
In a statement to the ASX, Austal CEO Paddy Gregg said the treasurer “has made his decision and we respect that decision”.
“With the clarity provided by the decision, the board and management are firmly focused on delivering value for all Austal shareholders…”
The company also noted the “strict conditions” as part of the approval, including around access and storage of sensitive information and who Hanwha may nominate to the board, “if Austal were to accept any such nomination”.
“Austal has not yet been formally advised of these conditions or the approval itself,” it said.
The ABC’s foreign affairs correspondent Stephen Dziedzic has more.