Energy stocks pushed the sharemarket to its lowest level since December, as concerns intensified over the impact of US tariffs on crude oil demand and sent prices tumbling.

The S&P/ASX 200 slipped 0.6 per cent, or by 46.4 points, to 8094.70 on Thursday afternoon. The All Ordinaries dipped 0.4 per cent. Seven of 11 sectors were in the red.

Stocks diverged from Wall Street, with US equities higher after US President Donald Trump announced he would pause tariffs on the car sector – integrated between Canada, the US and Mexico – for one month. Trump has nevertheless kept a hard line on the 25 per cent tariffs on other Canadian and Mexican imports imposed earlier this week. That sent the US dollar tumbling as traders feared the impact on economic growth, while the Australian dollar pushed above US63¢.

Brent slipped below $US70 a barrel as traders feared tariffs on Canada and Mexico – two of the biggest exporters of oil to the US – would hurt demand for crude just as OPEC+ looks to increase supply from April. Santos slipped 1.9 per cent to $6.13 and petrol producer Ampol 1.8 per cent to $24.66. And energy giant Woodside slumped 4.7 per cent to $22.98 after the company traded ex-dividend.

IG market analyst Tony Sycamore said a culmination of headwinds – “tariffs, US growth concerns, the potential lifting of US sanctions on Russia, and OPEC+ opting to increase output” – had together pushed the ASX energy sector to its lowest level in over three years.

Performance from miners was mixed. Rio Tinto fell 2.2 per cent to $114.92 after the company traded ex-dividend, while Fortescue gained 1.1 per cent to $16.11. Gold miners advanced, as bullion prices held above $US2900 an ounce and tariff concerns boosted haven demand. Newmont lifted 1.4 per cent to $69.25.

Commonwealth Bank dropped 1.8 per cent to $153.59 after the stock went ex-dividend on Thursday.

Meanwhile, a global bond sell-off sent Australia’s 10-year yield soaring to 4.48 per cent. The sell-off was spurred by traders fleeing German bonds, and Japan’s 10-year yield touching 1.5 per cent for the first time since June 2009.

Stocks in focus

In corporate news, Star Entertainment, whose shares are suspended from trading, will dispose of its Brisbane casino and save itself from voluntary administration under an imminent deal with its Hong Kong investors.

West African Resources rallied 11.9 per cent to $2.11 after its profit and gold sales soared in 2024.

Myer jumped 5.3 per cent to 79¢ after Morgan Stanley declared it sees a pathway for the retailer’s shares to double under the company’s new leadership and strategy.

Mesoblast tumbled into the red on its first day of trading in the ASX 200, slipping 8.3 per cent to $2.20.

Amcor slipped 1.6 per cent to $15.80, paring heavy losses earlier in the session after it unveiled plans to reorganise its business following its $13 billion merger with Berry Group and hinted it may appoint a new chief financial officer.

Air New Zealand slipped 1.8 per cent to 55¢ after announcing Greg Foran was to leave the airline in October following a five-year stint as chief executive.