‘Uncertain macro backdrop’: ASX slips ahead of jobs figures

Australia’s sharemarket dropped during Friday trading, as cautious investors await the release of US economic data and Trump and Musk have a public spat.

Cautious investors sold down the ASX on a quiet day of trading on Friday, despite the US and China resuming trade talks, as markets await critical jobs data out of the US.

The benchmark ASX 200 index slipped for the second consecutive day of trading falling by 23.20 points or 0.27 per cent to 8,515.70. The ASX200 has now recorded four consecutive weekly gains.

The broader All Ordinaries fell during Friday’s trading, down 26.70 points or 0.30 power cent to 8,741.90.

The Australian dollar also is down 0.21 per cent and is now buying 64.95 US cents.

Nine of the 11 sectors fell during Friday’s trading Picture: NewsWire / Max Mason-Hubers

On an overall bleak day on the market, nine of the 11 sectors finished in the red with just energy, industrials and utilities gaining ground.

Woodside Energy gained 0.97 per cent to $22.94, while Santos is up 0.61 per cent to $6.58 as the price of Brent crude oil continues to recover over the week’s trading.

Industrials also had a strong day led by Qantas Airways which jumped 3.46 per cent to $10.76 despite the news Virgin Australia is looking to re-list.

Transurban shares also rose 0.63 per cent to $14.38, and Computershares Limited rose 0.83 per cent to $41.08.

CBA shares slipped from its record highs down 0.79 per cent to $179.90, Westpac fell 0.24 per cent to $33.18 and ANZ traded 0.44 per cent lower to $29.50.

NAB was the only big four bank to finish in the eking out a 0.18 per cent gain and to close Friday’s trading at $38.58.

eToro market analyst Josh Gilbert said initially there was optimism on the markets following “very good” trade talks between Washington and Beijing.

But this quickly changed after a public spat between former friends President Donald Trump and Tesla chief executive Elon Musk.

“This will provide a hit to overall market sentiment, particularly tech, but may not be long-lasting for anyone other than Tesla,” Mr Gilbert said.

Australia’s sharemarket has now risen four consecutive weeks in a row. Picture: NewsWire / Max Mason-Hubers

The overall lower volumes on the ASX comes as investors await the latest payroll data out of the US.

“The uncertain macro backdrop continues to provide a hurdle for risk-on sentiment, and cooling US economic data is leaving investors unassured,” Mr Gilbert said.

“With the labour market heavily in focus, the print this evening will be essential for market direction.”

Mr Gilbert said negative economic data released throughout the week could actually help drive the ASX 200 higher.

“The weaker-than-expected GDP data this week also drives the expectation for further rate cuts, further supporting the market optimism,” he said.

In corporate news, Worley shares fell 0.46 per cent to $13.08 despite the business announcing it had won a contract with Glenfarne to help support engineering work on its Alaska LNG pipeline.

Shares in gold miner West Cobar Metals soared 60 per cent to $0.024 after announcing it has completed the acquisition of the Mystique Gold Project in Fraser Range, Western Australia.