What's Affecting Markets Today
Nikkei Hits Fresh Record as Real Estate, Tech Lead Gains; Santos Tumbles in Australia
Japan’s Nikkei 225 rose 1.13% on Thursday to a new all-time high, buoyed by strength in real estate and technology shares. Resonac Holdings surged more than 10%, while semiconductor equipment maker Screen Holdings climbed 4.3% and Kirin Holdings gained 4.3%. Chipmakers also rallied across the region following reports that China has banned Nvidia’s artificial intelligence chips. SK Hynix advanced 5.5%, Tokyo Electron rose 4.5%, Advantest added 3.5% and Samsung Electronics gained 2%. Taiwan Semiconductor Manufacturing Co rose 0.8%.
Elsewhere in Asia, the Kospi added 0.96%, while Hong Kong’s Hang Seng Index slipped 0.17% and the mainland CSI 300 declined 0.23%. Australia’s S&P/ASX 200 dropped 0.51%, led by a sharp 11% fall in Santos after Abu Dhabi’s ADNOC abandoned its A$18.7 billion takeover bid.
The moves came after the US Federal Reserve cut rates as expected, describing it as a “risk management” step. Policymakers signalled two further cuts in 2025, followed by gradual easing into 2027. Meanwhile, the Bank of Japan began its policy meeting, with most economists expecting rates to remain unchanged.
ASX Stocks
ASX 200 8,753.4 (-0.72%)
ASX Slips as Energy Sector Sinks; Santos Plunges on Failed Takeover
The Australian sharemarket traded lower on Thursday afternoon, dragged by sharp losses in energy stocks after a $36 billion takeover bid for Santos collapsed. By 2pm AEST, the S&P/ASX 200 had fallen 50.7 points, or 0.6 per cent, to 8767.8, with 10 of 11 sectors in the red despite the US Federal Reserve’s first rate cut of 2025.
Santos slumped 12 per cent after Abu Dhabi National Oil Co withdrew its offer, prompting Jarden to downgrade the stock to “underweight.” The broader energy sector fell 5.8 per cent, with Woodside down 5.7 per cent, Beach Energy 3.8 per cent lower and Karoon off more than 4 per cent. Oil prices added pressure, with Brent slipping below US$68 a barrel.
Stocks with significant US exposure also retreated as the Fed signalled a cautious policy path. James Hardie shed 3.6 per cent, Transurban fell 2 per cent and Ramsay Healthcare eased 2 per cent. In corporate news, Macquarie was little changed after reports of aborted takeover talks with Carlyle Group, while Endeavour dipped 0.5 per cent following leadership changes at its BWS chain.
Leaders
SLX SILEX Systems Ltd (+14.20%)
NXL NUIX Ltd (+9.51%)
CYL Catalyst Metals Ltd (+7.22%)
VUL Vulcan Energy Resources Ltd (+5.18%)
BCI BCI Minerals Ltd (+4.23%)
Laggards
STO Santos Ltd (-12.42%)
WDS Woodside Energy Group Ltd (-6.20%)
4DX 4DMEDICAL Ltd (-5.98%)
MAD Mader Group Ltd (-5.38%)
MFG Magellan Financial Group Ltd (-4.66%)