The Australian sharemarket is trading modestly higher around midday, with the S&P/ASX 200 up 32.7 points, or 0.39%, to 8398.6 at 12.25pm AEDT, after paring earlier gains of more than 100 points. Sentiment has been volatile as investors respond to mixed signals around the Middle East conflict, with oil prices moving back above US$100 a barrel and uncertainty lingering over potential de-escalation between the US and Iran. The early rally faded as US futures turned lower, highlighting ongoing fragility in global risk appetite.
Sector performance is mixed, with materials rebounding on stronger copper prices while gold has eased to around US$4348 an ounce, weighing on earlier gains in bullion. Energy stocks remain under pressure despite stabilising oil prices, while banks are mixed as broker rating changes drive stock-specific moves. In corporate news, Downer EDI secured a $500 million facilities management contract, while Myer reported strong first-half profit growth but reversed earlier gains, and KMD Brands rejected a takeover proposal, citing concerns over shareholder value.
In other company news,
Mount Ridley defines large-scale heavy rare earth resource at Esperance project
Mount Ridley Mines (ASX: MRD) reported a JORC Inferred Mineral Resource of 122.5Mt at 889ppm TREO at its Mt Ridley Project in Western Australia, including 44,610 tonnes of contained heavy rare earth oxides. The resource features a high 41% HREE ratio, with exposure to key magnet elements such as dysprosium and terbium. The result supports the project’s potential to supply critical minerals into global clean energy and defence supply chains.
Stakk secures $7.85m US contract as AI infrastructure demand accelerates
Stakk (ASX: SKK) secured a A$7.85 million contract with a US enterprise client, marking its largest deal to date and providing near-term revenue visibility. The agreement includes upfront payments and supports deployment of its AI-driven platform across regulated industries. The deal strengthens the company’s expansion into high-value US markets.
Activeport gains exposure to AI infrastructure growth through Submer transaction
Activeport Group (ASX: ATV) said demand for its GPU orchestration software is expected to grow following Submer’s acquisition of partner Radian Arc. The transaction strengthens its position within an integrated AI infrastructure ecosystem spanning hyperscale and edge networks. Activeport retains exposure through its existing partnership and equity interest.
Etherstack reports revenue uplift on UK government project
Etherstack plc (ASX: ESK) agreed to a scope change on its primary UK project, delivering a revenue uplift of £1.53 million (US$2.05 million). The additional scope was approved with the government, with associated costs incorporated into the revised agreement. The company said the incremental professional services revenue is expected to contribute positively to FY27 earnings, with further upside potential as projects of this nature typically expand in scope, duration and value over time.
