The Australian share market experienced broad losses near noon today, driven primarily by declines across the technology and health sectors. This downturn comes as DroneShield’s share price took a significant hit following the announcement of an ASIC investigation into the counter-drone technology firm. Simultaneously, Treasurer Jim Chalmers has signalled an ambitious federal budget set for this evening, with housing reform a key focus expected to shape economic discussions.
DroneShield, which develops advanced counter-drone systems for defence and security applications, has seen its stock plunge after revealing it is under investigation by the Australian Securities and Investments Commission. The company informed investors that the probe centres on a period in November when it published incorrect contract information and its chief executive officer sold shares. This review has cast a shadow over the firm’s recent market activity.
Treasurer Chalmers indicated that the pace of change would accelerate with tonight’s budget, particularly concerning housing affordability and access. Anticipated reforms to the Capital Gains Tax (CGT) discount and negative gearing have drawn sharp criticism from the Coalition, who argue against their potential impact. Economists estimate these widely expected changes could lead to a fall in house prices by up to four per cent, a move that experts suggest could make homes slightly more accessible for younger buyers. Amidst these significant economic developments, resources giant BHP has reportedly become the ASX’s biggest company by market capitalisation, while biotechnology firm CSL has faced a downgrade from analysts, adding to the day’s market movements. Former Treasurer Peter Costello is also set to join the Helloworld board.
