Australian shares dipped 0.8 per cent near noon AEDT, mirroring a broader sell-off across Asian markets following a rout on Wall Street. Japan’s stocks, for instance, plunged into a bear market, signalling significant global investor concern. The market downturn was largely attributed to the “Democratic wave” from the US midterms, which reportedly crushed the artificial intelligence (AI) trade, impacting companies like Atlassian and Iren. US President Donald Trump publicly blamed the Democrats for the market plunge, describing it as “a sad thing to watch.”
In corporate news, Australian investment bank Macquarie Group has incurred a $100 million capital impost. This development follows consistent complaints from Commonwealth Bank chief Matt Comyn, who argued that Macquarie’s unique structure afforded it a competitive advantage. Meanwhile, national carrier Qantas has indicated that higher airfares are likely as its fuel bill is set to rise by more than $1 billion. Qantas, Australia’s largest airline, provides domestic and international passenger and freight services, alongside a loyalty program and travel products. The airline stated it would continue to cut capacity and increase prices, citing sustained high oil prices stemming from ongoing conflict in the Middle East.
Further impacting the local business landscape, Victoria’s $1 billion Golden Beach gas storage project, backed by Origin Energy, has entered administration just days after receiving approval. This collapse raises fresh concerns regarding the state’s ability to meet peak winter gas demand. On the technology front, interest is growing among Australian investors regarding a potential initial public offering (IPO) for US AI giant Anthropic. Anthropic is a US artificial intelligence giant developing advanced AI models, including its prominent conversational AI assistant, Claude.
