ASX Slips as Tech and Energy Lead Declines; Gold Stocks Sparkle on Safe-Haven Demand

Key Highlights:

• ASX 200 fell 0.63% to 8,334.2; All Ords down 0.62%
• Tech sector dragged by 1.24% drop; Energy and Discretionary also hit
• Gold stocks rallied, with XGD index up 1.28% as precious metals shine
• Global markets retreat after sharp selloff on Wall Street

Australian shares extended their pullback on Thursday, with the S&P/ASX 200 shedding 52.8 points (-0.63%) to close at 8,334.2, weighed down by a sharp drop in technology and energy stocks. Broader market weakness was mirrored in the All Ordinaries, which slipped 0.62% to 8,558.0, while the ASX Small Ordinaries edged down 0.32%.

The sell-off follows a turbulent session on Wall Street, where the Dow Jones plunged 816 points (-1.91%) and the S&P 500 lost 1.61%, reflecting investor anxiety over a worsening macro backdrop, persistent inflation, and fading hopes of near-term rate cuts.

Locally, Information Technology (-1.53%) led sectoral declines, followed closely by Discretionary (-1.43%) and Energy (-1.27%). The ASX All Technology Index (XTX) dropped 1.25% to 3,884.3 as high-valuation growth names continued to lose favour amid rate uncertainty.

Gold stocks, however, shone bright, with the XGD index rallying 1.28%. The move followed a strong surge in bullion prices, with gold up 1.83% to $3,292.60/oz and silver jumping 2.32%. Bellevue Gold (+1.41%) and Antipa Minerals (+0.79%) were among the key beneficiaries, as investors rotated into defensive assets.

In company-specific moves, Australian Agricultural Company (AAC) led the day’s gainers, rising 4.17%, while Aft Pharmaceuticals (AFP) tumbled 5.88% to top the laggards list.

Despite Thursday’s weakness, volatility remained contained. The S&P/ASX 200 VIX Index held steady at 12.0, suggesting investors are not yet bracing for extreme short-term swings.

On the currency front, the Australian dollar slipped marginally to US$0.6420, while gains in gold and safe-haven demand helped buoy broader commodity-linked sentiment. Meanwhile, Brent crude hovered around $65.62, up 0.12%, offering little relief to under-pressure energy names.

Looking ahead, traders remain cautious, with global sentiment on edge amid persistent inflation concerns, U.S. fiscal headwinds, and a choppy commodity outlook. While the ASX remains resilient near multi-year highs, today’s losses underscore the market’s sensitivity to external shocks and sector-specific headwinds.