ASX200 futures were down 8 points (-0.08%) at 8:30 am AEST, pointing to a modest decline at the open despite Wall Street’s continued rally. Sentiment was tempered by the Moody’s downgrade of the US credit rating, leading to a dip in US futures.

The rating downgrade muted local optimism over expectations the Reserve Bank of Australia will cut interest rates on Tuesday, following a slight uptick in unemployment last week and soft wage growth.

ASX performance and small caps

The ASX200 closed 0.6% higher on Friday, supported by gains in the energy and materials sectors. Today’s futures suggest a slight pullback as global credit concerns mount.

Small caps also saw positive movement Friday, particularly in the tech and biotech industries.

In small caps news:


Elixir Energy Ltd appointed Kingsley Rudeforth, Strike Energy’s former drilling superintendent, as CEO. His appointment is part of Elixir’s strategic transition towards the development phase of its Grandis Gas Project in Queensland’s Taroom Trough.
Resource Mining Corporation Ltd announced in an update that it is progressing copper-gold exploration at its Mpanda Project in Tanzania, with high-grade rock chip samples up to 36.7 grams per tonne of gold and 12% copper returned from the Kabungu prospect.
AuKing Mining Ltd and Orion Resources Ptd Ltd have signed a non-binding indicative term sheet for an $8 million, three-year senior secured credit facility with US-based Nebari Natural Resources Credit Fund II to support Orion’s acquisition of the Cloncurry Gold Project, advancing the project toward near-term gold production.
Constellation Resources Ltd has confirmed the thermogenic hydrogen potential of its Edmund-Collier Project in WA, with TOC and thermal maturity analysis indicating organic-rich, overmature shale units across the basin.
International Graphite Ltd has received positive US Department of Defense feedback on its proposal for up to US$7.5 million in feasibility‑study funding to advance its Springdale graphite project and integrated mine‑to‑market strategy.

Wall Street wrap

Wall Street ended the week on a strong note, with the S&P 500 erasing its 2025 losses to end up 0.7% at 5,958.38 – and up 5.3% for the week – led by gains in the health care sector. The Nasdaq Composite was up 0.5% to 19,211 and posted a 7% weekly increase, driven by strong performance in tech stocks, and the Dow Jones index rose 0.8% to 42,655.

Nvidia led the tech rally, jumping 2.6% to another record high ahead of this week’s first-quarter earnings. The stock surged 15% last week due to substantial deals from Saudi Arabia and the United Arab Emirates.

Tesla also climbed for the fourth consecutive week, up 1.9%, after appointing Chipotle’s longtime executive Jack Hartung to its board. Walmart rallied 1.2% following an earnings beat.

The rally was further underpinned by a resurgence in M&A activity, exemplified by Charter and Cox’s $34.5 billion deal. The volatility index fell to 176.24, back to pre-‘Liberation Day’ levels.

However, Moody’s downgraded the US sovereign credit rating from AAA to Aa1, citing concerns over the nation’s growing debt and budget deficits. This move caused a slight uptick in 10-year Treasury yields to 4.48%, indicating potential volatility ahead in bond markets.

Commodities and currencies

Oil prices rose 1.4% on Friday for a second straight week of gains on the back of trade de-escalation between the US and China, despite expectations of higher OPEC+ output.

Iron ore prices remain under pressure, with futures sliding US34 cents or 0.3% to US$100.09 a tonne on Friday, although prices remained up 1.6% over the week. Forecasts are now suggesting a range between $80 and $100 per tonne amid subdued global demand and increasing supply.


Gold: US$3,203.79 an ounce, up 0.9%
Copper: US$9,102 a tonne, down 2.2%
Oil (WTI futures): $62.49 a barrel, up 1.4%
AUD/USD: 0.6410, flat

Looking ahead

Market participants will closely monitor the RBA’s decision on interest rates Tuesday after its two-day monetary policy meeting beings today, with market consensus expecting a 25-basis-point cut. This would likely influencing rate-sensitive sectors such as property, utilities and consumer goods.

Developments in global trade tensions, particularly between the U.S. and China, may further impact investor sentiment. Data on China retail sales, industrial production and fixed asset investment are all due today. Alcoa Corporation, Macquarie Group and Wam Global trade ex-dividend.