Australian Residential Property Market
The Australian residential property market showed signs of stabilization, with national home values holding steady at $11.2 trillion. While capital city values declined by 0.4%, regional areas saw a 1.0% increase. Properties took longer to sell, with the median time on the market rising to 42 days. Rental growth slowed significantly, with annual rental values up 4.1%, compared to 8.3% a year earlier. High-end markets showed renewed momentum, with the upper quartile of capital city values rising 0.2% in February. Chronic housing shortages and rising construction costs continue to drive upward pressure on prices and rents.
Australian Share Market
The Australian share market experienced a cautious week, with the S&P/ASX 200 index closing slightly higher at 7,982. Gains in financials and energy sectors offset losses in technology stocks, which were impacted by global trade uncertainties. Gold and iron ore miners outperformed, benefiting from a surge in commodity prices. Consumer staples and utilities sectors also showed strength. However, technology stocks like WiseTech and Xero faced pressure, with WiseTech falling 3%. The market remained sensitive to international trade developments, including U.S. tariff announcements.
Global Share Market
Globally, markets were volatile due to concerns over U.S. tariffs and inflation. The S&P 500 and Nasdaq Composite ended the week lower, with technology stocks underperforming. European and Asian markets also faced declines, while gold prices reached record highs, reflecting investor caution. The MSCI Emerging Markets Index fell by 1.74% for the week. Trade fears weighed heavily on investor sentiment, with U.S. auto tariffs expected to impact global economic growth. Defensive sectors like consumer staples and utilities performed better, while technology and communication services sectors struggled.
Summary
Global: Tech-led gains in US, mixed in Asia.
Property: Steady demand, regional divergence.
ASX: Slight pullback on mining drag.
