Australian Shares Fall as CSL Slumps, Bank Gains Limit Market Drop
Australian shares fell as biotech giant CSL hit its lowest level in nearly seven years. The delay in spinning off its vaccine unit weighed heavily on the healthcare sector. Despite this, strong performances by major banks softened the overall market decline.
The S&P/ASX 200 index dropped 0.48% to close at 9,012.50 points, its weakest finish in more than a week. Healthcare stocks plunged 7.4%, marking their steepest decline since August. CSL’s shares tumbled 15.9% after it cut its guidance and postponed the US spinoff of its Seqirus vaccine division.
According to Anna Wu, investment specialist at VanEck Australia, profit taking and a lack of new catalysts hurt the sector. However, she added that improving global trade conditions could support a recovery in early 2026.
Banks Cushion Losses
Gold and mining shares also dragged on the index. Gold miners fell 4.6% after bullion prices slipped below $4,000 an ounce. Evolution Mining lost 3.9%, while Northern Star Resources declined 3.1%. The broader mining sub-index retreated 2.3% as investors booked profits following three sessions of gains.
Craig Sydney from Shaw and Partners said that gold prices weakened due to easing US China trade tensions and profit taking after a strong run.
Energy stocks declined 1.7%, tracking softer oil prices after six days of gains. Woodside Energy and Santos both dropped, falling 1.7% and 2.2%, respectively. Technology shares also came under pressure, shedding 3.2%. WiseTech Global plunged 17.5%, reaching its lowest level since April.
However, the decline was limited by gains in financial stocks. The banking sector rose 1.3%, with National Australia Bank jumping 2.5%. After the market closed, Australia’s central bank signaled that a sharp rise in inflation could delay potential rate cuts.
Meanwhile, across the Tasman Sea, New Zealand’s S&P/NZX 50 index ended slightly higher at 13,402.66 points.
