The S&P/ASX 200 edged down 0.1% to close at 8,551 on Thursday, after pausing in the previous session, weighed by tech losses after software giant Xero fell on a discounted capital raise to fund its Melio Payments acquisition.
Technology stocks dropped 2.1% to a three-week low, led by a 5.3% slide in Xero after it resumed trading following its $3 billion Melio Payments deal, funded by a discounted A$1.85 billion capital raise. Broader sector moves were mixed, with industrials down 0.4%, real estate off 0.7%, and financials flat after recent highs. Conversely, miners rose 0.1% on firmer copper prices, and healthcare gained 0.4%. On the geopolitical front, sentiment improved as the fragile Israel–Iran ceasefire appeared to hold, with traders focused on upcoming US–Iran nuclear talks and a looming reciprocal tariff deadline. Attention also turns to May retail sales data due next week, which could reinforce concerns over Australia’s growth outlook and support the case for a July rate cut.
