ASX slides lower, miners and tech stocks advance

Updated June 1, 2026 — 10:46am,first published June 1, 2026 — 5:23am

The Australian sharemarket has made an unsteady start to the week amid more uncertainty over a peace deal in the Middle East.

The S&P/ASX 200 slid by 17.8 points, or 0.2 per cent, to 8713.9 in early trade, with nine of 11 industry sectors in negative territory. The US and Iran traded messages over the weekend seeking changes to a draft agreement that would extend a ceasefire and open the vital Strait of Hormuz, but it was unclear if the sides were making much progress.

Energy stocks are weaker this morning as oil prices fell sharply over the weekend before steadying this morning. Brent, the international standard, was fetching just over $US93 a barrel at 10.20am AEST after closing at its lowest since mid-April on Saturday, while West Texas Intermediate was near $US89. Woodside Energy lost 1.8 per cent in early trade while Santos fell 1.4 per cent. Among the refiners, Ampol shed 2.1 per cent and Viva Energy retreated 1.7 per cent.

“Neither Iran nor the US are capitulating or compromising on their red lines for an agreement,” said Hamzeh Al Gaaod, an independent economist for the Middle East and North Africa region. Oil prices are likely to continue moving through a “statement cycle,” with prices swinging between optimism and caution as new headlines emerge, he said.

Mining stocks advanced with BHP up 0.5 per cent, Fortescue 0.8 per cent and Rio Tinto 1.3 per cent. Gold miners advanced, with Northern Star rising 0.7 per cent and Evolution Mining 1.7 per cent higher.

Financial stocks are weaker with Commonwealth Bank falling 1 per cent, National Australia Bank 0.2 per cent, Westpac 0.3 per cent and ANZ Bank 0.8 per cent.

Technology stocks bounced after the sector sent Wall Street higher on Friday. WiseTech soared 5.4 per cent in early trade, Xero 4.7 per cent, Technology One 4 per cent and NEXTDC 1.8 per cent.

The Australian dollar was trading at US71.82¢ at 10.02am AEST.

On Friday on Wall Street, the S&P 500 rose 0.2 per cent, notching its seventh consecutive gain and ninth straight winning week — the longest such streak since 2023. The benchmark index set an all-time high for the fourth day in a row. The Dow Jones gained 0.7 per cent and the Nasdaq composite added 0.2 per cent. The Dow and Nasdaq also reached new heights after posting record highs earlier in the week.

Big technology stocks have been behind much of Wall Street’s record-breaking streak. Their pricey stock values give them more influence in directing the market higher or lower. In May alone, technology stocks with