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ASX 200 to fall; Wall St slips ahead of Powell speech

Published 23/08/2024, 09:07 am
© Reuters.
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Investing.com - Australian shares are expected to open lower on Friday, following losses on Wall Street, where investors were urged by Federal Reserve policymakers to temper their expectations for interest rate cuts.

ASX 200 Futures were last trading 0.6% lower.

Among major US indices, the Dow Jones Industrial Average fell 0.4%, S&P 500 lost 0.9% and the NASDAQ Composite lost 1.7%.

Tesla Inc (NASDAQ:TSLA) dropped 5.7%, leading all seven of the "magnificent seven" lower in afternoon trade. The CBOE Volatility Index rose to 17.55.

Federal policymakers, including the Boston Fed’s Susan Collins, indicated that a pivot to rate cuts is approaching but emphasised that any cuts would be "gradual" and "methodical."

The key focus is on Fed Chairman Jerome Powell, who is set to speak at the central bank’s annual forum in Jackson Hole, Wyoming, at midnight on Saturday AEST.

Among local companies, Fisher & Paykel Healthcare Ltd (ASX:FPH) raised its profit guidance for the financial year 2025.

Lender Latitude Group Holdings Ltd (ASX:LFS) announced that its cash profit grew by 140% to $27 million for the six months ending June 30.

Lotto operator Jumbo Interactive Ltd (ASX:JIN) increased its dividend by 26.7% and highlighted soaring profits.

On the bond markets, Australia 10-Year and 2-Year rates were at 3.944% and 3.617%, respectively.

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