Morning Wrap: ASX 200 to fall, S&P 500 fades early strength, ACCC releases supermarkets report

In a nutshell:

• Major US benchmarks opened higher but struggled to hold on to gains and closed slightly lower

• Several central bank decisions overnight including a hold from the Bank of England, Sweden and Taiwan

• Paladin Energy shares under pressure after its Langer Heinrich operations were suspended due to unseasonal heavy rains

Let's dive in.

S&P 500 SESSION CHART

S&P 500 gives back early gains to close slightly lower (Source: TradingView)

OVERNIGHT MARKETS

• US stocks finished lower after fading morning strength and trading slightly weaker through to close

• Uneventful session with no clear narrative, highlighting oversold conditions post-correction, dovish Fed signals and the absence of Trump tariff threats

• New leveraged ETFs skyrocket and plummet, wiping out billions in gains (WSJ)

STOCKS

• Nvidia CEO Huang pledges to invest hundreds of billions of dollars on chips and electronics in US over next 4 years (FT)

• European Commission pushes ahead with regulatory action against Apple and Google despite tensions with Trump (FT)

• Nike expected to post worst revenue fall in 5 years on softening consumer demand for non-essentials (RT)

• SoftBank to acquire chip designer Ampere, valuing company at $6.5bn (BBG)

• X raises close to $1bn in new equity, valuing company similar to when Musk acquired it in 2022 (BBG)

CENTRAL BANKS

• Bank of England keeps rates on hold (8-1 vote), warns against assumptions for cuts in face of uncertainty (RT)

• Trump calls for Fed to cut rates, citing easing tariffs as a positive signal (BBG)

• Switzerland cuts rates, citing 'low inflationary pressure and the heightened downside risks to inflation' (CNBC)

• Sweden maintains rate at 2.25% and reiterated it's finished with the easing cycle, sees no changes to rates throughout its forecast period that runs into early 2028 (BBG)

• Taiwan holds rates, trims 2025 growth forecast to 3.05% from 3.13% (RT)

• Brazil hikes by 100 bps to 14.25%, the highest level since October 2016 amid elevated inflation (BBG)

TRADE AND GEOPOLITICS

• Trump's proposal to hike port fees on China-linked ships disrupts coal exports, adds to uncertainty for agricultural producers (RT)

• Copper price hits $10,000 on Trump's push for tariffs on the crucial industrial metal (BBG)

• Trump says negotiations to end war in Ukraine on track, floats US takeover of Ukraine nuclear plants (FT)

• Putin wants Trump to formally recognize all captured Ukrainian territory as part of Russia (RT)

• China increasing state support for domestic mineral exploration to achieve resource self-sufficiency (FT )

ECONOMY

• New Zealand economy emerges from recession following RBNZ rate cuts, 4Q24 GDP up 0.7% (BBG)

• Australian employment unexpectedly dips 52,800 vs. expectations of a 30,000 gain, sees markets dial up RBA rate cut odds (BBG)

ASX TODAY

• ACCC issues supermarkets inquiry final report (ACCC)

  • Made 20 recommendations after finding that Aldi, Coles and Woolworths are some of the most profitable supermarket businesses among global peers

  • Recommendations include clearer pricing practices, greater transparency for suppliers and reforms to planning and zoning laws

• Nine Entertainment begins negotiations selling controlling stake in Domain to CoStar, bankers suggest they would be willing to accept $4.65 per share for its 60% stake (AFR)

• Paladin Energy Langer Heinrich Mine operations temporarily suspended due to unseasonal heavy rains (PDN)

• Telix Pharmaceuticals NDA for Gozellix approved by FDA (TLX)

• Westpac evaluates future of St George and BankSA subsidiaries as it considers moving large business banking customers to main brand (AFR)

WHAT TO WATCH TODAY

• No man's land: Overnight markets saw little action, with slight weakness in sectors driving the recent bounce (materials, tech) and gains in energy and value. The market remains in "no man's land"—rebounding from correction levels but lacking the strength to confirm a bottom. Plenty of overhangs remain, including further tariff volatility, Ukraine peace talks, and earnings revisions.

BROKER MOVES

• Cleanaway Waste Management upgraded to Buy from Overweight; target up to $3.10 from $3.05 (JARD)

• Judo Capital upgraded to Add from Hold; target remains $2.08 (MORG)

• Nanosonics downgraded to Underweight from Neutral; target up to $4.0 from $3.90 (JPM)

• Webjet Group upgraded to Outperform from Hold; target $ 1.00 (CLSA)

Stocks trading ex-dividend: 

• Fri 21 Mar: Latitude Group (LFS) – $0.03, Vita Life Sciences (VLS) – $0.065

• Mon 24 Mar: Lycopodium (LYL) – $0.10, Naos Emerging Opportunities Company (NCC) – $0.02, New Hope Corporation (NHC) – $0.19, NRW Holdings (NWH) – $0.07

• Tue 25 Mar: Adrad (AHL) – $0.014, Cash Converters International (CCV) – $0.01, Civmec (CVL) – $0.025, Mader Group (MAD) – $0.04, Southern Cross Electrical Engineering (SXE) – $0.025

• Wed 26 Mar: Flight Centre (FLT) – $0.11

• Thu 27 Mar: Australian Clinical Labs (ACL) – $0.035, Eagers Automotive (APE) – $0.50, Ipd Group (IPG) – $0.064, Maas Group (MGH) – $0.035, Salter Brothers Emerging Companies (SB2) – $0.02, Wiseway Group (WWG) – $0.004

• Fri 28 Mar: Bravura Solutions (BVS) – $0.105, Centuria Industrial REIT (CIP) – $0.041, Centuria Office REIT (COF) – $0.025, Charter Hall Long Wale REIT (CLW) – $0.063, Comms Group (CCG) – $0.001, Dexus Convenience Retail REIT (DXC) – $0.051, Dexus Industria REIT (DXI) – $0.041, Garda Property Group (GDF) – $0.018, Rural Funds Group (RFF) – $0.029

Other ASX corporate actions today: 

• Dividends paid: Australian Ethical Investment (AEF), ASX (ASX), Atlas Pearls (ATP), Australian Unity Office Fund (AOF), Beacon Lighting (BLX), BSP Financial Group (BFL), Ebos Group (EBO), Heartland (HGH), Ignite (IGN), IPH (IPH), Jupiter Mines (JMS), MyState (MYS), Nickel Industries (NIC), Pinnacle Investment Management (PNI), Platinum Asset Management (PTM), Praemium (PPS), Pro Medicus (PME), PWR Holdings (PWH), Resimac (RMC), Sky Network Television (SKT), Smartgroup (SIQ), TPC (TPC)

• Listing: None

• Earnings: None

• AGMs: None

Economic calendar (AEDT):

• 10:30 am: Japan Inflation Rate (FEB)