Futures Weaker as Wall Street Slips, Key Data Ahead

1. ASX Futures Indicate a Softer Start

The ASX 200 ended Friday marginally lower, slipping 6.9 points (–0.08%) to 8,973.1. Mesoblast (–9.9%) and Pexa Group (–9.3%) were the weakest names, leaving the index virtually unchanged for the week and around 0.9% below its 52-week high.

This morning, ASX futures are pointing 25 points lower to 8,912, suggesting the local market may open in the red. The weaker lead comes from Wall Street, where all three U.S. indices finished lower on Friday as investors reduced risk ahead of key economic releases this week.

2. Wall Street Ends Lower

U.S. equities retreated:

Dow Jones –0.20% to 45,545

S&P 500 –0.64% to 6,460

Nasdaq –1.15% to 21,456

The decline was led by technology stocks, which dropped 1.6%. Dell Technologies slumped after disappointing earnings guidance highlighted slowing demand in enterprise spending. Nvidia also fell as traders locked in profits following its recent rally, with concerns that restrictions on chip sales to China could weigh on forward revenue. Together, these two names dragged on broader tech sentiment and added pressure to the Nasdaq.

Technology (–1.6%), consumer discretionary (–1.1%), and industrials (–1.0%) weighed most, while healthcare (+0.7%), consumer staples (+0.6%), and energy (+0.5%) offered some support.

Despite Friday’s dip, the S&P 500 logged its fourth straight monthly gain in August, highlighting underlying resilience. Focus now turns to this week’s U.S. PCE inflation and non-farm payrolls, both of which will help shape expectations for the Fed’s September decision.

3. Commodities Snapshot

Gold climbed +0.9% to US$3,447/oz, breaking through technical resistance.

Silver advanced +1.8% to US$39.7/oz, continuing its recent uptrend.

Brent crude oil steadied around US$67.5/bbl.

Lithium miners gained, with the Sprott Lithium Miners Index up +2.2%, while uranium equities remained near recent highs.

4. Corporate Earnings in Focus

No company is announcing results today.

5. Corporate and Ex-Dividend Moves

A heavy slate of companies go ex-dividend today, including:

Fortescue Metals (FMG), Aurizon (AZJ), Australian Clinical Labs (ACL), Jumbo Interactive (JIN), Helloworld Travel (HLO), Pinnacle Investment (PNI), and Tabcorp (TAH), among others. This is expected to provide a notable drag on the index.

6. Economic Data in Focus:

Locally, investors will watch for July building approvals and company profits data at 11:30 am AEST, which may provide insights into construction activity and corporate margins.

In Asia, attention will turn to the China Caixin Manufacturing PMI at 11:45 am AEST, an important gauge of private sector manufacturing momentum.

7. Kapitales Research Take

The ASX 200 is set for a weaker open, with futures down despite ongoing strength in commodities. Ex-dividends are likely to weigh heavily on today’s trade, while offshore sentiment remains cautious ahead of key U.S. inflation and labour market releases later this week. Locally, building approvals and company profits data, alongside China’s PMI, will add further direction.

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