Markets Today (23 October 2026) at Open: Kapitales Morning Highlights from Wall Street to ASX

Headline

• ASX 200 futures point to a 19-point (-0.21%) decline, signalling a weaker opening.
• Nasdaq records its steepest daily fall since early June, while the Dow closes flat.
• Meta’s cash outflow and share issuance plans raise AI funding concerns.
• Chipmakers suffer their sharpest decline since July amid AI spending fears.
• Brent crude surpasses US$112 per barrel, reaching a five-month high amid Houthi attacks in Saudi Arabia and reported tanker strikes in Hormuz.

Global Markets Overview

Global equity markets largely declined as selling pressure across technology stocks, concerns over artificial intelligence spending and broader economic uncertainties weighed on investor sentiment. In the United States, the S&P 500 and Nasdaq Composite recorded losses, with the technology-heavy Nasdaq experiencing a sharper decline amid weakness in major technology companies. Meanwhile, the Dow Jones Industrial Average remained broadly unchanged, reflecting relative resilience in selected defensive sectors. European markets also faced selling pressure, with the UK's FTSE 100 closing lower as investors assessed global economic developments and market volatility. In Canada, the S&P/TSX Composite retreated amid cautious trading conditions.

Across Asian markets, Japan's Nikkei registered a substantial decline, reflecting weakness in technology-related shares and broader risk aversion. Indian equities also finished lower as cautious sentiment influenced trading activity. New Zealand's NZX 50 recorded a modest decline, indicating subdued investor confidence. Overall, global market performance reflected widespread caution, with technology-led losses dominating trading activity, while defensive sectors offered some stability amid persistent uncertainty surrounding corporate spending and economic conditions.

Commodities & Crypto

Commodity markets displayed a predominantly negative trend as selling pressure across precious and industrial metals reflected cautious investor sentiment. Gold prices declined sharply, while silver experienced even steeper losses, highlighting broad weakness across precious metals. Copper also retreated amid concerns surrounding industrial demand and global economic uncertainty. Meanwhile, uranium declined sharply amid broader market weakness. In contrast, WTI crude oil advanced as escalating geopolitical tensions in the Middle East and concerns over potential supply disruptions supported energy prices. Rising uncertainty surrounding oil transportation routes further contributed to upward pressure on crude prices. In the cryptocurrency market, Bitcoin registered a notable decline, reflecting weaker appetite for risk-sensitive assets amid broader financial market volatility. Overall, commodity and cryptocurrency markets remained under pressure, with precious metals, copper, uranium and Bitcoin experiencing significant selling activity. However, crude oil demonstrated relative strength, supported by geopolitical tensions and concerns over global energy supply disruptions.

Bond Yields

Global government bond yields predominantly declined as investors assessed economic uncertainty, inflationary pressures and evolving monetary policy expectations. Australia's 10-year government bond yield fell to 5.168%, reflecting a moderation in long-term borrowing costs. Similarly, Japan's 10-year bond yield eased to 2.868%, indicating a modest decline in sovereign borrowing costs. Meanwhile, the US 10-year Treasury yield stood at 4.953%, remaining below the 5% threshold after retreating from earlier elevated levels, although it recorded a marginal increase in the latest session. The US 30-year Treasury yield also edged lower to 5.286%, suggesting slightly reduced pressure on longer-term government borrowing costs. Overall, sovereign bond markets exhibited a predominantly downward trend in yields, with Australia and Japan recording declines, while US Treasury yields showed relatively limited movements. Investors continued to monitor inflation developments, central bank policy signals and broader economic conditions for further direction in global bond markets.

Key Drivers

• US markets declined as AI-related selling pressured technology stocks, while the Dow closed nearly flat.
• Nasdaq fell sharply as semiconductor stocks reversed Wednesday’s gains.
• Philadelphia Semiconductor Index plunged over 6.7%, its steepest decline since July.
• Gold dropped 2.8% to US$4,021/oz, its lowest level in over two months.
• US 10-year Treasury yields fell below 5% for the first time in a month.
• Brent crude exceeded US$112/bbl, while WTI traded near US$99/bbl amid Gulf tensions.
• Meta shares plunged 7% as AI spending concerns overshadowed stronger-than-expected quarterly results.
• Meta’s credit risk reached a record high amid concerns over debt-funded AI investment.
• Asian markets declined, with Kospi down over 3%, Nikkei 2.7% and Hang Seng 3.1%.
• Tesla reported Q3 adjusted EPS of US$0.48 and revenue of US$28.05 billion, beating estimates.
• Procter & Gamble reported 4% revenue growth to US$23.3 billion, exceeding expectations.
• Lockheed Martin's Q3 sales rose 11% to US$20.7 billion, with backlog reaching US$292 billion.
• Moderna shares plunged as much as 26% following disappointing melanoma vaccine data.
• Spotify's monthly active users increased 11% to 788 million, supporting its shares.
• Iran claimed seven oil tankers were struck or hit mines in the Strait of Hormuz.
• Turkey's central bank reduced its policy rate by 100 basis points to 36%.
• US initial jobless claims declined by 6,000 to a three-month low of 194,000 in the week ended 17 October, below expectations of 200,000.

ASX Company News

• Zip Co Limited (ASX: ZIP) released its first-quarter FY2027 results on 23 October 2026, reporting total transaction volume of AU$4.6 billion, up 18.0% year-on-year. Total income increased 17.0% to AU$376.1 million, while transactions rose 21.8% to 31.6 million. Cash EBTDA reached AU$65.0 million, increasing 3.4%, despite AU$10.1 million in expenses associated with a US fraud incident. The company reported 6.4 million active customers and 96,600 merchants, while reaffirming FY2027 cash EBTDA guidance of AU$340 million.
• Mineral Resources Limited (ASX: MIN) released its first-quarter FY2027 activities report on 23 October 2026, reporting record Mining Services production of 103 million tonnes, up 10% quarter-on-quarter. Onslow Iron shipped 9.2 million wet metric tonnes on a 100% basis, while attributable shipments reached 5.0 million wet metric tonnes. The Pilbara Hub produced 3.2 million wet metric tonnes and shipped 2.9 million tonnes. Record attributable lithium sales reached 170,000 dry metric tonnes of SC6, increasing 8% quarter-on-quarter. Net debt declined to approximately AU$4.1 billion, while liquidity increased to AU$2.5 billion.
• Ora Banda Mining Limited (ASX: OBM) released its September 2026 quarterly activities report on 23 October 2026, reporting gold production of 33,305 ounces and sales of 33,939 ounces. All-in sustaining costs reached AU$4,214 per ounce, reflecting weather disruptions and extended mill maintenance. Operating cash inflows totalled AU$83.3 million, while closing cash stood at AU$207.0 million. The company commenced construction of its new 3.0 Mtpa processing plant and initiated underground development at Waihi ahead of schedule. Following the quarter, its revolving credit facility increased to AU$300 million, providing total liquidity of AU$507 million.
• Black Cat Syndicate Limited (ASX: BC8) released its September 2026 quarterly activities report on 23 October 2026, reporting total gold production of 19,153 ounces, including 16,740 ounces attributable to its wholly owned operations. Gold sales reached 18,000 ounces at an average realised price of AU$6,065 per ounce, generating approximately AU$39 million in operating cash flow before capital expenditure. All-in sustaining costs were AU$3,735 per ounce for wholly owned production. Cash and liquid investments declined to approximately AU$78 million, reflecting growth expenditure. The company maintained FY2027 production guidance of 80,000–90,000 ounces and advanced its Kal East operations and exploration programmes.
• Alkane Resources Limited (ASX: ALK) released its first-quarter FY2027 report on 23 October 2026, reporting gold equivalent production of 40,740 ounces, comprising 39,823 ounces of gold and 396 tonnes of antimony. All-in sustaining costs stood at AU$2,805 per gold equivalent ounce. Quarterly revenue reached approximately AU$206 million from gold equivalent sales of 38,348 ounces, while mine operating cash flow totalled AU$102 million. The company closed the quarter with AU$440 million in cash and bullion and paid its maiden fully franked dividend of AU$0.02 per share.

Stocks trading ex-dividend today

• Spheria Emerging Companies Limited (ASX: SEC) – AU$0.011

Key Economic Drivers (What to Watch Today)

• 9:00 AM AEDT – Australia: S&P Manufacturing and Services PMI releases will provide insights into business activity and economic conditions.
• 5:00 PM AEDT – UK: Retail Sales data will indicate consumer spending trends and domestic demand.
• 7:00 PM AEDT – Eurozone: S&P Manufacturing and Services PMI releases will highlight business activity across major European economies.
• 12:45 AM AEDT – US: S&P Manufacturing and Services PMI releases will offer insights into economic growth and business conditions.

Summary

• ASX 200 futures point to a 19-point (-0.21%) decline as Meta’s cash outflow raises AI spending concerns, while Gulf tensions push Brent to a five-month high.
• US markets mostly declined, with the S&P 500 falling 1.21% and Nasdaq dropping 2.60%.
• Dow Jones edged up 0.02%, outperforming major US benchmarks.
• Philadelphia Semiconductor Index plunged over 6.7%, its steepest decline since July.
• Meta shares dropped 7% amid rising concerns over AI capital expenditure.
• Asian markets weakened, with Japan's Nikkei declining 2.65%.
• Gold fell 2.82% to US$4,024.21/oz amid broad precious metals selling.
• Silver declined 5.22% to US$54.69/oz, while copper slipped 2.72% to US$6.36/lb.
• WTI crude advanced 2.01% to US$99.10/bbl, while Brent exceeded US$112/bbl amid Gulf tensions.
• Bitcoin declined 4.26% to US$81,172, reflecting weaker risk appetite.

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