Daily

Wall Street staged a modest rebound on August 8, 2025, amid easing concerns over global trade tensions and resilient economic data. The S&P 500 climbed 0.78% to 6,389.45, the Nasdaq Composite advanced 0.98% to 21,450.02, and the Dow Jones Industrial Average added 0.47%, or 206.97 points, to 44,175.61. The Morningstar US Market Index rose 2.33% for the session. Basic materials topped sector performance with a 3.56% gain, closely followed by technology at 3.37%, while energy lagged with a 0.89% decline and healthcare slipped 0.61%.

Large-cap stocks led the charge, up 2.89%, outpacing mid-caps (+0.53%) and small-caps (+1.03%). Growth stocks rose 1.35%, blend stocks gained 2.23%, and value stocks increased 1.43%. Of the 845 US-listed companies covered by Morningstar, 62% advanced, reflecting broad-based buying interest despite lingering tariff uncertainties.

Standout gainers included Guardant Health (+30.93% to $54.23), buoyed by positive analyst sentiment on its diagnostics pipeline; Uniti Group (+29.59% to $6.35), riding infrastructure demand; Idexx Laboratories (+22.87% to $658.06), after strong quarterly results; RingCentral (+21.72% to $28.75), on cloud communication growth; and Palantir Technologies (+21.19% to $186.96), fueled by AI contract wins. On the downside, Trade Desk plunged 37.01% to $54.23 following disappointing ad revenue guidance; Cogent Communications dropped 32.17% to $30.62 amid margin pressures; Fortinet fell 23.59% to $74.39 on cybersecurity competition fears; Vertex Pharmaceuticals declined 20.73% to $366.54 after clinical trial setbacks; and Twilio shed 18.52% to $98.67 on slowing user growth.

Actives highlighted SoundHound AI (+26.40% on AI hype), NVIDIA (+1.07%), and Apple (+4.24%), while Trade Desk saw heavy volume on its selloff. Investors digested mixed signals from recent data, including July’s ISM Non-Manufacturing PMI at 50.1 (below the 51.5 poll), signaling slight service sector contraction, and June’s international trade deficit narrowing to -$60.2 billion (better than the -$61.3 billion expected). Attention turns to next week’s Consumer Price Index on August 12, which could influence Fed rate cut odds, and earnings from Cisco Systems on August 13.

Treasury Secretary Scott Bessent reiterated ongoing US-China tariff truce negotiations, with a potential 90-day extension under consideration by President Trump, though market reactions remain muted as trade deal fatigue sets in. Strategists at HSBC, Morgan Stanley, and UBS maintain bullish long-term outlooks, citing robust earnings, AI tailwinds, and tariff clarity, but warn of near-term volatility from stretched valuations. Goldman Sachs’ chief global equity strategist notes that even with deals in place, tariffs could still pressure equities, advising diversification amid high valuations and recession risks.

Australia’s share market closed lower on August 8, 2025, extending its retreat from mid-week records amid global caution and sector rotation. The S&P/ASX 200 fell 0.28%, or 24.3 points, to 8,807.1, while the broader All Ordinaries dropped 0.28% to 9,076.6. For the week, the benchmark gained 1.7%, or 145 points, hovering 0.5% from its intra-week high and underscoring resilience.

Advancers edged decliners 148 to 130 on the S&P/ASX 300, improving through the afternoon. Four of 11 sectors rose, led by materials (+1.42%) on lithium and gold strength, utilities (+0.55%), industrials (+0.43%), and real estate (+0.27%). Health care slumped 1.46%, financials dropped 1.08%, and consumer staples fell 0.99%.

Lithium stocks surged, with Pilbara Minerals (+9.04% to $1.93) pacing gains after GFEX lithium carbonate futures rallied for a second day, joined by Wildcat Resources (+5.88% to $0.18), IGO (+5.7%), and Argosy Minerals (+7.4%). Resources overall rose 1.2%, marking a fifth straight weekly advance, supported by iron ore giants BHP (+0.08%), Fortescue (+1.8%), and Rio Tinto (+1.1%). Gold miners shone, with Northern Star up over 18% weekly as gold neared highs at US$3,495/oz.

Other movers: American Rare Earths (+19.4%) on shareholder letter and sector strength; Benz Mining (+18.7%) amid precious metals rally; Artrya (+16.1%) post-investor conference; Meeka Metals (+14.81% to $0.16); and Wrkr (+14.6%) on $15 million raise. AMP (+7.14% to $1.88) extended gains from half-year results; Nick Scali (+6.9%) on FY25 report.

Decliners included GQG Partners (-14.60% to $1.73) on the July FUM update; Avita Medical (-13.6%) after H1 results; Clarity Pharmaceuticals (-13.2%); Light & Wonder (-11.2%) on Q2 earnings; and QBE Insurance (-8.8%) amid analyst scrutiny of reserves.

The big four banks weighed on financials, with CBA, NAB, and Westpac each down ~0.9%. Healthcare extended losses on US tariff fears, down 2.5% over two days. Energy edged up 0.04% daily but +2.5% weekly, aided by coal exporters like Yancoal (+0.9%, +7% weekly).

The Aussie dollar slipped 0.03% to 65.22 US cents. NAB forex trimmed the 2025 AUD target to 68 US cents, citing a delayed USD decline. Investors eye next week’s RBA rate decision on Tuesday, expected to include a cut, plus labour data Thursday and earnings from CBA, Telstra, and others.

AMP’s Diana Mousina warned of August-September corrections from stretched valuations, US tariffs, debt, and softer growth/profits, though commodity support buoyed materials.