Index Update: The Australian share market ended little changed on Thursday, with the S&P/ASX 200 Index slipping just 0.40 points to close at 8,840.70. Despite the marginal decline, the benchmark index has gained 0.89% over the past five trading sessions and is currently trading 3.94% below its 52-week high.

Seven of the 11 sectors finished higher during the session. Telecommunication Services led the gains, rising 1.10%, followed by Consumer Discretionary, up 1.09%, and Financials, which added 0.88%. On the downside, Materials was the weakest-performing sector, falling 1.58%, closely followed by Energy, down 1.53%. The broad-based gains across financial, consumer and communication sectors were largely offset by weakness in the heavyweight Materials and Energy sectors, leaving the ASX 200 to finish the session virtually unchanged.

Macro Update: According to media reports, the United States launched fresh strikes on Iran late Wednesday, with explosions reported across several parts of the country as the conflict entered its fifth consecutive day. The renewed exchanges have intensified tensions around the Strait of Hormuz, a vital global oil shipping route that has become a key flashpoint in the escalating conflict.

Early Thursday, Iranian state media reported that air defence systems were activated over Tehran, although officials did not immediately provide a reason. Iran also claimed it had targeted U.S.-used military bases in Kuwait and Jordan, saying the strikes hit radar installations.

Top Market Movers: Among the top gainers, AMP Limited (ASX: AMP) jumped 9.83% to AUD 1.90, gaining AUD 0.17. Mesoblast Limited (ASX: MSB) rose 6.95% to AUD 2.77, up AUD 0.18, while REA Group Limited (ASX: REA) advanced 6.61% to AUD 158.71, adding AUD 9.84.

On the losing side, Electro Optic Systems Holdings Limited (ASX: EOS) fell 7.75% to AUD 7.62, shedding AUD 0.64. Elevra Lithium Limited (ASX: ELV) declined 4.65% to AUD 8.82, down AUD 0.43, while FireFly Metals Limited (ASX: FFM) lost 4.62% to AUD 1.755, slipping AUD 0.085.

Commodity Update: The U.S. dollar remained near a one-month low on Thursday after softer-than-expected inflation data strengthened expectations that the Federal Reserve could maintain a patient approach toward interest rates. However, escalating Middle East tensions continued to raise concerns about potential inflationary pressures. Gold declined 0.50% to USD 4,031.20 per ounce, silver slipped 0.35% to USD 57.23 per ounce, while copper gained 0.21% to USD 13,581.50 per tonne. Meanwhile, Brent crude oil advanced 0.70% to USD 85.72 per barrel amid rising concerns over disruptions to shipping through the Strait of Hormuz.

Our Stance: The Australian share market was largely unchanged on Thursday, with the S&P/ASX 200 Index slipping just 0.40 points to 8,840.70 as gains across seven sectors were offset by weakness in heavyweight Materials and Energy stocks. Telecommunication Services, Consumer Discretionary and Financials led the market higher, while Materials and Energy emerged as the biggest drags. Investor sentiment remained cautious amid escalating tensions in the Middle East, with fresh U.S. strikes on Iran and growing concerns over the Strait of Hormuz supporting oil prices. Among individual stocks, AMP Limited (ASX: AMP), Mesoblast Limited (ASX: MSB) and REA Group Limited (ASX: REA) were the top gainers, while Electro Optic Systems Holdings Limited (ASX: EOS) led the declines. In commodities, Brent crude extended gains on supply disruption concerns, while gold edged lower despite ongoing geopolitical uncertainty.

The S&P/ASX 200 edged lower by 0.40 points in the latest trading session, forming a small bearish candlestick that reflects cautious investor sentiment. Despite the marginal decline, the broader technical outlook remains constructive, with the index continuing to trade comfortably above its 50-day Simple Moving Average (SMA), which is acting as a key dynamic support level and reinforcing the prevailing medium-term uptrend. Immediate support is positioned around 8,760.50, and maintaining this level would help preserve the broader bullish structure while supporting the potential for further upside. A sustained rebound from this support zone could pave the way for a retest of the recent highs and potentially extend the ongoing rally. Conversely, a decisive break below 8,760.50 would weaken the near-term technical outlook, increase selling pressure, and raise the likelihood of a deeper corrective phase.