Image Source : Krish Capital Pty Ltd

Index Update: The Australian sharemarket ended Monday at a fresh record high, marking the fifth time in just over a week. The S&P/ASX 200 rose 20.70 points, or 0.23%, to close at 8,959.30, its highest level in 100 days, amid gains driven by a wave of company earnings. Sector-wise, telecommunications services led with a 1.39% rise, followed by information technology and financials. Materials and energy stocks slipped, while most other sectors posted modest gains. Over the past five sessions, the index has climbed 1.73% and now sits just 0.04% below its 52-week peak.

Macro Update: US retail sales rose for the second month in a row, showing that consumers are still spending despite worries about higher prices from tariffs. Government data also revealed that consumer inflation picked up in July, mainly due to higher service costs such as airfares. In contrast, China’s economy slowed as it faced price wars and tougher US import duties. The UK economy performed better than expected, with early signs of improvement in the labor market. While July’s retail sales growth suggests resilience, economists remain cautious because of weaker job trends and fading consumer confidence.

Top Market Movers: The Australian sharemarket saw notable movements on Monday, with Clarity Pharmaceuticals Ltd (ASX: CU6) leading gains, climbing 8.20% to AUD 3.96, followed by Lendlease Group (ASX: LLC) up 6.67% to AUD 5.92 and Liontown Resources Limited (ASX: LTR) rising 6.51% to AUD 0.90. On the downside, Digico Infrastructure REIT (ASX: DGT) fell 14.06% to AUD 2.75, while Temple & Webster Group Ltd (ASX: TPW) dropped 5.27% to AUD 23.71, and New Hope Corporation Limited (ASX: NHC) declined 4.19% to AUD 4.35.

Commodity Update: The dollar steadied on Monday as markets awaited a key meeting between U.S. President Donald Trump and Ukrainian President Volodymyr Zelenskiy. At the same time, attention also turned to the Federal Reserve’s Jackson Hole symposium for policy signals. Precious metals firmed, with gold up 0.20% at USD 3,389.20, silver rising 0.24% to USD 38.07, and copper adding 0.14% to USD 9,779.80. Brent crude slipped 0.40% to USD 65.62 as supply concerns eased.

Our Stance: The Australian sharemarket closed Monday at a fresh 100-day high, with the S&P/ASX 200 rising 0.23% to 8,959.30, supported by positive earnings from key stocks. While materials and energy lagged, broader sector gains highlight investor confidence. Globally, US retail sales remain resilient, China slows, and UK labour data surprises positively. Commodities were mixed, with gold and silver firming, Brent easing. The market’s record highs suggest cautious optimism, yet macro risks, including inflation pressures, global trade tensions, and slowing Chinese growth, requires careful positioning for the short term.

In its latest session, the S&P/ASX 200 Index advanced 20.70 points to close at 8,959.30, underpinned by a bullish candlestick formation coupled with strong trading volumes clear signals of sustained investor confidence. The index continues to hold firmly above its 21-period Simple Moving Average (SMA) on the daily chart, a dynamic support level that reinforces the prevailing positive short-term outlook. A critical support zone is established at 8,880.70. Maintaining levels above this area will be essential in protecting the integrity of the uptrend. On the upside, a decisive breakout above this support-turned-resistance level could be viewed as a strong bullish confirmation, potentially unlocking further upward momentum and shifting broader market sentiment decisively in favor of the bulls. From a wider perspective, the index’s sustained position above the 21-period SMA on the weekly chart highlights its resilient long-term bullish foundation.