ASX Today: WiseTech Jumps, AI Optimism Lifts Tech While Oxford Economics Warns of Global Risks

Key Highlights

• ASX 200 edged 0.03% higher to 8,833.4 by midday despite weakness in mining stocks.
• Technology shares led the market, with WiseTech Global surging after governance changes eased investor concerns.
• Financials provided support, while materials and energy stocks lagged as gold prices weakened.
• Oxford Economics warned that geopolitical tensions, tariffs and AI supply chain risks remain key threats to global markets.

The Australian share market was little changed by midday on Tuesday, but beneath the calm headline a clear shift in investor sentiment was unfolding.

The S&P/ASX 200 edged 0.03% higher to 8,833.4, while the broader All Ordinaries added 0.01%. The standout performer was the S&P/ASX All Technology Index, which climbed 2.24% as investors returned to growth stocks following another strong session on Wall Street.

Technology and financial companies carried the market higher, offsetting weakness across the resources sector as softer gold prices weighed on mining shares.

The biggest individual story belonged to WiseTech Global, whose shares jumped 9.33% after founder Richard White announced he would step down as Chair while remaining on the board and continuing to work with the business. The move was widely interpreted as reducing governance uncertainty while preserving leadership continuity, giving investors greater confidence in the company’s long-term direction.

The broader technology rally reflected positive momentum from the United States, where the Nasdaq Composite rose 1.12% overnight, extending gains driven by semiconductor companies and continued enthusiasm surrounding artificial intelligence.

Other technology names also attracted strong buying, including Catapult Sports (+9.68%), Nuix (+6.20%), TechnologyOne (+3.40%), Megaport (+3.93%) and SiteMinder (+4.49%).

Financial stocks also contributed to the market’s resilience, rising 0.85% as investors continued favouring companies with relatively stable earnings in an environment where interest rate expectations have remained broadly steady.

ASX Sector Snapshot | Source: MarketIndex 

The resources sector, however, told a different story.

The Materials sector fell 1.59%, with the ASX 200 Resources Index down 1.30%, while the Gold Index declined 2.89% after bullion prices slipped around 0.64% overnight. Lower precious metal prices triggered selling across many gold producers, even as copper prices posted modest gains.

Commodities Price Index | Source: MarketIndex 

Energy shares also weakened despite firmer crude prices. Brent crude rose around 0.81%, while West Texas Intermediate also moved higher, suggesting investors were taking profits following recent gains rather than reacting directly to commodity prices.

Overseas, Wall Street continued to provide a supportive backdrop. The Dow Jones Industrial Average gained 0.29%, the S&P 500 advanced 0.72%, and the Nasdaq Composite climbed 1.12%, supported by easing concerns over Middle East tensions and renewed confidence in AI-related technology companies.

While equity markets remain constructive, economists continue to warn that geopolitical risks have not disappeared.

Ryan Sweet, Chief Global Economist at Oxford Economics, said the durability of the recent peace agreement between the United States and Iran would have significant implications for the global economy.

“Its durability will determine whether the global economy gets an energy-driven disinflation tailwind or absorbs a second oil shock.”

Lower energy prices could ease inflation pressures, improve corporate profit margins and support central banks in maintaining more accommodative policy settings. However, Oxford Economics believes the situation remains fragile.

Trade policy is another source of uncertainty.

Sweet warned that changes to US tariffs could occur with little notice.

“The US Treasury’s authority to adjust tariff rates without new investigations means effective rates can shift at any time.”

He also pointed to broader trade tensions that extend beyond the Middle East.

“Add the USMCA review cycle and 50+ EU-China trade defence investigations, and trade policy headwinds will persist regardless of the Middle East crisis.”

Those risks are particularly relevant for technology companies, where global supply chains remain highly interconnected.

Oxford Economics cautioned that any renewed geopolitical disruption could ripple through the AI sector by tightening semiconductor supplies, increasing hardware costs and delaying infrastructure investment.

As Sweet noted:

“A peace deal breakdown won’t just raise oil prices; it would also increase pressure on AI supply chains in Asia, force central banks to be hawkish, tighten financial conditions, and could shift the outcome of the US midterms and Israeli elections.”

Summing up the interconnected nature of today’s markets, he added:

“The cascade runs fast.”

Sector performance reflected this balance between optimism and caution. Information Technology led gains with a 3.18% rise, followed by Financials (+0.95%) and Telecommunications (+0.71%). On the downside, Materials (-1.27%), Energy (-1.27%), Utilities (-1.09%) and Real Estate (-0.94%) weighed on the broader index.

Market volatility also remained subdued. The S&P/ASX 200 VIX hovered around 11.1, a level that generally indicates investors expect relatively stable trading conditions despite ongoing geopolitical and economic uncertainties.

Tuesday’s session highlighted a market driven less by broad optimism than by selective sector rotation. Investors continued to favour companies exposed to artificial intelligence, enterprise software and resilient earnings, while remaining cautious toward commodity producers facing softer precious metal prices. Although the ASX traded within a narrow range, the day’s strongest moves reinforced that stock-specific catalysts and structural growth themes continue to play a greater role than headline index movements.

Sources: ASX market data; Wall Street closing data; Oxford Economics Global Macro Commentary (Ryan Sweet); Bloomberg commodity prices.