Wed 5 Aug 2026 at 10:18am
Market snapshot
- ASX 200: +0.6% to 9,197 points (live data below)
- Australian dollar: steady at 70.45 US cents
- Wall Street: S&P 500 (+1.8%), Dow (+1.7%), Nasdaq Composite (+2.6%)
- Europe: FTSE (+0.2%), Stoxx 600 (+0.7%)
- Asia: KOSPI (+4.4%), Nikkei (+1%)
- Spot gold: -0.1% to $US4,072/ounce
- Oil (Brent crude): -0.8% at $US78.73/barrel
- Iron ore: -0.1% at $US93.55/tonne
- Bitcoin: -0.5% to $US63,989
Prices current at 10:18am AEST
Wed 5 Aug 2026 at 10:16am
ASX records higher-than-expected gain in opening trade
The Australian share market has started its day with larger-than-expected gains.
The ASX 200 was up 0.6 % to 9,202 points by around 10:15am AEST.
We’ll have more updates for you shortly on what’s driving the market higher.
Wed 5 Aug 2026 at 9:55am
SpaceX’s space revenue jumps, Elon Musk dismisses reports of plans to sell Tesla’s China business
Starship, SpaceX’s next-generation reusable rocket system, is yet to enter commercial service but is expected to enable deployment of higher-bandwidth Starlink satellites and orbital AI-computing infrastructure.
Space revenue grew 29% year over year.
The company’s ability to turn Starship into a reliably reusable vehicle is central to its longer-term strategy.
Investors have closely watched for updates on testing progress, launch cadence, reusability milestones and the vehicle’s satellite-deployment capabilities.
Separately, SpaceX said it had partnered with Nvidia to use its chips in the Starmind AI1 orbital compute satellites.
The space segment, which includes commercial launches, government missions and development of Starship, remains a significant source of costs and uncertainty.
While launch activity for Falcon — SpaceX’s partially reusable workhorse rocket — has remained robust, revenue can vary with the mix of internal Starlink deployments, commercial customer missions and government contracts.
In recent years, SpaceX has increasingly prioritised launches for its own satellite network over third-party payloads, while continuing to absorb significant costs tied to Starship’s development.
‘Fake news’
Investors will also be keen to hear CEO Elon Musk’s comments on a scheduled conference call about a potential merger between SpaceX and Tesla.
This was after the Wall Street Journal reported last week that executives at his electric-vehicle company had been told to prepare for a separation of its China business ahead of a potential deal.
Musk dismissed the report as “fake news”, but he had previously declined to rule out the possibility, citing growing overlap between the companies.
with Reuters
Wed 5 Aug 2026 at 9:47am
Oil prices drop to three-week low on claims of progress in US-Iran de-escalation
Oil prices fell more than 5% and settled at a three-week low on after comments by Qatari and US officials raised hopes for a diplomatic resolution to the Iran war.
Brent crude futures fell 5.3% to $US79.36 a barrel, its lowest since July 13.
US West Texas Intermediate futures dropped 5.7% to $US75.77 a barrel, also a three-week low.
Here’s what various officials said overnight:
- US Secretary of State Marco Rubio said there was progress in talks with Iran and Oman about moving more ships through the Strait of Hormuz, but a final agreement was yet to be reached.
- US Treasury Secretary Scott Bessent said a deal with Iran to reopen the strait could come as soon as Tuesday or Wednesday (local time).
- Qatar’s foreign ministry spokesperson Majed al-Ansari said efforts to secure a diplomatic resolution to the war were continuing.
- The Emir of Qatar’s office said the Emir (the country’s monarch) and US President Donald Trump have discussed ways to reduce escalation and converge viewpoints between the United States and Iran.
Meanwhile, the latest round of US-facilitated talks between Israel and Lebanon began on Tuesday (local time) and will continue through Thursday, a US State Department spokesperson said.
The prospect of a diplomatic solution to the conflict has helped remove some of the geopolitical risk premium in oil prices after the US started bombing Iran again last month, said Simon-Peter Massabni, head of business development at brokerage XS.com.
“If negotiations between the United States and Iran make meaningful progress, the market could continue pricing in a lower probability of supply disruptions, further reducing the geopolitical risk premium embedded in crude prices,” he said.
with Reuters
Wed 5 Aug 2026 at 9:31am
ASX on track to rise again, Wall Street boosted by strong earnings from AI-linked companies
The ASX will start trading in just under half an hour, and is expected to start its day about 0.5% higher.
This will be the fourth day in a row that the Australian market has risen.
It comes after a strong session on US markets, which saw the Dow Jones and S&P 500 climb to new record highs.
Apart from hopes for de-escalation in the Middle East, and US Treasury Secretary Scott Bessent’s comments that the Strait of Hormuz could reopen by “tomorrow”, the rally on Wall Street was also driven by strong earnings from AI-related companies.
Palantir Technologies soared 29.5% and recorded its biggest daily percentage gain since February 2024, after raising its annual revenue forecast.
Caterpillar, which is seen as a bellwether for the global industrial economy, jumped 5.6% after raising its annual revenue growth forecast, as the buildout of AI data centers has fuelled demand for its power-generation and construction equipment.
Investors have been closely monitoring results from AI-linked companies this earnings season for any signs the massive spending in the space will be justified.
Chip stocks, also seen as beneficiaries of AI-spending, surged, with the Philadelphia Semiconductor index jumping 6.6%, and rebounding for a fourth straight session — after it tumbled 20.6% last month.
Results from corporate earnings this quarter have mostly been strong.
Of the 304 companies in the S&P 500 that have reported second-quarter earnings as of Friday, 85.2% have beaten estimates, versus the long-term average of 67.5%, according to LSEG data.
with Reuters
Wed 5 Aug 2026 at 9:20am
Questions over AI-linked job losses and offshoring as Qantas confirms it is looking to accelerate the use of AI
Qantas is investigating ways to accelerate its use of AI and is reportedly looking to offshore up to 1,000 jobs to India.
The airline is in early stage discussions with consulting giant Accenture but says “no formal agreement is in place and no decisions have been made”.
We invited Professor Greg Bamber, co-author of Up in the Air, onto The Business program last night. His book examines the airlines’ relationships with their staff.
He told host Kirsten Aiken why Qantas was likely to experience a major backlash if it went ahead with those offshoring plans. You can listen to his insights here:
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Wed 5 Aug 2026 at 9:10am
Which ASX-listed companies are reporting their results in the next few weeks?
We’re in the very early days of ASX company profit reporting season, so plenty of fodder for this very blog in coming weeks.
Here’s a handy calendar you can search to find out when a company you may own shares in, or just have a fascination with, is reporting, with dates compiled by CommSec:
You can read more on what analysts are expecting from your blog master this morning, David Chau.
Warning — it’s not overly reassuring.
Or if you prefer, you can watch his three-minute summary for the highlights:
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Wed 5 Aug 2026 at 9:00am
SpaceX ramped up its spending on AI by more than 2,000pc in one year
SpaceX’s AI business, which includes xAI, Grok, social media platform X, and a rapidly expanding data centre operation, has been its biggest area of investment.
The AI division is generating revenue from compute contracts with Anthropic, Alphabet’s Google and Reflection AI, though a portion of its recurring revenue has yet to be recognised.
SpaceX sharply increased capital spending on AI, pouring in $US15.83 billion in the second quarter ended June 30, up from $US749 million a year earlier.
That’s a 2,013% increase in spending in just one year.
In addition, the company’s satellite-internet unit has continued to expand its global subscriber base, aided by launches of additional satellites and a growing range of consumer, enterprise, aviation, maritime and government services.
But average revenue per subscriber slumped 22% from a year earlier as SpaceX entered more international markets and rolled out lower-priced plans even as subscribers doubled to 12 million.
with Reuters
Wed 5 Aug 2026 at 8:41am
More volatility ahead as SpaceX early investors will soon be able to sell their shares
Despite its strong earnings result, shares of SpaceX are still down 8% since its record-breaking initial public offering in June, which valued the company at about $US1.75 trillion.
The stock could face additional pressure from the expiry of SpaceX’s post-IPO lock-up period starting on Thursday (local time).
That’s when insiders and early investors will be allowed to sell some of their SpaceX stake, which could unleash even more shares and volatility on the market.
Starlink and SpaceX’s broader connectivity operations remain the company’s primary financial engine, underpinning CEO Elon Musk’s push to build an AI-first business that extends beyond renting compute capacity to developing frontier models, consumer and enterprise software, and, eventually, data centers in space.
But critics have argued that the strategy of using Starlink’s profits to bankroll the AI business and Starship launch operations until they can stand on their own is unsustainable.
“That’s a tremendous upside surprise today alone, the fact that AI is already monetising itself,” said Brian Mulberry, chief market strategist at Zacks Investment Management.
“They’re not relying on Starlink to fund operations there. I think that’s a huge part of the story.”
Reuters
Wed 5 Aug 2026 at 8:35am
Markets recap: Alan Kohler’s finance report
The Australian share market is at its highest level in five months, and is set to rise further in a couple of hours.
If you need a refresher before the ASX opens for trading, I can certainly recommend you watch Alan Kohler’s finance report from last night’s 7pm News bulletin.
Among other things, Alan explained why diesel and unleaded petrol prices are surging, despite sharp falls in the price of crude oil.
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Wed 5 Aug 2026 at 8:19am
SpaceX revenue jumps in debut quarterly results
SpaceX has reported that its quarterly revenue nearly doubled and operating losses narrowed sharply in its first earnings report since going public, buoyed by strong growth in its Starlink satellite-internet and AI businesses.
But the company’s capital expenditures ballooned to more than $US18 billion ($25.5b) from $US2.83 billion ($4b) a year earlier, and SpaceX finance boss Bret Johnsen said he expected capital spending would be similar for the next couple of quarters.
SpaceX shares fell 7.5% in after-hours trading. The stock rose 9.4% in regular trade on Wall Street on Tuesday (US time) ahead of the publication of its results.
The company, led by Elon Musk, reported April-June revenue of $US7.8 billion ($11.1b), compared with $US4.1 billion ($5.8b) a year earlier, beating expectations, according to LSEG data.
Starlink revenue, which accounted for over half of total revenue, rose 66%, and revenue from SpaceX’s AI business — which Musk has pitched as the company’s future growth driver — surged about 250%.
“We’re building AI compute capacity at scale faster than anyone else, we believe, and we’re significantly improving our AI models,” Musk said ion a post-earnings call.
AI operating losses narrowed, as did total operating losses, to $US143 million from $US970 million.
Operating income at its Starlink division surged 79%.
Reuters
Wed 5 Aug 2026 at 8:15am
Billion-dollar property collapse highlights private credit danger
Liquidators will attempt to unravel the mystery behind a former hospitality baron’s incredible rise and spectacular fall later this week when they begin examinations in the Federal Court.
Jon Adgemis somehow managed to accrue $1.8 billion in debt — over a hotel portfolio that cost less than $300 million to assemble.
It’s expected the role of private credit, or non-bank lenders, will be cast into the spotlight, and highlight growing risks facing the economy.
Our chief business correspondent Ian Verrender joined The Business to explain those risks.
He says private credit is highly unregulated “and that’s the problem because we don’t know where the problems are”.
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Wed 5 Aug 2026 at 8:10am
‘Decisively negative’ time for Australian investors as ‘volatile’ reporting season begins
The next few weeks may be a little volatile — even stressful — for people who own shares.
It’s not necessarily because we’re expecting Donald Trump to make some grand announcement about “ending” another war, followed immediately by him making another threat to “destroy” Iranian civilisation.
Though we can’t completely rule that out, of course.
Hundreds of Australian companies, including Commonwealth Bank, BHP, CSL and some of the biggest names on the ASX, will be revealing how much money they earned over the past year.
They’ll be announcing their results against the gloomy backdrop of a property downturn, stubbornly high inflation, the Iran war and the possibility that the Reserve Bank could lift interest rates again.
So you can expect to see huge swings in some of these companies’ share prices, depending on whether their results exceed or miss investors’ sky-high expectations.
Here’s your guide on what to expect in the August reporting season, courtesy of me:
Wed 5 Aug 2026 at 8:02am
If we scrap the ‘beer tax’ for five years, will pub culture and live music thrive again?
Some commentators are keen to pile on and attribute all of Australia’s economic ills to the Albanese government, even the surging price of beer.
But the real picture is much more complex, with some issues decades in the making.
The price of beer is a great example. Prices in Australia have more than doubled in the past 26 years.
Its price has gone up a lot more here compared to many other countries like the US, UK, Japan and Germany.
But a big part of the reason why beer is so expensive is that the excise on alcohol in Australia is indexed to inflation, and the excise increases every six months to keep pace with rising prices.
That infamous “beer tax” has helped to make beer prices in Australia some of the most expensive in the world in 2026.
It’s got to the point where the cost of alcohol is grinding our old pub culture and live music venues into dust because it’s too expensive for people to go out for a drink regularly.
For a deeper dive into beer, here’s the latest column by my colleague Gareth Hutchens:
Wed 5 Aug 2026 at 7:53am
Market snapshot
- ASX futures: +0.4% to 9,125 points
- ASX 200 (Tuesday close): +1.4% to 9,146 points
- Australian dollar: +0.7% at 70.4 US cents
- Wall Street: S&P 500 (+1.8%), Dow (+1.7%), Nasdaq Composite (+2.6%)
- Europe: FTSE (+0.2%), Stoxx 600 (+0.7%)
- Spot gold: +0.6% to $US4,077/ounce
- Oil (Brent crude): -5.8% at $US78.88/barrel
- Iron ore: -0.1% at $US93.55/tonne
- Bitcoin: +0.9% to $US64,306
Prices current at around 7:20am AEST
Wed 5 Aug 2026 at 7:53am
ASX to open higher after Trump official says Iran deal could happen by tomorrow
Good morning, and welcome to the ABC’s finance blog! I’ll be guiding you through the latest market action for the next few hours.
The local share market is on track for another day of gains. ASX futures, which are a rough indicator of how the market may open, have risen by about 0.4%.
The Australian dollar is also stronger at 70.4 US cents in response to the latest news from the Middle East.
On that front, US Treasury Secretary Scott Bessent said a deal with Iran to reopen the Strait of Hormuz could come within the next two days.
“We are in talks with the Iranians, and I think there is a chance we may have a deal today or tomorrow to open the Strait and move towards a more normalised position in this conflict,” Mr Bessent said in an interview with CNBC.
We’re losing track of the number of times that the Trump administration has provided updates like that, only for the strait to quickly shut again or fighting to resume.
Wall Street hits new records as oil tumbles
Nevertheless, you can tell markets are rejoicing, based on the oil price reaction.
Brent crude futures plunged 6% to $US78.76 per barrel.
The sharp fall in oil prices dented expectations for an interest rate hike from the US Federal Reserve at its September meeting, with the probability falling to 57% from 67% in the prior session, according to CME FedWatch.
That, in turn, led to massive gains on Wall Street this morning.
The Dow Jones Industrial Average rose 1.7% to 54,086 points, notching a record closing high for its second straight day.
The benchmark S&P 500 lifted 1.8% to 7,737 and also closed at its highest level ever, while the tech-heavy Nasdaq Composite jumped 2.6%, to 26,585.
Anyway, please grab a coffee, tea or whatever you normally have in the morning, and I’ll have more updates for you shortly!
