AU Morning Wrap: ASX Falls; Macquarie Gains on Result

US stocks fell for a second day as investors revised their rates expectations in the wake of Friday's blowout jobs report. A shock 517,000 surge in non-farm payrolls sharpened fears that inflation may rebound. The US dollar and bond yields rallied in a sign markets believe official rates may have to go higher than previously anticipated.

Stocks have retreated sharply since Friday's jobs data forced investors to reassess the likely top of this rates cycle. Fed Funds Futures now indicate a terminal rate of 5.1 per cent, in line with Fed guidance.

Investors are also awaiting Tuesday's policy decision by the Reserve Bank where policymakers are widely expected to lift the cash rate by 0.25 per cent.

Healius gained 2.6 per cent shaking off a large miss to consensus expectations. No guidance was issued for FY23 but management expects second-half trading to be "materially stronger".

Transurban boss Scott Charlton will step down at the end of the year as the company delivered record first-half earnings from its toll roads due to the return of traffic congestion and rising toll fares. Shares gained 0.5 per cent at the open.

Gross revenue jumped 57 per cent to $242.7 million, driven by a higher number of orders and an increase in average order value to $759 from $712 a year ago.

Total revenue declined 33.6 per cent to $889.3 million in the first half while EBITDA fell 64.4 per cent to $182 million.

Macquarie said its performance for the three quarters to December was up slightly on the previous year, following a record December quarter in 2021, driven by continued outperformance in its commodities and global markets division.

Underlying earnings before interest, tax, depreciation, amortisation and fair value adjustments is expected to be between $US55 million and $US57 million for the year ending March 31 from a previous range of between $US54 million and $US58 million.

The company raised its guidance for full-year dividends to 57¢ per share. It had previously told investors to expect a dividend of 53¢ per share compared with 41¢ in 2022.

• Iron ore reversed early weakness in Chinese trade, bouncing off a near three-week low. Prices have fallen as a rise in Chinese steel inventories signalled demand has yet to recover from the Lunar New Year break.

"We expect to witness some immediate downside for iron ore prices this week, as supply- and demand-side fundamentals temporarily loosen," Navigate Commodities Managing Director Atilla Widnell told Reuters.

The most-active May ore contract on the Dalian Commodity Exchange ended daytime trade 0.9 per cent higher at 853.50 yuan (US$125.85) a tonne after trading as low as 835 yuan.

• Oil overcame early weakness after Saudi Arabia raised the prices of crude destined for Asia as Chinese demand picked up. The reversal also came as a major earthquake temporarily halted operations at a Turkish oil terminal and disrupted flows from Iraq.

Brent crude settled US$1.05 or 1.3 per cent ahead at US$80.99 a barrel. The international benchmark sagged 7.5 per cent last week to a four-week low.

• Gold edged off a three-week low after a resurgent dollar smashed prices down 2.7 per cent on Friday. Gold for April delivery settled US$2.90 or 0.2 per cent higher at US$1,879.50 an ounce. The NYSE Arca Gold Bugs Index fell 1.52 per cent as Newmont’s bid for Newcrest weighed.