AU Morning Wrap: ASX Falls for Fourth Day; Bank Shares Drop

U.S. stocks fell while government bonds and gold rallied Thursday, reflecting persistent anxieties on Wall Street about regional banks and the economic outlook.

Nearly two months after Silicon Valley Bank's collapse, worries about potential bank failures continued to grip the market. Investors also assessed the fallout from Wednesday's Federal Reserve meeting.

The Australian sharemarket opened lower for a fourth day of losses, led by sell-off in banks after ANZ flagged margin pressure and the rout in US regional lenders continued overnight.

ANZ lost 2.1 per cent to $22.96 after chief executive Shayne Elliott warned "the next six months will be more difficult than the last" given intense competition across the sector.

Financials were also under pressure after US regional banks including PacWest First Horizon and Western Alliance continued to sell off, adding to concern for a sector that's been rattled by the collapse of multiple firms. PacWest plunged 51 per cent.

ANZ declared 81¢ in dividends, fully franked, which are 7¢ higher than the last six months.

Statutory profits slipped 1 per cent to $3.5 billion.

Cash App generated gross profit of $US931 million, up 49 per cent year over year, and Square generated gross profit of $US770 million, up 16 per cent year over year, it also said.

Block also said Cash App Card has continued to expand its reach and engagement: In March, there were 20 million monthly Cash App Card actives, up 34 per cent year over year, with average spend per active increasing as well.

International income accounted for 71 per cent of the group's total earnings in fiscal 2023.

Return on equity slipped to 16.9 per cent, from 18.7 per cent in fiscal 2022.

It declared a final ordinary dividend of $4.50 per share, of which 40 per cent will be franked), taking the dividend for fiscal 2023 to $7.50.

Annuity-style activities slumped 17 per cent to a combined net profit contribution of $4.1 billion.

The bank said its NetBank Saver 5-month introductory variable interest rate would rise to 4.5 per cent, Youthsaver with bonus interest rate would also lift to 4.5 per cent and its GoalSaver with bonus interest rate product would climb to 4.4 per cent.

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