The ASX 200 is down 0.32% in late afternoon trade.
The local market followed a fall in US indices overnight where the S&P 500 slid 0.8% and the Nasdaq dropped 1.2% as large tech stocks such as Nvidia, Apple and Tesla finished lower.
Wall Street took its lead from Federal Reserve meeting minutes that indicated interest rates could stay restrictive for longer. In the first week of the new year, that sentiment has also been felt locally with many analysts essentially writing off the chance of an RBA rate cut this year.
Locally, tech stocks are down 0.23% while Woolworths and Coles led Consumer Staples lower (-1.16%), and the Materials sector lost 0.56% as gold stocks took a hit.
Energy the standout
However, Energy stocks are bucking the trend today, trading more than 1% higher as they track the higher crude oil price.
Brent crude rose to near $US78 a barrel after an OPEC statement stressed its commitment to stabilising prices, along with increased tensions in the Middle East and supply disruptions in Libya, support the oil price and energy sector.
Woodside Energy is up 1.30%, Ampol is 1.33% higher and Santos has gained 0.93%.
Five at five
Looking ahead to the 2024 calendar year, we have run our eyes over a number of promising ASX small caps.
Elixir Energy well-placed to meet decarbonisation demands with natural gas and hydrogen plays
Elixir Energy Ltd (ASX:EXR) has a foot in both the coal seam gas and hydrogen camps. It is focused on an exploration and appraisal program targeting natural gas in the form of coal-bed methane (CBM – known as coal seam gas or CSG in Australia) in the South Gobi, Mongolia and Queensland, Australia. It has also been developing the Gobi H2 green hydrogen project and solar project in Mongolia.
Triangle Energy focuses on high-value Perth Basin gas as Cliff Head divestment progresses
With a path established to divest its interests in the Cliff Head Joint Venture (CHJV) and proposed Cliff Head Carbon Capture and Storage (CH CCS) Project, Triangle Energy (Global) Ltd is focusing on commercialising high-value interests in the North Perth Basin.
Dynamic Metals forges ahead with underexplored critical minerals portfolio in Western Australia
Dynamic Metals Ltd (ASX:DYM) has a portfolio of assets in Western Australia that are strategically located in highly prospective regions with substantial exploration targets generated across lithium, nickel, copper, PGE (platinum-group elements) and gold.
Predictive Discovery targets gold production in highly prospective Guinea
ASX-lister Predictive Discovery Ltd (ASX:PDI, OTC:PDIYF) is emerging as a key player in African gold exploration, leveraging the metal's timelessness and robust returns and the region’s considerable riches.
On your six
China props up iron ore; defies global economic slowdown
Iron ore prices are forecast to continue their upward trend in early 2024 as China's vigorous efforts to revive its property sector defy global economic headwinds.