Surge in ANZ, CBA Helps Drive ASX Higher; AMP, Temple & Webster Tumble

Why It Matters

The results underscore a widening gap between Australia’s resilient banking sector and struggling wealth‑management and retail businesses, shaping investor sentiment and sector rotation on the ASX.

Key Takeaways

• ANZ posted $1.9 bn profit, shares jumped 8.5%.
• Commonwealth, Westpac, NAB also rose, boosting ASX 200.
• AMP profit fell to $133 m, shares slumped 26.6%.
• Temple & Webster revenue rose 19.8% but shares fell 32.6%.
• Energy and miner stocks led gains amid higher commodity prices.

Pulse Analysis

The Australian market’s modest rally was driven primarily by a sharp rebound in the banking sector. ANZ’s $1.9 billion profit, buoyed by aggressive cost‑cutting under CEO Nuno Matos, signaled early success of its ANZ 2030 strategy and lifted the broader financials index. Commonwealth Bank, Westpac and NAB followed suit, reinforcing the perception that Australia’s major lenders are well‑positioned to benefit from a stable domestic economy and a recovering credit cycle.

Meanwhile, wealth‑management and e‑commerce firms faced headwinds that widened the performance gap. AMP’s full‑year profit slipped to $133 million, prompting a 26.6% share plunge as analysts flagged weaker capital returns and margin pressure. Temple & Webster, despite a 19.8% revenue lift, missed EBITDA and net‑profit forecasts, driving its stock down over 30%. These setbacks highlight the challenges of sustaining growth in a high‑inflation environment where consumer spending is volatile and cost structures remain tight.

Other sectors added nuance to the trading day. Precious‑metal miners such as Northern Star and South32 posted double‑digit profit jumps, reflecting soaring gold and silver prices, while energy giants like Origin lifted profit targets despite a first‑half earnings dip. Governance concerns lingered for ASX Ltd, which posted an 8.3% profit rise but saw its CEO announce a May departure amid regulatory scrutiny. Across the Pacific, stronger‑than‑expected U.S. jobs data tempered expectations of Fed rate cuts, adding a global macro backdrop that could influence Australian equity momentum in the weeks ahead.