Market Wrap / bank tank

Australian shares started the week on a weaker note Monday, dragged down by banking and gold stocks, as investors awaited the RBA's first interest rate decision of 2025. The S&P/ASX 200 index fell 0.22% to 8,537.10 points after hitting a fresh intraday high during Friday's session.

Financial stocks declined 1.26%, marking their third consecutive session of losses, as all "Big Four" banks tumbled. Westpac (ASX: WBC) shed 4.29%, its steepest decline since August, despite reporting a rise in first-quarter net profit. However, compared to its average quarterly performance in the second half of 2024, profit was down 9%. Market heavyweight CBA was down 0.76%, while ANZ and NAB also receeded, reflecting the broader downbeat sentiment.Bluescope Steel (ASX: BSL) rallied 13.55% after guiding towards a better second half. CEO Mark Vassella told analysts he expects higher prices from Trump's tariffs to boost BlueScope's profits in North America.

Gold stocks retreated after an eight-session rally, as bullion prices declined amid profit-taking. Northern Star Resources ( ASX: NST) fell 3.41%%, while Evolution Mining dropped 2.22%.

Energy stocks slipped 1.57%, tracking lower crude oil prices, as hopes of a peace deal between Russia and Ukraine eased concerns over global supply disruptions. Woodside Energy, Australia’s largest independent oil and gas producer, led losses in the sector, down 3.11%.Elsewhere, Audinate (ASX: AD8) shares soared 25.92% despite a poor half year result, with investors betting the worst is behind the audio-visual company. A2Milk (ASX: A2M)rose 20% after announcing its first ever dividend.

And shares in embattled casino operator Star Entertainment rose 12.5% after it announced it had received a potential lifeline from US-based Oaktree Capital to refinance $650M of its debt. Star fell more than 60% in 2024.

US markets are closed tonight for Presidents' Day.