Rise and Shine: Everything you need to know before the ASX opens

Good morning everyone and welcome to Rise and Shine on Thursday, June 5, 2025. Here’s what you should know before the ASX opens today…

The ASX is expected to open pretty much where it left off yesterday, with futures pointing sideways at 7AM AEST on Thursday.

What happened on Wall Street?

Overnight, the S&P closed flat, the Dow was down 0.22%, and the tech-heavy Nasdaq lifted by 0.32%.

US data painted a picture of an economy easing off the throttle.

Private-sector hiring slowed to just 37,000 jobs in May, the softest pace in over two years, and the services sector dipped into contraction for only the fourth time in five years.

Bond yields dropped, traders started circling rate cuts, and the Fed’s Beige Book showed activity is fading across the board.

Meanwhile, Apple took another bruising after Needham downgraded the stock, warning that the iPhone king isn’t keeping up in the AI arms race. Apple is already the worst-performing of the Magnificent Seven, and this latest knock didn’t help.

Over at Tesla, shares slumped more than 3% as Elon Musk took a wrecking ball to Trump’s latest tax plan, calling it a “disgusting abomination” and urging Americans to “kill the bill.”

But AI is still the golden child.

Wall Street tech bull Dan Ives launched a new ETF focused on the AI revolution, aiming to ride the second and third wave of growth in chips. It will trade under the ticker, surprise, IVES.

Keep an eye on tech sentiment today, and whether Apple’s stumble spills over into local AI or chip plays.

Musk’s tax war

The world’s richest man has gone full political pitbull, lashing Trump’s massive tax bill and calling on Americans to ring their Senators and “KILL” the legislation.

His campaign against the bill, which he said could add US$2.5 trillion to the deficit, has pitted him directly against Republicans he was backing just weeks ago.

The political theatre comes just days after he quit his brief post in the Department of Government Efficiency (DOGE).

Saudis ready to pump harder

The Saudis are switching gears.

After years of playing price defender, they now want OPEC+ to turn on the taps, pushing for supply hikes in August and September to claw back lost market share during peak summer demand.

The group is already on track to add 411,000 barrels a day through July, and the latest push marks a sharp shift in strategy.

Crude prices have come off hard in recent months, hitting a four-year low in April, and while futures have bounced a little, Brent is still trading below US$65 last night.

More oil supply = lower prices.

That’s pressure for local energy names like Woodside and Santos, but cheaper energy could also give broader equities a bit of breathing room.

And finally…

Back home, it’s a day for stats.

We’ll get fresh data from the ABS on household spending, April’s trade balance, and also an investor day from Downer EDI.

Over in China, Caixin Services is expected to show a slight lift, which could offer a little optimism for Aussie exporters.

The readings today could give a better read on whether economies are still cruising.

Commodity/forex/crypto market prices

What got you talking

Also in the news…

As tensions rise in the Indo-Pacific, Aussie tech players like Vection Technologies (ASX:VR1) , DroneShield (ASX:DRO) and  Harvest Technology Group (ASX:HTG) are quietly stepping into the spotlight.

With the gold bull run pausing for now, find out which commodities are on the up, and which are set to languish further.

ASX tech stocks roared back to life in May, riding a wave of global AI hype, easing trade tensions, and strong earnings.

TRADING HALTS

BetMakers Technology Group (ASX:BET) – cap raise
Dominion Income Trust 1 (ASX:DN1) – cap raise
Toys’R’Us ANZ Limited (ASX:TOY) – recapitalisation plans

At Stockhead, we tell it like it is. While Harvest Technology is a Stockhead advertiser, it did not sponsor this article.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.