The Rio Tinto Ltd (ASX: RIO) share price is in focus today after the mining giant reported copper equivalent production rose 3% year-on-year for the first half of 2026, with iron ore and lithium output also trending higher.

What did Rio Tinto report?

• First-half 2026 copper equivalent (CuEq) production up 3% year on year
• Oyu Tolgoi copper mine delivered 31% higher copper output, supporting copper C1 net unit cost reductions
• Pilbara iron ore sales in Q2 at 85.3 Mt, up 7% on Q2 2025; H1 iron ore sales totalled 157.7 Mt (+5% YoY)
• Bauxite production recovered in Q2, but H1 fell 7% YoY to 28.5 Mt
• Lithium carbonate equivalent (LCE) production jumped 20% in Q2 and 53% in H1 to 27.3 kt
• 2026 production and cost guidance across key commodities left unchanged

What else do investors need to know?

In the first half of 2026, Rio Tinto saw strong contributions across most commodities, with productivity programs helping lift Pilbara iron ore’s output to the highest first half levels since 2018. The ramp up of Oyu Tolgoi underground operations supported significant growth in copper output, while new lithium projects—Sal de Vida and Fénix 1B—delivered first production ahead of plan.

Production guidance for iron ore, copper, aluminium, and lithium remains unchanged for the full year. The group flagged ongoing resilience despite global supply chain challenges and only “limited” operational impacts from Middle East disruptions. Notably, Rio’s copper portfolio benefited from strong pricing trends, while higher diesel costs modestly raised Pilbara iron ore cash costs.

Large-scale expansion projects including Simandou iron ore, Canadian AP60 aluminium smelter, and Rincon lithium in Argentina are tracking milestones, with some nearing completion. Free cash flow reporting changes and the group’s commitment to capital discipline were also highlighted.

What did Rio Tinto management say?

Rio Tinto Chief Executive Simon Trott commented:

We are delivering growth as we drive performance across the group, with copper equivalent production up 3 per cent in the first half. Our scale, geographical diversification and sophisticated supply chains continue to underpin our resilience and strong operational performance despite ongoing geopolitical uncertainty throughout the period

What’s next for Rio Tinto?

Management reaffirmed full-year production and cost guidance across core businesses. In the Pilbara, ongoing productivity investments are expected to underpin stable iron ore shipments, though some port outload capacity reductions are flagged as capital works continue. Copper growth is set to accelerate as Oyu Tolgoi ramps up and work advances at Resolution (US) and Winu (WA) projects.

Lithium remains a strategic focus, with expansion in Argentina proceeding and inaugural production from key assets achieved ahead of expectations. The Simandou iron ore development and Canada’s AP60 aluminium project are major near-term catalysts. Management remains upbeat about long-term market demand for Rio Tinto’s portfolio of future-facing minerals.

Rio Tinto share price snapshot

Over the past 12 months, Rio Tinto shares have risen 48%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has risen 2% over the same period.

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The post Rio Tinto: 3% production growth and strong lithium output in H1 2026 appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

The big four bank shares play a vital role in the Australian economy and hold a dominant market share of the ASX 200. 

In fact, they make up almost a quarter of Australia’s benchmark index in terms of market cap.

Because of this dominance, the performance of the big four bank shares heavily impacts many investors’ portfolios. 

This is true both through individual exposure and many ASX ETFs that include these banks. 

How have they performed in 2026?

Compared to the year prior, the big four bank shares have underperformed in 2026. 

At the time of writing, year to date: 

• Commonwealth Bank of Australia (ASX: CBA) shares are up 5%
• National Australia Bank Ltd (ASX: NAB) shares are down 6%
• ANZ Group Holdings Ltd (ASX: ANZ) shares are down nearly 1%
• Westpac Banking Corp (ASX: WBC) shares have fallen 6%. 

There have been several headwinds contributing to this underperformance. 

Big four bank shares have generally underperformed in 2026 after entering the year on elevated valuations, leaving limited upside as investors questioned whether earnings growth could justify their premium prices. 

Interest rates, softer net interest margins and a rotation into cheaper sectors have also weighed on sentiment toward the major banks.

However, it is worth noting that there has been an upward trajectory in recent weeks, as murmurs of interest rate declines have improved sentiment.

What are experts saying about bank shares?

As we look towards the back half of 2026, there appears to be limited upside for big four bank shares. 

For Australia’s largest bank, Morgan Stanley recently maintained its sell rating on CBA shares with a $125 target. 

This target represents a 26% downside compared to current levels. 

Morgan Stanley also has a sell rating on NAB and Westpac shares. 

Its price targets of $34.50 and $31.50, respectively, indicate between 13% and 14% downside risk. 

Finally, in some good news, Citi reaffirmed its buy rating on ANZ shares recently with a price target of $39.25.

This indicates an upside of roughly 9% from current levels. 

Why this unique ASX ETF could be an option 

It’s important for investors to understand that broker targets aren’t guarantees, and analysts can be wrong. 

However, the current consensus suggests the major banks may offer limited capital growth after their strong run. 

For investors who still want exposure to the sector without relying heavily on any single bank, a diversified ASX ETF such as VanEck Australian Banks ETF (ASX: MVB) could be a smart investment. 

It includes a majority exposure to the big four banks in one simple trade, as well as three other large ASX financials shares. 

It may help investors diversify their exposure to the big four banks. 

The post What are experts tipping for the big four bank shares in the back half of 2026? appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Bell has positions in National Australia Bank. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ASX dividend shares can be some of the best ways to unlock a good level of passive income. I want to highlight two businesses that have dividend yields above 6%.

I think some dividend yields can be too high if they’re not going to be sustainable payouts for the long-term. I don’t want to invest in things where the dividend payout is likely to decline in the coming years.

Of course, dividends are not guaranteed. But, some businesses are more likely to grow their payouts than others. Below are two I’m excited by.

Dexus Industria REIT (ASX: DXI)

This business is a real estate investment trust (REIT) that invests in industrial property across Australia. The industrial property sector has a low vacancy rate, which is a useful tailwind for rental growth, along with demand growth in areas like e-commerce adoption and data centres.

The ASX dividend share’s FY26 payout comes to 16.6 cents per security, representing a distribution payout ratio of 95.4%. I think it’s useful to see when a business is retaining some of its profit to invest in future opportunities.

The projected payout comes to a dividend yield of 6.8%. This business looks like a bargain to me because it’s trading at a 28% discount to the net tangible assets (NTA) of $3.39 as of 31 December 2025.

The fund manager of the REIT, Jason Weate, said with the HY26 result:

While the industrial sector has continued to normalise, underlying supply-demand fundamentals are solid. Vacancy remains low across core industrial markets, with high land and construction costs putting pressure on pipelines. In the medium to long term, the sector will continue to be supported by a growing population and limited available supply.

In my view, this bodes well for the ASX dividend share’s future payouts, particularly if the business can continue its solid mid-to-high single digit rental income growth.

MFF Capital Investments Ltd (ASX: MFF)

The other ASX share I want to highlight is this listed investment company (LIC), which aims to invest in high-quality international businesses with competitive advantages that enable them to grow earnings over the long term.

When a LIC generates strong investment returns over time, they can deliver pleasing and rising dividends for investors. MFF is invested in several of the best, strongest companies that enable the MFF portfolio as a whole to do well.

MFF has increased its regular annual dividend per share each year since FY18, so it has already given investors several years of consecutive dividend growth and it wants to continue that track record.

The business has increased its annual dividend per share by 4 cents in the last couple of financial years and I expect this trend to continue in FY27. That means its potential FY27 could be a grossed-up dividend yield of 6.9%, including franking credits, at the time of writing.

The post 2 ASX dividend shares with yields above 6% appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Mff Capital Investments. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Mff Capital Investments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.