Author: openjargon

The team at Bell Potter have been consistently bullish on ASX materials stock WA1 Resources Ltd (ASX: WA1) this year. 

WA1 listed on the ASX in February 2022. Since then, it has focused on an aggressive drill-out program at West Arunta, specifically targeting the Luni carbonatite structure. 

Niobium is a niche commodity, primarily micro-alloyed into structural steel to improve strength and reduce weight in applications.

In the last 12 months, this ASX materials stock has been relatively flat.

However a key announcement has led to a strong upgrade from the team at Bell Potter who now see this ASX materials stock as one that could double in the next 12 months. 

What happened?

WA1 has completed larger-scale processing tests on ore from its Luni niobium project. 

The tests showed the company can successfully concentrate the niobium into a high-grade product using a relatively simple flotation process and ordinary site water.

For investors, this is a big positive as one of the biggest risks for any mining project is whether the ore can actually be processed economically.

These results show that:

• The processing method appears to work consistently across different parts of the deposit.
• The quality of the concentrate produced is high enough to be commercially attractive.
• The project’s future processing plant design is becoming more certain.

In mining terms, this “de-risks” the project because investors now have more confidence that the ore can be turned into a saleable product.

Standout results

The best area of the deposit (Composite A), which is expected to be mined first, delivered:

• 46% niobium concentrate grade
• 67% recovery rate.

Recovery rate means 67% of the niobium in the ore was successfully captured during processing.

This was better than previous test results and suggests the project could be more profitable than originally expected.

Because recoveries were stronger than expected, Bell Potter increased its assumption for how much niobium WA1 can extract from the ore.

Big upgrade for ASX materials stock

As a result, Bell Potter has upgraded its price target on this ASX materials stock to $27.20 (previously $24.40). 

This is significant because this ASX materials stock currently trades for around $12.50 per share. 

The new target from Bell Potter indicates an upside potential of 129%. 

The testwork confirms a two-stage flotation regime can produce high-quality niobium concentrates with commercially relevant recoveries across the deposit, using raw site water.

The broker has retained its speculative buy recommendation. 

The post Bell Potter tips 129% upside for this ASX materials stock appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Bell 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.

Of those ASX investors who love buying and investing in Vanguard index funds, there are two real choices if an investor wishes to gain broad exposure to the Australian share market. The preferred choice of many is, of course, the Vanguard Australian Shares Index ETF (ASX: VAS).

This exchange-traded fund (ETF) is, by a large margin, the most popular index fund and ETF in Australia, with more than $26 billion currently under management.

VAS offers investors simple, easy access to our most well-known shares by mirroring the S&P/ASX 300 Index (ASX: XKO). As its name implies, this index tracks the largest 300 stocks listed in Australia. That’s everything from Commonwealth Bank of Australia (ASX: CBA), Telstra Group Ltd (ASX: TLS), and Woolworths Group Ltd (ASX: WOW), to JB Hi-Fi Ltd (ASX: JBH), Ampol Ltd (ASX: ALD), and Metcash Ltd (ASX: MTS).

However, there is another Vanguard index fund that addresses one of investors’ chronic concerns about ASX index funds – that they are too heavy on sluggish bank shares and mining stocks.

That Vanguard ETF is the Vanguard MSCI Australian Small Companies Index ETF (ASX: VSO). Instead of buying 300 of the largest stocks listed on the public markets, VSO only holds about 170. These are all taken from the bottom end of the ASX 300, so no CBAs or Telstras here.

Instead, you’ll find the likes of BlueScope Steel Ltd (ASX: BSL), NextDC Ltd (ASX: NXT), and Orica Ltd (ASX: ORI) amongst its largest holdings. VSO is designed to give extra weight to these smaller, and potentially more nimble and mobile stocks, at the expense of the ASX’s largest blue chips.

That all sounds grand. But today, let’s check out the numbers, and see which ASX ETF has actually delivered the best returns for investors.

VSO or VAS: Which ASX index fund comes out on top?

Let’s start with the Vanguard Australian Shares ETF. As of 31 May, this index fund has delivered a 1.38% return year to date. Over the past 12 months, the number is 7.091%. That stretches to 10.94% per annum over the three years to 31 May, 7.92% over five years, and 9.03% over ten.

These returns account for fees and include both capital growth and dividend distribution returns.

Meanwhile, VSO units have gone backwards by 2.6% in 2026 so far. However, over 12 months, investors have enjoyed a 13.27% return. That morphs into 11.42% per annum over the past three years, 7.02% over five years, and 9.33% over ten years.

As you can see, there isn’t a lot of distance between these two Vanguard ETFs. Both VAS and VSO come out ahead over different periods, but an investor who put all of their eggs in either VAS or VSO five or ten years ago would largely come out level.

It seems, going off the historical data at least, it didn’t matter if investors chose one, the other, or both.

The post VAS vs VSO: Do small-cap stocks beat the ASX 300? appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen has positions in Vanguard Australian Shares Index ETF and Vanguard Msci Australian Small Companies Index ETF. 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 Telstra Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

CSL Ltd (ASX: CSL) shares remain one of the most debated blue-chip stocks on the ASX.

The biotechnology giant is trading around $112.04, which is a long way below the levels investors were used to seeing in past years. That alone makes the stock interesting, but it does not make the investment case simple.

Ord Minnett has recently reviewed its CSL model and maintained a hold recommendation on the stock. The broker’s concern centres heavily on the Vifor nephrology business and the uncertainty around CSL’s earnings outlook as management works to reset the company.

So, is the broker right to stay cautious?

The cautious case

Ord Minnett’s concern is not hard to understand.

CSL is best known for its Behring plasma products business, but the group also includes Vifor and Seqirus. Vifor is exposed to nephrology therapies, while Seqirus operates in vaccines.

The broker believes Vifor’s challenges are being underestimated by the broader market. It has highlighted the loss of exclusivity rights for Injectefer, which is used to treat iron deficiency anaemia, as generic versions enter the US market. It also points to Velphoro, a therapy used by chronic kidney disease patients on dialysis, being removed from the US federal government’s transitional drug add-on payment adjustment program from January 2027.

Ord Minnett expects these issues to pressure pricing and has assumed a fall in Vifor revenue and profit of US$355 million in FY27.

That is not a minor concern.

The broker’s Vifor revenue and operating profit forecasts for FY27 sit below consensus estimates. It also expects Vifor operating profit across FY27 to FY29 to be more than 10% below market expectations.

That cautious view, combined with what it sees as a middling outlook for Seqirus, has led Ord Minnett to cut its CSL group earnings per share estimates for FY27 and FY28.

Why I see it differently

I understand the hold rating. CSL is dealing with genuine moving parts, and investors should not pretend the reset is already complete.

But I think the more interesting question is whether the current CSL share price is already giving patient investors a reasonable chance to be rewarded.

In my view, it is.

CSL is not just Vifor. The Behring division remains the core of the business, and Ord Minnett itself appears to see a modestly brighter outlook for this key plasma products operation.

That is important because plasma is the heart of CSL’s long-term investment case.

This is a global business with scale, specialist manufacturing capability, regulatory experience, collection infrastructure, and deep relationships across healthcare markets. Those strengths are difficult to recreate.

I also think the market’s view of CSL has changed dramatically. Investors are no longer treating it like a flawless compounder. Expectations are lower, the valuation has reset, and management has a clearer challenge: rebuild confidence through execution.

That does not need to happen quickly to make the stock attractive. It needs to happen steadily.

A patient buy

I would rate CSL shares as a buy for patient investors.

The word patient is important. Vifor’s challenges, Seqirus’ mixed outlook, margin pressure, and management’s broader reset all mean the recovery case may take time.

But I think the share price already reflects a lot of disappointment. CSL still has a globally important plasma business, exposure to healthcare demand, and the potential to improve earnings over time if management executes well.

Ord Minnett may be right to flag the risks in Vifor. I just think the hold rating is too cautious when looking at the broader business and the current valuation.

Foolish takeaway

CSL is no longer the easy blue-chip story it once seemed to be. Investors now have to weigh a high-quality global healthcare franchise against real earnings uncertainty and a business reset that still needs proof.

That tension is exactly why the opportunity exists.

I would not ignore Ord Minnett’s concerns. Vifor could remain a drag, and CSL has work to do. But for investors willing to look beyond the next couple of reporting periods, I think the balance of risk and reward now looks attractive.

CSL shares may require patience, but I think they are worth buying at current levels.

The post Is this broker right about CSL shares? appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in CSL. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL. The Motley Fool Australia has recommended CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Income can come from many different places on the ASX.

This variety can be useful for investors who want to build a passive income stream over many years.

With that in mind, here are three ASX dividend shares from different parts of the market that could be worth buying and holding.

Flight Centre Travel Group Ltd (ASX: FLT)

The first ASX dividend share to look at is Flight Centre.

It gives investors exposure to the travel market, operating across leisure travel, corporate travel, and online travel services.

Its income profile is likely to be more cyclical than many defensive dividend shares.

That is because travel demand can move with economic conditions, airfares, consumer budgets, and business confidence. But this same cyclicality can create strong cash flow when conditions are supportive.

For investors prepared to accept some variability in dividends, Flight Centre could offer income and recovery potential over the long term.

Rural Funds Group (ASX: RFF)

Another ASX dividend share to consider is Rural Funds.

It gives investors access to Australian agriculture through a portfolio of farming assets and water-linked properties.

This is a different kind of income investment. Rather than relying directly on supermarket sales, bank profits, or consumer spending, Rural Funds generates rental income from agricultural assets leased to operators.

The company’s assets sit in an essential part of the economy. Food production, agricultural land, and water rights all have long-term relevance, even though the sector can still be affected by weather, commodity prices, debt costs, and asset valuations.

This could make Rural Funds an interesting option for income investors wanting something outside the usual ASX dividend names.

Transurban Group (ASX: TCL)

A third ASX dividend share to look at is Transurban. It owns toll roads in major cities across Australia and North America. This includes CityLink in Melbourne, Cross City Tunnel in Sydney, and AirportlinkM7 in Brisbane.

These roads are used by commuters, freight operators, businesses, airport travellers, and households moving across key transport corridors. That gives the company exposure to urban mobility.

As cities grow and congestion remains a challenge, well-located roads can become highly valuable assets. Transurban’s roads can save drivers time, provide access to important routes, and support the movement of goods and people.

As a result, for investors wanting income from infrastructure, Transurban could be a strong ASX dividend share to buy and hold for years.

The post 3 ASX dividend shares to buy and hold for years of income appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Transurban Group. The Motley Fool Australia has positions in and has recommended Rural Funds Group and Transurban Group. The Motley Fool Australia has recommended Flight Centre Travel Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ASX tech stock Catapult Sports Ltd (ASX: CAT) continued its painful slide on Tuesday, falling 6% to $2.77 and hitting a fresh 52-week low.

The decline extends a difficult period for shareholders. The ASX tech stock is down 26% over the past month, has lost 33% in 2026, and has fallen 51% over the past year.

After such a dramatic sell-off, investors may be wondering whether things can get any worse.

Let’s take a closer look at what’s happening and what analysts think comes next.

Why are Catapult shares under pressure?

The recent weakness of the ASX tech stock reflects a combination of broader market sentiment and concerns around growth stock valuations.

Investors have become increasingly selective when assessing technology companies, particularly those trading on future growth expectations rather than near-term earnings. That shift has weighed heavily on sentiment across parts of the technology sector, including Catapult shares.

The company has also been caught up in broader risk-off trading, with investors rotating away from smaller growth companies despite continued operational progress.

As a result, the share price has continued trending lower even as the business expands its customer base and product offering.

Athlete performance technology

Catapult develops athlete performance and analytics technology used by professional sporting organisations around the world.

Its solutions allow coaches, sports scientists, and performance staff to monitor player workloads, track physical performance, reduce injury risks, and improve decision-making.

The company’s technology is deeply embedded across elite sport. Its products are used by teams in the AFL, NRL, Premier League, NFL, NBA, MLB, and international rugby competitions, among many others.

That broad customer footprint highlights one of the greatest strengths of this ASX tech stock.

Once teams integrate Catapult’s hardware, software, and historical performance data into their daily operations, switching to another provider becomes difficult and disruptive. This creates sticky customer relationships, recurring revenue streams, and a significant competitive moat.

What are the risks?

Despite its strong market position, the ASX tech stock still faces several risks.

The company remains heavily reliant on continuing to grow subscriptions and expand adoption of its products. Any slowdown in customer growth could affect investor confidence.

Like many technology businesses, Catapult also faces execution risk. Management must continue delivering product innovation while expanding internationally and maintaining customer retention.

Valuation expectations have also played a role in the recent sell-off of the ASX tech stock. Growth shares can experience significant share price volatility when market sentiment deteriorates, even when underlying business performance remains relatively solid.

What do analysts think?

Analysts remain surprisingly optimistic despite the sharp decline.

According to TradingView data, every analyst covering Catapult currently rates the ASX tech stock as either a buy or strong buy.

The average price target sits at $5.72 per share, implying upside of approximately 106% from current levels. The most bullish analyst forecast suggests the stock could climb as much as 193% over the next 12 months.

Morgans is among the more optimistic brokers. It currently has a buy rating and a $5.40 price target on the company. Based on the recent share price, that implies potential upside of almost 100%.

The post What next for this ASX tech stock after reaching new lows? appeared first on The Motley Fool Australia.

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

On Tuesday, the S&P/ASX 200 Index (ASX: XJO) had a subdued session and dropped into the red. The benchmark index fell 0.3% to 8,787 points.

Will the market be able to bounce back from this on Wednesday? Here are five things to watch:

ASX 200 to rebound

The Australian share market looks set for a better day on Wednesday despite a mixed night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 54 points or 0.6% higher. In late trade in the United States, the Dow Jones is up 0.1%, but the S&P 500 is down 1.15% and the Nasdaq is 1.8% lower.

Oil prices fall again

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a poor session after oil prices fell again overnight. According to Bloomberg, the WTI crude oil price is down 1% to US$73.15 a barrel and the Brent crude oil price is down 1.1% to US$77.06 a barrel. Traders have been selling oil after monitoring tanker traffic through the Strait of Hormuz.

Buy IVE shares

Bell Potter thinks investors should be buying IVE Group Ltd (ASX: IGL) shares. This morning, the broker has retained its buy rating and $3.25 price target on the marketing communications company’s shares. It believes IVE Group’s shares are undervalued at current levels, saying: “We see the stock as value trading on underlying PE ratios of 8x and 7x in FY26 and FY27 with growth expected to pick up again in FY27 and continue into FY28. We also note this is the final year the dividend has been capped or set at 18c – which still generates a yield of c.7% – and see potential or likely upside to the dividend in FY27 and beyond.”

Gold price falls

ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a soft session on Wednesday after the gold price fell overnight. According to CNBC, the gold futures price is down 1.3% to US$4,148.4 an ounce. Rate hike fears continue to weigh on precious metals.

BHP and Rio Tinto on watch

BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO) shares will be on watch on Wednesday after a poor night of trade for their NYSE-listed shares. In late trade on Wall Street, BHP shares are down 4% and Rio Tinto shares are down 3.5%. This is broadly in line with the performance of the copper price, which has pulled back by 3.5%.

The post 5 things to watch on the ASX 200 on Wednesday appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro 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 recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen has positions in Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Telix Pharmaceuticals and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Telstra Group and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Cochlear Ltd (ASX: COH) shares edged 0.3% higher to $113.34 during Tuesday afternoon trade. That modest gain follows a 4% decline on Monday and caps off an extraordinary few months for investors.

The ASX healthcare stock has rebounded 17% over the past month, yet it remains down a staggering 57% year to date. With the share price swinging wildly, many investors are wondering what’s driving the volatility and where Cochlear goes from here.

Why have Cochlear shares been so volatile?

To understand the recent moves, it’s worth remembering just how painful April was for investors in Cochlear shares.

The biggest blow landed on 22 April when Cochlear released a trading update that shocked the market.

Investors rushed for the exits after the company reported weaker demand for its hearing implants across developed markets. Management also highlighted cancellations and delivery delays in the Middle East due to the ongoing regional conflict.

The result was one of the most dramatic share price reactions seen on the ASX this year. Cochlear shares plunged 40.7% in a single trading session.

The disappointing update forced management to slash its FY 2026 underlying net profit guidance to between $290 million and $330 million. That was a significant downgrade from its previous forecast range of $435 million to $460 million.

Since then, investors have been trying to determine whether the setback represents a temporary disruption or a more serious threat to the investment case.

Has the long-term story changed?

While earnings expectations have clearly deteriorated, Cochlear’s competitive position remains largely intact.

The company still controls roughly half of the global cochlear implant market, making it the clear industry leader. That market leadership has been built over more than four decades of investment in research, development, and innovation.

Its products are deeply embedded within healthcare systems around the world, creating significant barriers for competitors attempting to win market share.

Perhaps even more importantly, the long-term growth runway remains substantial.

The addressable market is estimated to exceed six million patients across developed markets alone, yet penetration remains only around 3%. That leaves significant room for future growth if awareness, diagnosis rates, and adoption continue to improve.

An ageing population, increasing awareness of hearing loss, and ongoing advances in implantable hearing technology should also support long-term demand and the price of Cochlear shares.

What do analysts think?

Analyst sentiment on Cochlear shares remains cautious but not outright bearish.

TradingView data shows most brokers currently rate Cochlear shares as a hold. The average price target sits at $129.12, implying approximately 13% upside from current levels.

Bell Potter is among the brokers maintaining a hold recommendation.

The long term opportunity for this hearing implants maker remains compelling, supported by a large addressable market, strong brand position and an attractive product pipeline. However, near term trading conditions have softened in response to weaker referral activity in the US, hospital capacity constraints in Europe and reimbursement changes in China. Until there’s clearer evidence that volumes are stabilising, a more balanced stance is appropriate. The long term growth story and product pipeline remain intact.

For now, many analysts appear willing to wait for clearer evidence that implant volumes are stabilising before becoming more constructive on the stock.

That means Cochlear’s long-term growth story remains intact, but investors may need to be patient as the company navigates a difficult operating environment.

The post What on earth’s going on with Cochlear shares? appeared first on The Motley Fool Australia.

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

Liontown Ltd (ASX: LTR) shares are down around 2.5% and trading at $1.86 a piece in Tuesday afternoon trade.

Today’s decline means the ASX 200 lithium shares have now crashed 30% from a three-year high recorded in early May. 

Thankfully, after a strong start to the year, the shares are still 14% higher year to date and a huge 181% higher than 12 months ago.

For context, the S&P/ASX 200 Index (ASX: XJO) is up around 0.1% today and around 1% higher for the year to date.

What happened to Liontown shares?

ASX lithium mining shares like Liontown experienced a strong uptick in the first few months of 2026, driven by resurging lithium prices and soaring investor sentiment. 

Liontown rode the lithium rebound, and at the same time, investors have been pleased with the company’s production growth potential. It looks like investors leaned into Liontown shares this year on the pretence that it has a long-term ability to benefit from strong lithium pricing and expanding global EV demand.

The miner’s development pipeline and exposure to future supply chains have also attracted investor attention.

But while the commodity boom is a strong tailwind for the miner, there is also a drawback.

Liontown is practically a pure-play lithium miner, and its assets are overwhelmingly lithium-focused. This means it is sensitive to and heavily dependent on lithium price trajectories. 

If the price rally starts to reverse, the business is at risk.

And that’s exactly what has played out in Liontown’s share price.

Trading Economics data shows that lithium carbonate prices spiked to a multi-year high in mid-May. But now prices have dropped to around CNY157,000 (approx. AU$33,210) per tonne, the lowest level in ten weeks, following speculation that one of the world’s largest lithium mines could resume operations soon.

Trading Economics explained that Contemporary Amperex Technology‘s Jianxiawo mine in Jiangxi province was suspended last year due to permitting issues. But there has been a recent government notice about a preliminary land assessment. And this has fueled expectations that the site could restart in the second half of 2026. 

The concern is that a potential restart could weigh heavily on prices at a time when the market is still concerned about global lithium oversupply. This, combined with overall sector-wide weakness, can continue driving the lithium stock lower.

The question now is, what can we expect from Liontown shares next?

Are the shares a buy, sell, or hold now?

Analysts are divided about the outlook for the lithium miner over the next year. 

TradingView data shows that sentiment is split. Out of 12 analysts, five have a strong buy rating, four rate the miner as a hold, and three have a sell or strong sell stance.

The average $2.20 target price, however, implies a potential 17% upside at the time of writing. 

But the range between the minimum and maximum target prices is huge. Some tip the shares to crash another 50% to just 95 cents, while the more bullish of the bunch think there is potential for Liontown shares to climb another 60% to $3 each.

The post Liontown shares crash 18% in a month: What happened? appeared first on The Motley Fool Australia.

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Motley Fool contributor Samantha Menzies has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Contemporary Amperex Technology,. 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.

The S&P/ASX 200 Index (ASX: XJO) is a touch lower on Tuesday, despite another decent session for the big banks.

At the time of writing, the ASX 200 is down 0.07% to 8,809 points.

The index has moved around during the session. It climbed as high as 8,849.9 points earlier in the day before falling to a low of 8,798.4 points.

At the latest check, 139 of the top 200 shares are trading lower, while 51 are higher and 10 are unchanged.

Bank stocks provide some support

The main reason the ASX 200 isn’t down further is the support coming from the big banks.

Commonwealth Bank of Australia (ASX: CBA) shares are up 0.67% to $164.50, while Westpac Banking Corp (ASX: WBC) shares are 1.01% higher at $35.475.

National Australia Bank Ltd (ASX: NAB) shares are up 1.19% to $38.32, and ANZ Group Holdings Ltd(ASX: ANZ) shares are 1.28% higher at $35.70.

Macquarie Group Ltd (ASX: MQG) is also helping, with its shares up 0.81% to $249.92.

That strength is helping offset weakness elsewhere, especially with several large resource names trading lower.

CSL Ltd (ASX: CSL) is also lending a hand. Its shares are up 1.36% to $114.41.

Resources stocks hold back the ASX 200

The resources side of the market is under pressure today.

BHP Group Ltd (ASX: BHP) shares are down 0.18% to $60.23, while Woodside Energy Group Ltd (ASX: WDS) shares are 0.57% lower at $28.605.

Although gold and lithium stocks are seeing heavier selling.

Northern Star Resources Ltd (ASX: NST) shares are down 2.45% to $20.68, Evolution Mining Ltd (ASX: EVN) shares are 1.81% lower at $12.75, and Lynas Rare Earths Ltd (ASX: LYC) shares are down 2.44% to $18.165.

PLS Group Ltd (ASX: PLS) is also being sold off, with its shares down 2.80% to $5.37.

US tech jitters are still being watched

Local investors are keeping an eye on Wall Street after another choppy session for US tech stocks.

The Nasdaq Composite Index (NASDAQ: .IXIC) was pressured by weakness in large tech names, including Alphabet Inc (NASDAQ: GOOG) (NASDAQ: GOOGL) and Space Exploration Technologies Corp (NASDAQ: SPCX).

US futures are also lower during local trade, which has kept buyers cautious around growth stocks.

That is flowing through to some ASX tech shares. Pro Medicus Ltd (ASX: PME) shares are down 1.20% to $172.55, while REA Group Ltd (ASX: REA) shares are 1.78% lower at $133.35.

Where does the ASX 200 go from here?

The ASX 200 is still up 1.1% since the start of 2026 and around 4% over the past year.

Still, today’s session shows the market is leaning heavily on the banks.

If resources and tech keep slipping, the index may need more support from offshore markets to move higher.

The post Why is the ASX 200 stuck in the red today? appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, CSL, and Macquarie Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Lynas Rare Earths Ltd and Pro Medicus. The Motley Fool Australia has recommended Alphabet, BHP Group, CSL, Macquarie Group, and Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.