The Australian share market has fallen amid global disappointment over AI chip maker Nvidia's forward guidance, despite its blockbuster earnings report.
Contributing to the malaise were discouraging domestic earnings reports and updates from Wesfarmers, Cettire, Webjet and Mineral Resources.
But the Australian dollar had climbed to its highest level since late December, in its first sustained move over 68 US cents.
The benchmark S&P/ASX200 index on Thursday fell 26.3 points, or 0.33 per cent, to 8,045.1, while the broader All Ordinaries dropped 27.7 points, or 0.33 per cent, to 8,263.6.
In the early morning, Australia time, traders around the world were watching as Nvidia reported its second-quarter revenue jumped 122 per cent to $US30 billion ($A44 billion), beating expectations.
But the world's second-largest company by market capitalisation was measured about its future, given problems with its new Blackwell chips.
"Judged from the initial market reaction in extended trading hours, the loftiest expectations were clearly not met," Saxo head of equity strategy Peter Garnry said.
Nvidia has become seen as something of a global bellweather of sentiment, especially given the enthusiasm over AI and its earnings report had taken on added importance because this week is light on macroeconomic data releases.
The ASX's industrial, financial and tech sectors gained modestly on Thursday and its other eight categories lost ground.
Energy was the biggest mover, falling 2.2 per cent as Woodside dropped 1.7 per cent and Boss Energy retreated 8.3 per cent amid another sell-off for uranium developers.
The consumer discretionary sector fell two per cent as Wesfarmers dropped 4.1 per cent to $74.06.
The industrial and retail conglomerate reported $4 billion in operating earnings for 2023/24, in line with estimates, but said that since July, sales momentum had moderated at its Bunnings Warehouse division.
Elsewhere in the sector, Cettire plunged 20.3 per cent to a two-month low of $1.06 after the luxury fashion e-retailer said its 2023/24 profit had dropped by more than a third, to $10.5 million.
RBC Capital Markets analyst Wei-Weng Chen called it a tough result for Cettire, which was only marginally profitable in the fourth quarter and has had a soft start to 2024/25.
Webjet fell 5.6 per cent to $7.80 as managing director John Guscic told the travel platform's annual general meeting online travel bookings in recent months had been subdued, reflecting ongoing cost-of-living pressure and Rex Airlines going into administration.
Mineral Resources fell 8.1 per cent to $40.61 as the mining and energy company ruled out dividend payments after slumping lithium prices crushed its annual profit.
"We're throwing everything off the deck just to make sure we conserve cash," MinRes founder and managing director Chris Ellison told a webcast.
"It's not a fun time. I mean this is the sh*ttiest time to be the MD of a company."
Elsewhere in the mining sector, BHP dropped 0.6 per cent to $40.53, Rio Tinto declined 0.8 per cent to $109.99 but Fortescue gained 0.7 per cent to $18.56.
All of the big four banks finished higher, with Westpac adding 0.8 per cent to $31.08, NAB lifting 0.6 per cent to $37.94, ANZ growing 0.4 per cent to $30.04 and CBA edging 0.2 per cent higher at $138.80.
The Australian dollar was buying 68.04 US cents, from 67.96 US cents at Wednesday's ASX close.
ON THE ASX:
* The benchmark S&P/ASX200 index finished Thursday down 26.3 points, or 0.33 per cent, at 8,045.1.
* The All Ordinaries dropped 27.7 points, or 0.33 per cent, at 8,263.6.
CURRENCY SNAPSHOT:
One Australian dollar buys:
* 68.04 US cents, from 67.96 US cents at Wednesday's ASX close
* 98.38 Japanese yen, from 98.11 Japanese yen
* 61.14 euro cents, from 60.93 euro cents
* 51.47 British pence, from 51.35 pence
* 108.31 NZ cents, from 108.97 NZ cents
