The S&P/ASX 200 rose 2% in July to outperform global marketsSix of the 11 ASX sectors finished higher with energy leading the gainers amid higher oil pricesStelar Metals soars 109% in July thanks to its Hill of Leaders tungsten project in the NT
Global markets had a wild ride in July, driven largely by escalating Middle East conflict an an AI stocks reassessment that rattled both Wall Street and Asia before a late-month recovery.
However, the ASX defied global equity markets with the S&P/ASX 200 gaining up for the fourth consecutive month and up a solid 2% for July, according to S&P Dow Jones Indices (S&P DJI).
In the US, the Nasdaq fell 3.2% during July, while the Dow edged 0.3% higher and the S&P 500 fell 0.1%.
Earnings from the Magnificent 7 stocks were the main driver of tech volatility with results splitting the group sharply.
Tesla and Alphabet kicked off the season on a sour note, both beating on revenue but missing on the bottom line while lifting capex guidance and tumbling heavily.
The following week Microsoft and Amazon were rewarded for linking their heavy capex to real demand. However, Meta fell after failing to convince investors its AI spend was paying off, while Apple slipped on a services miss and supply constraints.
Nvidia was the outlier with its results not due until late August, leaving the AI bellwether’s read on demand still to come.
Korea’s Kospi falls heavily before staging recovery #
The global tech volatility also impacted Asian markets in July with South Korea’s Kospi falling ~22% in July, its worst monthly drop on record, triggering multiple circuit breakers.
The Index’s two heavyweights Samsung Electronics and SK Hynix were at the centre of the selling. However, along with Wall Street the Kospi staged a strong comeback at month’s end and remains up ~41% YTD.
The Japan’s Nikkei 225 fell 8% in July, snapping a four-month winning streak. China markets were mixed with The Hang Seng Index in Hong Kong surging ~13.13% over the month with strong capital inflows, heavy tech sector buying, and major regional IPO activity fuelling the gains.
However, Shanghai Composite the dropped 6.4% over July with the manufacturing PMI unexpectedly slipping to 49.2 from 50.3, marking the first contraction since February, with a stalling property market and broader global tech and Middle East tensions played on the market.
Small caps underperform #
Small caps underperformed large caps withe the S&P/ASX Small Ordinaries down 3% in July and 11% YTD, compared with gains of 4% and 12% for the S&P/ASX 20 over the same time frame.
Inflation softer as RBA tipped to hold rates #
Headline CPI in Australia rose 3.8% in the 12 months to June 2026, down from 4% in May. Trimmed mean inflation –which is preferred core measure for the Reserve Bank of Australia (RBA) – was 3.6%, for June unchanged from 3.6% in the 12 months to May.
Headline inflation rose 0.6% for the quarter, down from 1.4%, while annual inflation eased to 3.8%. The RBA did not meet in July but voted unanimously at it’s June meeting to leave the official cash rate unchanged at 4.35% after three consecutive rate hikes that occurred earlier in the year in February, March, and May.
Associate Professor Tim Robinson from Melbourne Institute of Applied Economic and Social Research said the underlying inflation outcome means that an interest rate rise is less likely at the RBA’s August meeting than previously thought.
“Inflation in Australia, both headline and underlying, came in lower than many expected in June,” he told Stockhead.
“However, it’s too early to conclude that the tightening phase of monetary policy is over.”
Robinson said a key factor for the RBA Monetary Policy Board will be what happens to inflation expectations.
“Recently the Melbourne Institute’s measure of consumer inflation expectations has moderated,” he said.
“However, past increases in fuel costs are likely to feed into other prices in the near term, and the renewed conflict in the Middle East has pushed fuel prices higher again.
“If these result in inflation expectations moving higher the RBA Monetary Board could raise rates further.”
Energy leads sectors as tech lags #
Sector performance was mixed, with six out of 11 S&P/ASX 200 sectors finishing higher. Energy led, rising 12% amid higher oil prices, followed by Financials and Health Care, which rose 6% and 2%, respectively.
On the flip side the technology, materials and utilities sectors lagged.
Fixed income falls as crypto gains #
Among the S&P/ASX factor indices, High Dividend, Value and Enhanced Value led, while Momentum was a notable laggard, declining 4% for the month.
S&P DJI said fixed income indices declined broadly as central banks signalled a hawkish stance, while commodity prices bounced back led by the S&P GSCI Crude Oil, which surged 21% in July with ongoing uncertainty surrounding the Strait of Hormuz contributing to heightened price volatility.
Digital assets also rebounded in July, with the S&P Cryptocurrency Broad Digital Asset climbing 10% for the month.
The 50 best performing ASX stocks in July #
| CODE | COMPANY | LAST SHARE PRICE | JULY RETURN % | MARKET CAP |
|---|---|---|---|---|
| JNS | Janus Electric Holdings | 0.315 | 110% | $50,690,636 |
| SLB | Stela Metals | 0.24 | 109% | $16,215,765 |
| AD1 | Adneo Limited | 0.026 | 100% | $9,893,988 |
| AMD | Arrow Minerals | 0.006 | 100% | $10,087,882 |
| AOA | Ausmon Resorces | 0.002 | 100% | $2,705,227 |
| BP8 | BPH Global Ltd | 0.002 | 100% | $4,706,969 |
| RLG | Roolife Group Ltd | 0.004 | 100% | $7,553,982 |
| XEN | Xenitra Limited | 0.004 | 100% | $17,118,102 |
| PGD | Peregrine Gold | 0.18 | 98% | $17,785,551 |
| HMG | Hamelin Gold | 0.17 | 89% | $33,711,607 |
| SOP | Synertec Corporation | 0.055 | 83% | $28,624,388 |
| CGR | CGN resources | 0.088 | 80% | $10,135,241 |
| MHK | Metal Hawk | 0.0705 | 76% | $8,699,176 |
| KTA | Krakatoa Resources | 0.007 | 75% | $11,285,827 |
| CPN | Caspin Resources | 0.135 | 73% | $39,804,725 |
| ION | Iondrive Limited | 0.048 | 71% | $62,214,932 |
| KNG | Kingsland Minerals | 0.068 | 70% | $6,162,150 |
| WOA | Wide Open Agriculture | 0.01 | 67% | $6,544,469 |
| 8CO | 8Common Limited | 0.038 | 65% | $8,515,606 |
| OMX | Orange Minerals | 0.074 | 64% | $13,150,873 |
| OSL | Oncosil Medical | 1.16 | 63% | $35,832,954 |
| UM1 | Unity Metals Limited | 0.16 | 63% | $23,348,989 |
| WZR | Wisr Ltd | 0.03 | 62% | $52,870,965 |
| AGN | Argenica | 0.155 | 61% | $19,910,790 |
| CYB | Aucyber Limited | 0.062 | 55% | $12,942,353 |
| TLG | Talga Group Ltd | 0.31 | 55% | $158,387,307 |
| SGR | The Star Ent Grp | 0.14 | 52% | $929,068,389 |
| AHE | Adheris Health Ltd | 0.018 | 50% | $11,483,659 |
| AOK | Australian Oil | 0.003 | 50% | $5,840,329 |
| CT1 | Constellation Tech | 0.003 | 50% | $4,461,701 |
| ECS | ECS Botanics Holding | 0.006 | 50% | $9,606,297 |
| FHS | Freehill Mining | 0.0015 | 50% | $6,099,780 |
| MGU | Magnum Mining & Exp | 0.0075 | 50% | $24,097,779 |
| TG1 | Techgen Metals Ltd | 0.027 | 50% | $12,503,745 |
| WEL | Winchester Energy | 0.0015 | 50% | $2,569,528 |
| NGY | Nuenergy Gas Ltd | 0.042 | 50% | $80,597,955 |
| PL3 | Patagonia Lithium | 0.135 | 48% | $32,543,848 |
| SPD | Southern Palladium | 1.55 | 46% | $205,109,812 |
| IMI | Infinity Mining | 0.008 | 45% | $4,479,185 |
| RHT | Resonance Health | 0.064 | 45% | $30,535,695 |
| OFX | OFX Group Ltd | 0.795 | 43% | $185,038,730 |
| CG1 | Carbonxt Group | 0.083 | 43% | $35,966,421 |
| USC | US1 Critical Minerals | 0.02 | 43% | $20,277,048 |
| NYR | Nyrada Inc | 0.64 | 42% | $158,139,411 |
| AXL | Axel Ree Limited | 0.069 | 41% | $12,140,860 |
| ERE | European Resources | 0.014 | 40% | $9,728,808 |
| FOS | FOS Capital Ltd | 0.14 | 40% | $9,622,827 |
| MCO | Myeco Group Ltd | 0.021 | 40% | $12,675,811 |
| NRX | Noronex Limited | 0.014 | 40% | $9,066,972 |
| PTX | Prescient | 0.085 | 39% | $89,378,736 |
Truck electrification specialist Janus Electric Holdings (ASX:JNS) rose 110% in July after a series of positive announcements, including that it had secured ~$45 million in conditional orders from four California fleet operators.
JNS also announced it had received firm commitments to raise ~$7.7m, before costs, through a private placement of 32 million new fully paid ordinary shares at an issue price of 24 cents per new share.
Stelar Metals (ASX:SLB) was up 109% in July as it continued to build momentum at its Hill of Leaders tungsten project in the NT. Since acquiring the project in mid-May, the company has reported a series of high-grade assays from surface sampling, with multiple results grading above 1% WO3 and reaching as high as 6.1% WO3.
A recent airborne geophysical survey also revealed structural features that correlate with known tungsten-bearing vein sets within the project’s historical workings. Historical AC drilling at the project only tested the upper 10m of the system. It helped define a mineralised corridor that extends for more than 2km of strike and over 200m width, with mineralisation still open in multiple directions.
Last week, Stelar nailed down environmental approval for its maiden drill program at Hill of the Leaders. The upcoming program will comprise about 3000m of RC drilling and is designed to test the continuity of tungsten mineralisation beneath quartz veins and greisen systems identified at surface. The drill rig is expected on site this month.
AdNeo (ASX:AD1) rose 100% in July after a contract win for its education content business Aspire by Catapult with the Queensland Humans Rights Commission, providing human rights and anti-discrimination eLearning courses for the public sector.
The company also announced a standing offer arrangement (SOA) with Tafe South Australia (Tafe SA) for its education business Catapult.
AD1 said its active tender pipeline holds potential for more than $6m across 20 submissions, with the company targeting conversion and delivery through FY27.
The 50 worst performing ASX stocks in July #
| CODE | COMPANY | LAST SHARE PRICE | JULY RETURN % | MARKET CAP |
|---|---|---|---|---|
| ATC | Altech Batteries | 0.002 | -80% | $5,338,113 |
| BMH | Baumart Holdings | 0.01 | -71% | $1,629,751 |
| OVT | Ovanti Limited | 0.003 | -67% | $2,992,192 |
| IIQ | Inoviq Ltd | 0.195 | -64% | $27,451,214 |
| PKY | Pathkey.AI | 0.029 | -57% | $36,046,147 |
| ACS | Accent Resources NL | 0.012 | -52% | $5,874,447 |
| FTI | Fortifai Ltd | 0.555 | -52% | $191,199,470 |
| CAN | Cann Group Ltd | 0.0025 | -50% | $4,151,484 |
| WBT | Weebit Nano Ltd | 4.31 | -48% | $1,035,274,219 |
| AIH | Advanced Innergy | 0.355 | -47% | $149,931,976 |
| NOR | Norwood Systems | 0.014 | -46% | $8,118,711 |
| LOT | Lotus Resources | 0.24 | -45% | $102,929,852 |
| C29 | C29 Metals | 0.012 | -45% | $2,687,823 |
| SHO | Sportshero Ltd | 0.036 | -45% | $32,692,200 |
| AUV | Auravelle Metals | 0.005 | -44% | $4,491,280 |
| 14D | 1414 Degrees Limited | 0.05 | -44% | $35,689,490 |
| CAY | Canyon Resources Ltd | 0.051 | -43% | $105,167,868 |
| EFR | Everflow Resources | 0.004 | -43% | $1,578,687 |
| IFG | Infocus Group | 0.004 | -43% | $2,020,116 |
| ATV | Active Port Group | 0.015 | -42% | $17,129,223 |
| NAG | Nagambie Resources | 0.006 | -40% | $7,585,767 |
| UNT | Unith Ltd | 0.006 | -40% | $9,195,374 |
| KLV | Klevo Rewards Ltd | 0.048 | -39% | $74,158,318 |
| LKO | Lakes Blue Energy | 0.4031 | -38% | $29,595,771 |
| KTK | Ktek Aerosystems | 0.21 | -38% | $13,125,000 |
| EUR | European Lithium | 0.26 | -38% | $448,820,220 |
| CLA | Celsius Resources | 0.005 | -38% | $18,611,034 |
| TMX | Terrain Minerals | 0.0025 | -38% | $9,279,320 |
| EDE | Eden Inv Ltd | 0.1 | -38% | $61,113,020 |
| EXR | Elixir Energy Ltd | 0.075 | -38% | $140,188,061 |
| RB6 | Rubix resources | 0.097 | -37% | $5,960,650 |
| IS3 | I Synergy Group | 0.16 | -37% | $11,149,099 |
| RLF | RLF AgTech | 0.029 | -37% | $15,592,054 |
| BSN | Basin Energy | 0.021 | -36% | $4,941,489 |
| EVG | Evion Group NL | 0.023 | -36% | $17,173,340 |
| WC8 | Wildcat Resources | 0.335 | -36% | $462,906,791 |
| PR1 | PurerResources | 0.275 | -35% | $19,679,860 |
| GTI | Gratifii | 0.019 | -34% | $13,109,840 |
| REM | Remsense Technologies | 0.023 | -34% | $5,577,434 |
| CZN | Corazon Ltd | 0.079 | -34% | $18,882,593 |
| AYA | Artrya | 4.03 | -34% | $656,743,368 |
| CHM | Chimeric Therapeutic | 0.043 | -34% | $2,556,760 |
| OCN | Oceana Metals Ltd | 0.345 | -34% | $81,212,141 |
| BIT | Biotron Limited | 0.002 | -33% | $5,570,410 |
| CLU | Cluey Ltd | 0.006 | -33% | $2,501,841 |
| ENV | Enova Mining Limited | 0.002 | -33% | $3,961,218 |
| EVR | Ev Resources Ltd | 0.004 | -33% | $12,160,013 |
| AON | Apollo Minerals Ltd | 0.036 | -33% | $45,358,302 |
| XF1 | Xref Limited | 0.055 | -33% | $12,104,937 |
| CCA | Change Financial Ltd | 0.051 | -33% | $35,213,104 |
This article does not constitute financial product advice. You should consider obtaining independent financial advice before making any financial decisions.
At Stockhead, we tell it like it is. While Stelar Metals is a Stockhead advertiser, the company did not sponsor this article.
*The journalist had an interest in shares in Tesla, Amazon, Microsoft, Alphabet and Nvidia at the time of **writing this article. *
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