ASX Today: Tech Stocks Lift ASX 200 as APRA Home‑Loan Caps Hit the Banks — Australian Market Wrap (27 November 2025)

Sydney — Thursday, 27 November 2025

The Australian share market eked out another modest gain on Thursday, extending its winning streak even as early momentum faded and new home‑loan caps from the banking regulator APRA weighed on the major banks.

The S&P/ASX 200 finished up 10.8 points, or 0.13%, at 8,617.3, while the broader All Ordinaries added 0.14% to 8,912. ^[1]

It was the fourth straight daily rise for the benchmark index, the longest winning run since mid‑May, but the ASX 200 remains down for the month as investors juggle global rate‑cut hopes against lingering growth and inflation worries. ^[2]

ASX 200 Extends Winning Streak, But Rally Loses Steam

The local market opened strongly, taking its cue from an overnight rally in US technology stocks and optimism that the US Federal Reserve could cut rates as soon as December. ^[3]

Intraday, the ASX 200 climbed to a near two‑week high around 8,649, before buyers stepped back and profit‑taking set in. By the close, the index had surrendered most of those early gains, reflecting a cautious tone ahead of year‑end. ^[4]

Key index moves:

S&P/ASX 200 (XJO): 8,617.3, +0.13%
All Ordinaries (XAO): 8,912.0, +0.14%
Small Ordinaries: 3,691.6, +0.13% ^[5]

Volatility was subdued, with the S&P/ASX 200 VIX drifting lower to around 12, signalling a relatively calm options market despite ongoing macro and regulatory headlines. ^[6]

Tech, Gold and Healthcare Shine as Energy Drags

Thursday’s session was a textbook rotation into growth and defensives and out of energy and heavy resources.

Sector performance across the ASX 200: ^[7]

Information Technology:+2.0% — the standout sector
Health Care:+0.8%
Consumer Discretionary:+0.3%
Industrials:+0.27%
Financials:+0.10%
Real Estate, Communication Services, Utilities: modest gains
Materials:‑0.17%
Energy:‑1.29%

Commonwealth Bank’s market wrap noted that tech stocks extended their recovery with a gain of more than 2%, while energy names slumped as oil prices softened. ^[8]

Gold‑linked stocks also caught a bid, riding recent strength in precious metals despite a small dip in spot gold during the local session. ^[9]

APRA’s New Home‑Loan Caps Put Banks in the Spotlight

The biggest macro story of the day came from the Australian Prudential Regulation Authority (APRA), which confirmed a cap on high debt‑to‑income (DTI) home loans.

From 1 February 2026, APRA will: ^[10]

Limit banks so that no more than 20% of new mortgage lending can be written at a DTI of six times income or higher
Apply the limit separately to owner‑occupier and investor lending
Exclude bridging loans and loans for the purchase or construction of new dwellings, to avoid constraining housing supply

APRA described the move as a “pre‑emptive” macroprudential step aimed at containing housing‑related vulnerabilities before they become systemic, rather than a brake on credit growth today. ^[11]

Bank shares: mixed reaction

The big banks were generally softer as investors weighed the long‑term implications for investor lending and property‑market momentum: ^[12]

Westpac (WBC):‑1.67% to $37.76
Macquarie Group (MQG):‑0.11% to $197.12
ANZ (ANZ): about ‑0.1%
NAB (NAB): about ‑0.1%
Commonwealth Bank (CBA):+0.27% to $153.93, bucking the trend

Analysts quoted by ABC and major brokers argue the cap is unlikely to be binding in the near term, as current high‑DTI lending shares sit well below 20%. The move is seen more as a “guardrail” than a “handbrake”, but it adds another layer of caution to the medium‑term growth outlook for bank earnings and the housing cycle. ^[13]

Top ASX 200 Winners: GQG, WiseTech and Light & Wonder Lead the Charge

Despite the muted index move, there was plenty of action underneath the surface, with growth names and select financials dominating the leaderboard.

Based on closing data from The Bull and Investing.com, the top ASX 200 gainers included: ^[14]

GQG Partners (GQG):
- Up roughly 8–9% to around $1.81
- The fund manager has been in focus as it builds positions in global names, including Indian conglomerate Adani companies, which investors view as a high‑conviction, high‑beta play on emerging markets.
WiseTech Global (WTC):
- Climbed about 7% to roughly $69–70
- Extended a rebound after a bruising October, helped by news of Raelene Murphy’s appointment as an independent non‑executive director, part of ongoing board renewal efforts that follow regulatory scrutiny. ^[15]
Light & Wonder (LNW):
- Gained around 6% to just over $152
- Investors continue to back the gaming group’s push into digital and cross‑platform entertainment. ^[16]
Zip Co (ZIP):
- Up more than 5% to about $3.37
- Benefited from the broader risk‑on tone in growth and BNPL names. ^[17]

Within blue‑chip names, Wisetech, Light & Wonder, Pinnacle Investment Management, Reece and Xero all featured among the strongest performers, underscoring renewed appetite for high‑growth and quality earnings stories after a tough few months for tech and rate‑sensitive stocks. ^[18]

Gold producers such as Evolution Mining, Newmont, Genesis and Ramelius Resources also posted solid gains, reflecting ongoing institutional interest in precious metals as a hedge amid rate‑cut speculation and geopolitical risk. ^[19]

Biggest Losers: DroneShield, Harvey Norman, QBE and Lynas Slip

On the downside, a cluster of recent high‑flyers and cyclicals came under pressure: ^[20]

DroneShield (DRO):
- Fell around 7–8% to about $2.00
- The counter‑drone technology company has rallied hard in recent weeks on contract wins; today’s move looks like a classic pause for breath after a strong run.
Harvey Norman (HVN):
- Dropped roughly 4–4.5% to just under $7.00
- The retailer remains under scrutiny after broker downgrades highlighted a stretched valuation following a sharp re‑rating. ^[21]
QBE Insurance (QBE):
- Down about 3.7% to $19.05
- Investors took profits despite a solid recent update, with some caution around slower premium‑rate increases. ^[22]
Lynas Rare Earths (LYC):
- Lost around 3.7% to $14.45
- The rare‑earths producer continues to face sector‑wide headwinds and operational noise, including power disruptions affecting WA industry and ongoing policy uncertainty around China’s export regime. ^[23]

Overall, advancers modestly outnumbered decliners across the broader market, confirming the slightly risk‑on bias despite sector‑specific volatility. ^[24]

Miners Take a Breather as Iron Ore Holds Firm

Materials stocks underperformed, with profit‑taking emerging after a strong run that had pushed the sector close to record highs. IG’s afternoon report highlighted: ^[25]

Mineral Resources (MIN): about ‑2.6%
Fortescue (FMG):‑1.5%
Rio Tinto (RIO):‑1.1%
BHP (BHP):‑0.5%

This came even as iron ore prices ticked higher to around US$103.50 a tonne, signalling that the move was more about locking in recent gains than a dramatic change in fundamentals. ^[26]

Gold miners were the clear exception within resources, reflecting the sector’s different macro drivers and its role as a portfolio hedge. ^[27]

Healthcare Finds Its Feet

The healthcare sector continued its quieter recovery, with major names building on recent lows.

IG noted that the Australian health‑care index appears to have formed a “triple low” around the 34,000 level, with scope for a 5–10% upside if the pattern holds. Key movers included: ^[28]

Pro Medicus (PME): about +2.0% near $267
Telix Pharmaceuticals (TLX): roughly +1.8% to $15.30
CSL (CSL): up around 1.4–1.8% in the mid‑$180s

For longer‑term investors, the sector’s quality balance sheets and global earnings exposure continue to make it a core component of many defensive portfolios, especially if growth re‑accelerates into 2026.

Macro Backdrop: CAPEX Surges as Global Markets Watch the Fed

Two macro stories framed today’s trade: strong local business investment and global markets positioning around US rate cuts and Thanksgiving.

1. CAPEX surprises to the upside

Fresh data showed new private capital expenditure (CAPEX) jumped 6.4% in the September quarter and 6.9% over the year, the biggest quarterly gain since early 2021. ^[29]

Key details from the ABS release, summarised by ABC: ^[30]

Equipment, plant and machinery CAPEX:+11.5% — heavily driven by data‑centre investment
Buildings and structures:+2.1%
Non‑mining CAPEX:+8.6% in the quarter
Mining CAPEX:+0.9%

The data support the narrative that business investment is finally doing more of the heavy lifting, even as consumer spending remains under pressure from higher rates and living‑costs.

2. Global markets and Fed expectations

Globally, world shares were mixed, with most Asian markets higher and European indices fluctuating as investors weighed the Fed’s December meeting against signs of slowing growth. ^[31]

US indices have extended a multi‑day winning streak, though Wall Street is closed for the Thanksgiving holiday during the Australian Friday session.
Expectations of a US rate cut in December and further stimulus in Japan remain key drivers of risk sentiment, especially for tech and growth stocks. ^[32]

The Australian dollar traded around US$0.65–0.6537, modestly stronger on the day, helped by the risk‑on tone and the CAPEX surprise. ^[33]

What Today’s Moves Mean for Investors

While today’s headline index move was small, several important themes emerged for traders and longer‑term investors:

Tech is trying to bottom out
- After months of underperformance, the ASX tech sector has shown signs of stabilising, with buyers returning to names like WiseTech, Xero and Zip. ^[34]
- Valuations remain demanding, but today’s rally suggests markets are starting to price in a peak‑rates environment globally.
Macroprudential rules are back on the agenda
- APRA’s DTI cap won’t dramatically change the mortgage landscape overnight, but it raises the regulatory bar for banks and property investors and signals regulators are alert to renewed housing‑risk build‑ups. ^[35]
Resources are still sensitive to sentiment and positioning
- With iron ore, gold and other commodities still relatively firm, today’s weakness in miners looks more like positioning and rebalancing than a structural shift. ^[36]
Business investment is a bright spot
- The CAPEX beat, particularly in data centres and non‑mining industries, offers a constructive medium‑term backdrop for industrials, infrastructure and technology‑adjacent plays. ^[37]

Looking Ahead

With Wall Street closed for Thanksgiving and key local data now out of the way, Friday’s ASX session may be quieter, but investors will still be watching for:

Any follow‑through in tech and growth stocks after today’s strong session
Ongoing reaction in bank shares as analysts refine forecasts for mortgage growth and housing turnover under the new APRA cap
Moves in iron ore and gold prices, which continue to steer sentiment towards miners and explorers

For now, the ASX 200 has stopped the November bleed and stitched together a rare four‑day advance, but the balance of power between rate‑cut optimism, regulatory tightening and patchy earnings momentum will determine whether this rally has more legs into December. ^[38]

This article is for general information only and does not constitute financial product advice. Consider your objectives, financial situation and needs, and seek professional advice before making investment decisions.

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