Updated: Friday, 12 December 2025 (AEST)
SEO focus: best ASX stocks to buy now, Australian shares, ASX 200, top ASX stocks December 2025, Australia stock market outlook
Australia’s share market is closing out the week with renewed momentum. By early afternoon on 12 December 2025 , the S&P/ASX 200 was up around 1.1%–1.2% in a broad-based lift, with gold miners, Materials and banks doing much of the heavy lifting. [1]
But for investors asking the practical question— “What are the best stocks to buy now on the Australian stock market?” —today’s rally matters less as a “one-day headline” and more as a signal: risk appetite is rotating, commodity-linked earnings are back in favor, and the interest-rate narrative remains a key swing factor for 2026.
Below is a news-driven, broker-informed watchlist of nine ASX large-caps that one major broker (Morgans) is positioning for attractive risk-adjusted returns over the next 12 months , alongside the key market catalysts dominating headlines on 12.12.2025 . [2]
Important:This article is for information only and is not financial advice. Share prices move quickly, and any stock can fall. Consider your goals, risk tolerance and time horizon, and consider professional advice.
Australia stock market today: what’s moving the ASX on 12.12.2025?
1) Miners and banks are powering the rebound
Market updates through the early afternoon show two leadership groups:
- Materials pushing to record highs on the day, and
- Financials rebounding strongly after a weak month. [3]
MarketIndex described the session as one of the strongest in months, with the ASX 200 moving close to a key technical level (its 50‑day moving average). [4]
2) Gold and copper are rewriting the script for resource stocks
Overnight and into Friday’s session, commodities have been a major tailwind. MarketIndex’s morning brief flagged a “massive session” for commodities, with gold higher and copper and silver at fresh record highs , while listing gold around US$4,272/oz and copper up strongly. [5]
In Australia, the All Ords Gold Index jumped more than 4% early in the session, with large-cap gold names among the day’s standouts. [6]
3) A global “tech wobble” is encouraging rotation into cyclicals
A key theme in today’s coverage is rotation out of tech and into cyclical/value pockets , helped by weaker-than-expected results from Oracle that reignited concerns about whether huge AI-related spending will pay off. [7]
That matters for the ASX because local tech can be sensitive to global sentiment—even when the domestic economy is stable.
Rates outlook: why the RBA narrative still shapes “best ASX stocks to buy now”
The Reserve Bank of Australia’s rate path remains the major risk (and opportunity) for Australian equities.
- Reuters (Dec 9) reported the RBA held the cash rate at 3.60% and warned the next move “could be up” if inflation pressures prove stubborn, with Governor Michele Bullock saying cuts are not in the foreseeable horizon and framing the choice as a long hold vs the possibility of a hike. [8]
- A Reuters poll (Dec 5) showed economists widely expecting a long hold through 2026 , a shift away from earlier expectations of cuts, with interest-rate futures implying a meaningful probability of hikes by end-2026. [9]
Why investors care:
- Higher-for-longer rates can pressure highly leveraged or “long-duration” growth stocks.
- They can also keep the market selective—rewarding companies with pricing power, resilient cash flows, and clear catalysts .
This backdrop is one reason some brokers are trying to avoid “crowded defensives” and instead build a targeted portfolio with specific, high-conviction names. [10]
Big corporate headline on 12.12.2025: Tomago smelter deal and what it means for investors
One of the most consequential industrial policy stories today is the government’s move to keep the Tomago Aluminum smelter operating beyond 2028.
The ABC reported a deal is being finalized between Tomago Aluminum and state/federal governments to keep the smelter open beyond the expiration of its energy contract in 2028 , with final details expected in the new year. Tomago employs more than 1,000 people and produces a large share of Australia’s aluminum output. [11]
For the market, this isn’t just politics—it’s a reminder that energy pricing, grid build‑out, and “national interest” manufacturing can directly influence capital investment decisions and long-term earnings viability for heavy industry.
Another major market story today: Austal and defense exposure
On the defense side, Reuters reported Australia cleared Korea’s Hanwha to lift its stake in Austal (ASB) to 19.9% from 9.9% , but with strict conditions around data access and security, and with a cap preventing Hanwha from going above 19.9%. [12]
Austal then appeared among notable intraday movers in local market coverage, reflecting how sensitive defense names can be to regulatory and ownership headlines—even in a long-term growth theme like rising global defense spending. [13]
Best stocks to buy now on the ASX: 9 broker-backed large-caps to watch (December 2025)
To move from “market noise” to an investable list, one practical approach is to anchor on fresh broker research and then overlay the day’s macro/sector signals.
Morgans’ December 2025 Large-Cap Best Ideas list includes nine ASX stocks , with stated price targets, risk ratings and 12‑month return expectations. Morgans also explicitly notes concerns about banks and some expensive defensives, preferring a more selective, targeted portfolio. [14]
Below are the nine names, with the “why now” angle tied to today’s market drivers.
1) CSL (ASX: CSL) — Defensive growth with healthcare quality
Why it’s on the list: Morgans highlights CSL’s Behring growth engine and cost savings supporting sustained growth, with a stated price target around $249.51 and FY26 yield guidance in its note. [15]
Why it fits today’s tape: In a market where rates remain a swing factor, profitable global healthcare leaders can help balance commodity and cyclical exposure.
What to watch: currency effects, plasma collection dynamics, and guidance updates.
2) Amcor (ASX: AMC) — Income + defensiveness at valuation support
Why it’s on the list: Morgans characterizes Amcor as a defensive earnings story at an attractive valuation, with a price target around $15.20 and a high FY26 dividend yield in its summary. [16]
Why it fits today’s tape: If the broadens rally beyond miners and banks, investors often look for cash-flow reliability and yield.
What to watch: input costs, volumes, and pricing power through the cycle.
3) Woodside Energy (ASX: WDS) — Energy cash flows with global optionality
Why it’s on the list: Morgans calls Woodside a diversified global energy player with “best in class” execution, with a stated price target around $30.60 and FY26 yield expectations. [17]
Why it fits today’s tape: Even as some commodity prices surge, oil can behave differently—making energy exposure a diversifier rather than a simple “commodities bet.”
What to watch: oil and LNG pricing, capex discipline, and project execution.
4) Goodman Group (ASX: GMG) — Industrial property and structural growth drivers
Why it’s on the list: Morgans positions Goodman as an industrial property leader with a strong balance sheet and multiple growth drivers, alongside a stated price target around $36.30 . [18]
Why it fits today’s tape: With AI spending being debated globally, investors are increasingly separating “AI hype” from the real infrastructure that supports compute and logistics.
What to watch: funding costs, development pipeline, and tenant demand trends.
5) REA Group (ASX: REA) — Market leader with “entry point” after pullback
Why it’s on the list: Morgans highlights REA’s market leadership and pricing power, and says a recent pullback offers an entry point as listing comparisons improve later in the year. [19]
Why it fits today’s tape: REA is more exposed to domestic sentiment than global tech—useful if investors want quality growth without pure Nasdaq correlation.
What to watch: listing volumes, pricing/yield management, and housing sentiment (still rate-sensitive).
6) TechnologyOne (ASX: TNE) — High-quality SaaS compounding (with volatility)
Why it’s on the list: Morgans points to TechnologyOne’s track record of meeting/exceeding expectations, a shift toward 15–20% profit-before-tax growth, and sees a post-result pullback as a more attractive entry point. [20]
Why it fits today’s tape: Today’s Oracle-driven wobble is a reminder that tech can sell off fast—creating opportunities in higher-quality, recurring-revenue software.
What to watch: valuation sensitivity to rates, and execution vs high expectations.
7) LGI (ASX: LGI) — “Flexible capacity” renewables and storage exposure
Why it’s on the list: Morgans describes LGI as focused on hybrid electricity sites (generation + battery storage), targeting 80+ MW installed flexible capacity in the medium term. [21]
Why it fits today’s tape: With energy policy and grid build-out in focus (see Tomago), investors are watching businesses tied to storage and reliable generation.
What to watch: project delivery timelines, funding needs, and power market conditions.
8) GPT Group (ASX: GPT) — Property yield + strategy shift to “capital light”
Why it’s on the list: Morgans highlights GPT’s diversified portfolio and a strategic shift toward a co-investment-led funds management model, noting valuation and yield attractions in its summary. [22]
Why it fits today’s tape: If markets start to price a long hold (or only gradual moves) in rates, quality property income can regain attention—especially when paired with a credible strategy pivot.
What to watch: office and retail fundamentals, funding costs, and progress on funds management growth.
9) Flight Center (ASX: FLT) — Travel recovery + operating leverage
Why it’s on the list: Morgans describes Flight Center as diversified across leisure and corporate travel, expecting profit growth to accelerate into 2H26 as macro conditions improve. [23]
Why it fits today’s tape: In a “cyclicals are back” session led by miners and banks, travel is one of the clearest consumer cyclicals—although more volatile.
What to watch: demand trends, margins, and currency-driven outbound travel dynamics.
Quick “today-only” theme watchlist: where the momentum is on 12.12.2025
If you’re tracking what’s moving right now (not necessarily what’s best long-term), today’s standout areas include:
- Gold miners : the gold index hit fresh highs early, with several gold names among the day’s leaders. [24]
- Banks : big four moves were notable in the ABC’s intraday coverage. [25]
- Defense/shipbuilding : Austal is in focus after the Hanwha stake decision. [26]
This matters because market leadership often spills over —strength in one pocket can pull in adjacent names (suppliers, peers, ETFs), especially in December when positioning shifts can be abrupt.
Risks to watch before buying ASX stocks “right now”
Even with the ASX surging today, investors should keep a risk checklist front and center:
- Rates surprise risk : The RBA has left the door open to hikes if inflation persists, and markets are actively repricing that probability. [27]
- Commodity reversals : Big commodity sessions can cool quickly—especially if global growth expectations shift. [28]
- Tech sentiment spillover : Global tech moves can hit Australian growth stocks even when local fundamentals are intact. [29]
- Policy and energy shocks : The Tomago story underlines how central energy pricing and supply are to industrial profitability. [30]
Bottom line: “best ASX stocks to buy now” means balancing today’s winners with 12‑month quality
On 12 December 2025 , the Australian market is telling a clear story: resources, gold and banks are driving a powerful rebound, while global tech nerves are pushing capital toward cyclicals and value . [31]
For investors building a 12‑month watchlist , Morgans’ large-cap best ideas provide a diversified mix across healthcare, industrial defensives, energy, property, software, renewables and travel —sectors that can behave very differently depending on how rates and growth evolve through 2026. [32]
References
1. www.abc.net.au, 2. www.livewiremarkets.com, 3. www.marketindex.com.au, 4. www.marketindex.com.au, 5. www.marketindex.com.au, 6. www.marketindex.com.au, 7. www.marketindex.com.au, 8. www.reuters.com, 9. www.reuters.com, 10. www.livewiremarkets.com, 11. www.abc.net.au, 12. www.reuters.com, 13. www.marketindex.com.au, 14. www.livewiremarkets.com, 15. www.livewiremarkets.com, 16. www.livewiremarkets.com, 17. www.livewiremarkets.com, 18. www.livewiremarkets.com, 19. www.livewiremarkets.com, 20. www.livewiremarkets.com, 21. www.livewiremarkets.com, 22. www.livewiremarkets.com, 23. www.livewiremarkets.com, 24. www.marketindex.com.au, 25. www.abc.net.au, 26. www.reuters.com, 27. www.reuters.com, 28. www.marketindex.com.au, 29. www.marketindex.com.au, 30. www.abc.net.au, 31. www.marketindex.com.au, 32. www.livewiremarkets.com
