Australian shares fell at Tuesday's close as the Middle East conflict continued to escalate.
The S&P/ASX 200 Index dropped 1.34%, or 123.60 points, to close at 9,077.30.
Brent crude futures jumped over 2% to $79.44 per barrel, after Iran threatened the closure of the Strait of Hormuz in the Middle East, which would disrupt oil shipments, stoking concerns over a rise in inflation. Benchmark European and Asian LNG prices leapt by around 40% on Monday, Reuters reported.
On the domestic front, the ANZ-Roy Morgan Australian consumer confidence fell 3.1 points to 77.1 in the week of Feb. 23 to March 1. The four-week moving average eased 0.9 points to 77.8 points. "Consumer confidence remains at its lowest level since December 2023, on a four-week moving average basis," ANZ Economist Sophia Angala said.
Meanwhile, Reserve Bank of Australia Governor Michelle Bullock said it is too early to know the economic impact of the ongoing Middle East conflict and what it could mean for inflation in Australia.
Australia's seasonally adjusted current account deficit widened to AU$21.09 billion in the December 2025 quarter from AU$18.34 billion in the previous quarter, data from the Australian Bureau of Statistics showed. The balance on trade in goods and services dropped to AU$1.32 billion from AU$1.37 billion in the previous quarter.
In company news, Life360 (ASX:360) reported Tuesday earnings of $1.51 per share in the fourth quarter of 2025, up from $0.10 a year earlier. Revenue for the three months ended Dec. 31, 2025, was $146 million, compared with $115.5 million a year earlier. Its shares fell 16% at market close.
Magellan Financial Group (ASX:MFG) completed its non-underwritten institutional placement of 15.4 million new shares at AU$8.45 apiece to raise AU$130 million. Proceeds will be used to acquire an incremental 10% economic interest in Barrenjoey Capital Partners from an affiliate of Barclays for AU$148.9 million. The firm's shares closed up 20%.
Lastly, Woodside Energy Group (ASX:WDS) inched up 0.6%, Santos (ASX:STO) up 0.2%, and Beach Energy (ASX:BPT) up 0.4% at market close, even as global oil prices jumped on escalating tensions in the Middle East.