October 17, 2025
Bapcor’s trading halt raises questions
Bapcor entered a trading halt ahead of an earnings update that could signal its next move while Iluka slumped after pulling sales guidance amid uncertainty over a key UK contract.
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Market Snapshot
The ASX slipped 0.8% to 8,995, retreating from record highs as investors took profits in critical minerals and tech stocks ahead of PM Albanese’s meeting with U.S. President Trump in Washington next week.
Gold hit a historic US$4,370/oz fuelled by safe-haven demand and expectations of further RBA rate cuts. Newmont and Northern Star both climbed more than 2%.
Meanwhile, critical minerals producers slumped on concerns over trade tensions. Lynas dropped nearly 6%, Paladin Energy fell 7% and Iluka lost ground after scrapping its sales guidance. The financials and energy sectors also weighed on the index.
Investors will be watching Washington closely next week as Australia looks to strengthen its role in U.S. critical minerals supply chains and make the case for tariff relief.
Ahead of the Trump and Albanese chat
Rare earths are shaping up to be a key talking point when Anthony Albanese meets Donald Trump in Washington next week. The minerals that power everything from EVs to fighter jets are once again at the centre of U.S.–China tensions after Beijing tightened export controls, reinforcing its dominance over the global supply chain.
China processes about 70% of the world’s rare earths, and the move is being viewed as a strategic warning to Washington. For Australia, it’s also an opening – a chance to pitch itself as a trusted alternative supplier, with Lynas, Iluka and Arafura central to Western efforts to rebuild their critical minerals pipelines.
Bapcor’s trading halt raises questions
The result:
Bapcor, the auto parts group behind brands like Burson and Autobarn, slammed the brakes on trading this morning, entering a trading halt ahead of an earnings update due next week. The company hasn’t revealed the reason, only that the halt will last until Monday – but markets are already speculating on whether an earnings downgrade is coming.
Why it matters:
Bapcor has spent the past year navigating a tougher retail environment, squeezed by slowing car sales, weaker consumer demand and rising competition from global auto suppliers. The company has been working on a turnaround plan under new leadership, but investors are eager to see if that’s enough to steady earnings.
What's next:
Next week’s announcement will be a major test of confidence. After a rough 12 months for the stock, investors will be hoping this pit stop leads to a clearer path forward rather than another skid in performance.
Iluka Resources – A contract in question
The result:
Iluka Resources plunged by as much as 15% after the miner abruptly withdrew its synthetic rutile sales guidance, spooking investors already on edge after this week’s rare earths volatility. The issue? Uncertainty around Iluka’s supply contract with its long time UK buyer, Venator Materials, which may be caught in the middle of a takeover.
Why it matters to investors:
China’s LB Group has agreed to buy Venator’s titanium dioxide plant in the UK – the same site that processes Iluka’s synthetic rutile. But with the facility currently shut down while the deal awaits approval, Iluka is facing uncertainty over whether its upcoming shipments will be accepted.
So far this year Iluka has sold 11,000 tonnes, shipped another 11,000 tonnes without payment and still has over 100,000 tonnes committed through 2027. The company says it’s protecting its contractual rights and speaking with other pigment buyers to secure alternative sales. The warning comes only days after a surge in rare earth and titanium stocks – a reminder that the global critical minerals boom can turn volatile just as quickly as it rises.
What's next:
All eyes are on whether Venator’s sale proceeds and whether Iluka can lock in new buyers to protect revenue heading into 2026.
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