Sydney, June 24, 2026, 03:07 (AEST)
Westpac Banking Corporation closed up 1.03% at A$35.48 on Tuesday, ending close to its session high. The shares moved in a range from A$35.10 to A$35.54. Volume was about 5.69 million, just above the 65-day average.
Westpac, ANZ Group, National Australia Bank and Commonwealth Bank all closed in the green, defying losses elsewhere. The S&P/ASX 200 lost 0.33% to 8,787 as technology names dragged. Technology stocks dropped, but the big lenders moved higher.
Westpac’s outperformance stands out, but the bank is still off about 8.8% for 2026 and trades roughly 18% under its A$43.32 high. Shares rebounded Tuesday but haven’t retaken the February peak.
Bank stocks got a lift as the Greens said they would support the government’s capital-gains tax and negative-gearing plan, moving it forward in the Senate.
Lawmakers want to scrap the 50% capital-gains discount and bring in cost-base indexation from July 2027. The plan also moves to cap negative gearing for property bought after May 12. Only new homes and certain housing programs would be exempt from the new restrictions.
Brycki, who leads Stockspot, said the changes may push more funds into mature, dividend-paying stocks like the banks. He warned the boost to the market could just be a “short-term sugar hit,” not real growth. The Australian
Westpac is offering a 77 Australian-cent interim dividend, fully franked, with payment set for June 26. Shareholders get tax credits. Westpac set its dividend-reinvestment price at A$36.08, above where shares finished Tuesday.
Westpac’s dividend is propped up as first-half figures miss estimates. The bank posted net profit of A$3.41 billion, short of the A$3.47 billion analysts were looking for. Credit impairment charges hit A$443 million. Net interest margin slipped three basis points to 1.89%. Chief Executive Anthony Miller said “every sector either directly or indirectly is impacted” by higher energy costs. Reuters
Interest rates are still an issue. Westpac chief economist Luci Ellis thinks the Reserve Bank will hike in August and September. But she said mixed inflation and jobs data are “supporting the case for a pause” in June. Higher rates could lift lending margins, but also pressure borrowers and raise arrears and bad-debt charges. ABC News
But risks are still in play. Cutting negative gearing may hit investor mortgage demand, and high bank prices, weak economic growth, and another round of energy inflation could offset the draw of dividend yields. Westpac already dropped hard from its February levels as the market took another look at housing-credit.
Westpac’s next fixed event is the dividend set for Friday. The bank will follow with its third-quarter numbers on August 10. Investors will watch for updates on loan growth, margins, and any moves to lift provisions for bad debts.
