WA Index

Global equity markets extended their recovery in May 2026, building on April’s stabilisation. Volatility remained elevated as sentiment shifted with developments in the Iran conflict and prospects for a negotiated settlement. Nevertheless, resilient corporate earnings, AI-related capital expenditure and continued semiconductor demand remained the principal supports for equities. A late-month decline in oil prices also eased some concerns over inflation and the prospect of further monetary-policy tightening.

The S&P 500 rose 5.1% during the month, led by technology and AI-linked stocks, with semiconductors and data-centre infrastructure continuing to outperform. The rally was reinforced by a strong first-quarter reporting season, during which S&P 500 earnings growth was tracking at approximately 28% year on year and a large majority of companies exceeded earnings expectations. Overall, May’s gains were supported by realised profit growth and continued AI-related investment, rather than improving macroeconomic conditions or valuation expansion alone.

The FTSE 100 gained 0.3%, substantially underperforming the technology-led rallies in the US and Japan. Basic materials and other cyclical exposures provided some support but declines among heavyweight energy and healthcare companies constrained the index as oil prices retreated. The FTSE’s relatively low exposure to high-growth technology companies and its structural weighting toward mature value and income-oriented sectors also limited its participation in the global AI-driven rally.

Japan’s Nikkei 225 gained 11.9% during May, led by technology, semiconductor and other AI-related companies. Strong corporate results, positive signals from US technology companies and growing optimism regarding a resolution of the Iran conflict supported investor sentiment. Lower oil prices were also beneficial to Japan as a major energy importer, while expectations of continued fiscal support provided an additional tailwind. However, the rally remained relatively concentrated among companies with the strongest earnings and AI exposure.

The Australian All Ordinaries Index rose approximately 0.9%, supported by selected resources and mining exposures, although gains were constrained by weakness in banking stocks, elevated interest rates, persistent inflation and cautious domestic sentiment. The WA Index outperformed, rising approximately 4.0%, reflecting the market’s greater concentration of mining and resources businesses. 

Download the list of WA’s top 100 listed companies, as of 31 May 2026, explore the sections below, and if you do not currently receive our WA Index, please register to be added to our distribution list.

Our next edition will be our Annual Diggers and Dealers special where we will look back on the year that was and the companies that best navigated local and global challenges to take out our awards!

Commodity Review

Lithium: Lithium prices stayed high but turned more volatile through May 2026. SC6 spodumene concentrate strengthened over the first half of the month, rising 29.9% month on month as at 13 May on limited feedstock availability and firm battery-sector demand. Prices then eased, with SC6 assessed at US$2,550 to US$2,650/t CIF China on 20 May, down 7.1% on the preceding week. The earlier gains reflected the continued suspension of CATL's Jianxiawo operation, falling inventories, and demand from battery and energy-storage markets, with energy storage outpacing the EV sector. By late May the market had begun to consolidate as higher prices drew producers back, with Mineral Resources restarting Bald Hill after an 18-month suspension and Core Lithium restarting Finniss, adding supply against continued growth in battery demand. 

Iron Ore: Iron ore strengthened over the first half of May 2026, rising 3.9% from the start of the month to US$114.7/t CFR China by 15 May. Buying from Chinese steel mills, steady steel output, restocking, and relatively high freight costs supported the move. Prices reversed in the second half, with 62% Fe falling to US$108.8/t by 29 May and ending the month down around 3%. The decline reflected seasonally weaker steel demand, narrow steel-mill margins, high inventories at Chinese ports, and strong seaborne shipments from the major producers. 

Copper: Copper was volatile but posted a strong gain over May 2026, rising around 5% on the month. LME copper settled at US$13,943/t on 11 May, a record closing price, while COMEX copper set an all-time high of US$6.71/lb on 13 May, breaking its January record. The LME price stayed below the intraday peak of US$14,527.50/t reached in January 2026, easing from its mid-month highs to finish May at approximately US$13,615/t. The principal driver was the closure of the Strait of Hormuz during the Middle East conflict, which disrupted sulphur and sulphuric acid supplies critical to copper production, which was compounded by China's sulfuric acid export ban from 1 May. The slower-than-expected recovery of the Grasberg mine, limited concentrate availability, and record-low treatment and refining charges added further support, alongside demand tied to electricity networks, data centres, and broader electrification. Tariff uncertainty and the movement of refined copper into US inventories added to the volatility. 

Rare Earths (NdPr): NdPr oxide prices stayed high through May 2026 but held below the levels seen in April. Chinese domestic prices fell from around US$126/kg in early April to about US$100/kg in early May, then recovered to roughly US$103/kg later in the month. Prices remained at multi-year highs, well above the levels that preceded China's rare-earth export controls, in place since April 2025. The market continued to reflect China's dominance of rare-earth mining, separation, and magnet production, together with concerns over export controls on strategically important rare earths. Demand expectations stayed positive given the use of NdPr in electric vehicles, wind turbines, robotics, and defence. Arafura's approval of its US$1 billion Nolans project in May also pointed to efforts to build rare-earth production and processing capacity outside China.

Performance of WA Index and Global indices

Top 20 performers of the month: 

IGO Limited (ASX: IGO): IGO’s market capitalisation increased by 28.9% during May 2026, rising from $5.61 billion to $7.24 billion and moving from 15th to 12th position in the Deloitte WA Index. No major operating announcement was released during May, with the increase instead reflecting improved sentiment toward lithium and nickel producers and the market response to IGO’s late-April quarterly update. The update reported improved nickel production and sales at Nova, while elevated spodumene prices increased interest in IGO’s exposure to the Greenbushes lithium operation. The movement was therefore primarily linked to stronger commodity markets and an improved assessment of the company’s operating outlook.

Capricorn Metals Ltd (ASX: CMM): Capricorn Metals’ market capitalisation increased by 24.5% during May 2026, rising from $5.18 billion to $6.45 billion and moving from 18th to 15th position in the Deloitte WA Index. The increase coincided with strength in gold prices and strong demand for Australian gold producers. Capricorn did not release a major operating update during May, although its late-April quarterly report and drilling results from the Lexington deposit at Mt Gibson remained recent market catalysts. Investor interest was also assisted by the company’s gold price exposure, strong financial position and expected production growth from the Karlawinda expansion and the development of the Mt Gibson Gold Project.

Sandfire Resources Ltd (ASX: SFR): Sandfire Resources’ market capitalisation increased by 20.4% during May 2026, rising from $7.69 billion to $9.26 billion and moving from 10th to 9th position in the Deloitte WA Index. The increase closely followed the strength in copper prices during the month, with limited concentrate availability and supply disruptions contributing to prices remaining near record levels. Sandfire provides direct exposure to the copper market through its MATSA operations in Spain and the Motheo mine in Botswana. In the absence of a major operating announcement during May, copper price strength and increased investor demand for copper producers were the clearest drivers of the re-rating.

The Top 100 performers of this month were: 

EchoIQ Limited (ASX: EIQ): EchoIQ’s market capitalisation increased by 44.4% during May 2026, rising by $274.26 million from $617.91 million to $892.16 million, moving from 71st to 57th position in the Deloitte WA Index. The increase followed the late-April deployment of EchoSolv AS within the Mount Sinai Health System and the release of the company’s quarterly activities report. During May, EchoIQ held an investor webinar and received a $762,000 research and development tax incentive, providing additional non-dilutive funding. The company’s March agreement with the Mayo Clinic also remained relevant to its US commercialisation plans. These developments increased the visibility of EchoIQ’s commercial progress and near-term growth opportunities.

Macmahon Holdings Ltd (ASX: MAH): Macmahon Holdings’ market capitalisation increased by 37.7% during May 2026, rising by $586.71 million from $1.56 billion to $2.14 billion, jumping eleven places to 32nd in the Deloitte WA Index. A key catalyst was the 27 May announcement of a 12-month contract extension for underground mining services at the Majestic Mine in Western Australia. The extension followed the establishment of the underground portal and the delivery of first ore to the Lakewood Mill. Macmahon will continue to provide underground development, production and associated mining support services under the expanded scope. The extension added to earnings visibility and maintained the contract momentum established through several preferred contractor appointments announced in April.

Forrestania Resources Limited (ASX: FRS): Forrestania Resources’ market capitalisation increased by 29.6% during May 2026, rising by $168.94 million from $570.32 million to $739.26 million. The increase followed a series of announcements covering resource estimates, drilling results and acquisitions across its Western Australian gold portfolio. During May, Forrestania released resource updates for Burracoppin, Tycho, Ada Ann, Johnson Range and MacPhersons, together with drilling results from Lady Lila. The company also completed the Karonie and Hyden acquisitions and entered into an agreement to acquire the Newington Gold Project. The volume of activity increased the scale and level of definition within Forrestania’s gold portfolio and provided investors with several potential development and exploration catalysts.