Australian Market Modestly Lower | Nasdaq
(RTTNews) – The Australian stock market is modestly lower on Tuesday, extending the sharp losses in the previous two sessions, with the benchmark S&P/ASX 200 staying above the 7,200 level, following the firmly negative cues from Wall Street overnight, with weakness in financial stocks as worries about potential collapse of China’s real estate firm Evergrande dented sentiment.
Australia’s two biggest cities, Sydney and Melbourne, are also still under lockdown as the nation struggles to contain the domestic coronavirus situation, primarily in New South Wales and Victoria.
NSW has reported 1,022 new locally acquired cases of COVID-19 and ten deaths on Monday. Victoria also recorded 603 new locally acquired cases and one death, with the active cases totaling 6,000 across Victoria.
The benchmark S&P/ASX 200 Index is losing 22.30 points or 0.31 percent to 7,225.90, after hitting a low of 7,191.70 earlier. The broader All Ordinaries Index is down 23.60 points or 0.31 percent to 7,514.30. Australian stocks closed sharply lower on Monday.
Among the major miners, BHP Group is edging up 0.5 percent, while Fortescue Metals and Mineral Resources are gaining more than 1 percent each. OZ Minerals is losing more than 2 percent and Rio Tinto is down almost 1 percent.
Oil stocks are mostly higher. Santos and Origin Energy are edging up 0.2 percent each, while Woodside Petroleum and Beach energy are adding more than 1 percent each. Oil Search is gaining almost 1 percent.
Among the big four banks, Commonwealth Bank and ANZ Banking are losing almost 1 percent each, while Westpac and National Australia Bank are down more than 1 percent each.
Among tech stocks, Xero and Afterpay are losing almost 1 percent each, while Appen is gaining almost 1 percent and WiseTech Global is adding more than 1 percent.
Gold miners are mostly higher. Gold Road Resources is edging up 0.5 percent, while Northern Star Resources and Evolution Mining are up almost 2 percent each. Newcrest Mining is gaining more than 1 percent, while Resolute Mining is losing more than 1 percent.
In other news, energy infrastructure group APA has lobbed a $9.96 billion rival offer for peer AusNet, a day after the takeover target opened its books to Brookfield after receiving a $9.6 billion offer from the Canadian infrastructure investor. APA is down almost 4 percent.
In economic news, the Reserve Bank of Australia will on Tuesday release the minutes from its monetary policy meeting of September 7. At the meeting, the R(BA) kept its key interest rate unchanged at a record low 0.10 percent and confirmed to taper its bond purchases.
In the currency market, the Aussie dollar is trading at $0.726 on Tuesday.
On Wall Street, stocks plunged sharply on Monday, and the major averages all suffered their worst setbacks in several weeks, as worries about potential collapse of China’s real estate firm Evergrande dented sentiment.
The Dow, which plunged to 33,613.03, ended the session with a loss of 614.41 points or 1.78 percent at 33,970.47. The S&P 500 closed lower by 75.26 points or 1.7 percent at 4,357.73, off the day’s low of 4,305.91, while the Nasdaq settled at 14,713.80, recording a loss of 330.06 points or 2.19 percent.
Crude oil prices declined sharply on Monday as worries about a likely slowdown in global economic growth raised concerns about the outlook for energy demand. West Texas Intermediate Crude oil futures for October ended down by $1.68 or 2.3 percent at $70.29 a barrel.
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