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Australia Market tumbles to 4-months low

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Capital Market
Last Updated : Sep 29 2021 | 6:51 PM IST
The Australian shares extended losses on Wednesday, 29 September 2021, with the benchmark S&P/ASX200 and All Ordinaries indexes closing at four-month low, as a wide range of issues met selling after sentiment was hurt by overnight declines on Wall Street due to heightened inflation woes and economic uncertainties. Meanwhile, concerns over the coronavirus situation in the country, particularly in New South Wales and Victoria also fuelled selloff.

At closing bell, the benchmark S&P/ASX200 stumbled by 78.84 points, or 1.08%, to 7,196.71. The broader All Ordinaries index retreated 80.81 points, or 1.07%, to 7,500.25.

Total 9 of 11 sectors ended lower along with the S&P/ASX 200 Index. Information technology was the bottom performing sector, losing 2.36%, meanwhile healthcare (down 1.9%), energy (down 1.8%), real estate (down 1.1%), financial (down 1.05%), and materials (down 1.03%) sectors were also notable losers. Utilities was best performing sector, adding 0.23%.

The bottom performing stocks in this index were PINNACLE INVESTMENT MANAGEMENT GROUP and CHALICE MINING, down 9.05% and 5.97% respectively. The top performing stocks in this index were ST BARBARA and REGIS RESOURCES, up 6.7% and 6.3% respectively.

Energy stocks dived on tracking lower crude oil prices as U.S. crude inventories unexpectedly rose after doubts over demand resurfaced. Washington H Soul Pattinson and Company and Woodside Petroleum dropped 3.8% and 2.2%, respectively.

Technology stocks fell on tracking fall in US peers with rising U.S. Treasury yields. Appen fell 3.4%, while Afterpay dropped over 3%.

Shares of materials and resources tumbled as base metal prices slipped on fears over demand curbs after Australia's top trading partner China is in the grip of a power crunch, which has halted production at several factories. Australia's mining triumvirate, BHP Group, Rio Tinto and Fortescue Metals fell between 2.2% and 2.5%.

Energy shares dropped on following a dip in oil prices. Santos and Oil Search fell 2% and 2.2%, respectively.

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CURRENCY NEWS: The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 93.804 following its recent climb from below 93.6. The Australian dollar was at $0.725 after yesterday drop from above $0.729.

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First Published: Sep 29 2021 | 4:20 PM IST

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