Don’t miss the latest developments in business and finance.

Australia Stocks slide on Melbourne lockdown

Image
Capital Market
Last Updated : Jul 08 2020 | 4:50 PM IST
The Australian share market finished session steep lower on Wednesday, 08 July 2020, as investors refrained from making big bets after a lockdown was reimposed in the country's second-most populous state to contain a spike in coronavirus cases.

At closing bell, the benchmark S&P/ASX200 index declined 92.62 points, or 1.54%, to 5,920.30. The broader All Ordinaries dropped 92.42 points, or 1.51%, to 6,034.31.

The Victorian Premier Daniel Andrews announced that it would close the country's second-most populous state Melbourne from tonight, and they would remain shutting for the six-week lockdown to contain its spike in COVID-19 cases.

The major banks were the biggest drag on the market, after the extension of the loan repayment deferral period for borrowers struggling to service their debts by Australia's peak banking body due to the economic hit from COVID-19. More than 800,000 people have applied to Australian banks for six-month loan repayment holidays, worth more than A$260 billion, during the pandemic. Shares in ANZ, the Commonwealth Bank, NAB, and Westpac all fell sharply.

Energy stocks fell, led by Viva Energy Group Ltd as oil prices dipped on data showing a build in U.S. crude stockpiles, raising oversupply fears.

Alumina shares tumbled after the company announced it was prepared to fight the Australian Tax Office over a tax bill that could potentially exceed $1 billion.

CURRENCY NEWS: The Australian dollar had slipped against greenback partly due to a stronger greenback and Melbourne's six-week lockdown to contain its spike in COVID-19 cases. The Australian dollar changed hands at $0.6945 after touching levels around $0.693 yesterday.

Powered by Capital Market - Live News

Also Read

First Published: Jul 08 2020 | 4:21 PM IST

Next Story