Australian stocks fall on banks and tech stocks

Australian shares fell more than 1% on Monday as investors awaited U.S. inflation data after a solid jobs report last week dampened hopes the Federal Reserve would scale back its rate hikes.

The S&P/ASX 200 index was down 1.4% at 6,665.9 by 0013 GMT, its biggest intraday fall since September 26, driven by losses in banking and technology stocks. The benchmark rose 4.5% last week, its best weekly performance since early October 2020.

Major Wall Street indexes fell sharply on Friday, as a stronger-than-expected jobs report raised the prospect that the Federal Reserve will continue its rate-hiking campaign that many investors fear could push the U.S. economy into recession.

In Australia, financial sector heavyweights fell 1.3%, their worst day since late September. The “big four” banks fell between 0.7% and 1.4%.

Mining stocks fell 0.6%, weighed down by weaker copper and gold prices.

Gold prospectors posted losses on the local exchange, falling more than 4% in their worst session in two weeks. Newcrest Mining and Northern Star Resources fell 3.0% and 4.1% respectively.

Energy stocks also traded in negative territory but outperformed, helped by higher oil prices.

Technology stocks lagged the Nasdaq. Block Inc’s ASX shares fell 6.4%, leading the sub-index’s losses.

Health care and real estate stocks fell 1.7% and 2.3%, respectively.

Meanwhile, Link Administration said it has partnered on a non-exclusive basis with Canada’s Dye & Durham to sell its corporate markets and banking units for A$1.27 billion. Shares in Australian Stock Register rose 0.6%.

Shares in JOHN Ling Group fell 11% and were among the biggest losers on the ASX 200 after the company said its CEO had sold 4 million shares.

See also  Kevin Torrent goes full-on with the United States for the 4th consecutive Olympic gold | Olympic

New Zealand’s benchmark S&P/NZX 50 index was down 1% at 10,993.1. (Reporting by Anan Ashraf in Bengaluru; Editing by Subranshu Sahu)

Leave a Reply

Your email address will not be published.