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Australian Market Notably Lower


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(RTTNews.com) - The Australian stock market is losing on Monday following the negative cues from Wall Street Friday after the U.S. non-farm payrolls report showed weaker than expected job growth in September, while the unemployment rate fell more than expected. In addition, weak metals and oil prices weighed on resources stocks.

In late-morning trades, the benchmark S&P/ASX 200 Index is declining 54.50 points or 0.88 percent to 6,131.20, off a low of 6,122.10 earlier. The broader All Ordinaries Index is down 52.60 points or 0.83 percent to 6,248.50. Australian shares ended slightly higher on Friday.

Among the big miners, BHP is declining almost 2 percent, while Rio Tinto and Fortescue Metals are losing more than 1 percent each after falls in copper and aluminium prices.

Oil stocks are weak after crude oil prices ended almost flat on Friday. Santos and Woodside Petroleum are declining more than 1 percent each, while Oil Search is down almost 1 percent.

In the banking space, National Australia Bank, Commonwealth Bank, and Westpac are lower in a range of 0.7 percent to 1.7 percent.

Shares of ANZ Banking are losing more than 2 percent after the lender said it will take a $824 million hit to its full-year profit due to impairments and one-time expenses mostly related to customer remediation.

Bucking the trend, gold miner Evolution Mining is rising more than 2 percent and Newcrest Mining is adding almost 1 percent after gold prices rose Friday.

Shares of Myob Group are rising more than 19 percent after the company said private equity firm KKR & Co. has launched a full takeover bid following its acquisition of a 17.6 percent stake in the clod services provider.

On the economic front, Australia will see September figures for job advertisements from ANZ today.

In the currency market, the Australian dollar remained at near two-and-a-half year lows against the U.S. dollar. The local currency was quoted at $0.7050 on Monday.

On Wall Street, stocks closed lower on Friday as treasury yields extended a recent upward move following the release of the monthly jobs report, adding to recent concerns about the outlook for interest rates. While the Labor Department report showed weaker than expected job growth in September, the jump in employment in August was upwardly revised and the unemployment rate fell to its lowest level since 1969.

The Dow slid 180.43 points or 0.7 percent to 26,447.05, the Nasdaq tumbled 91.06 points or 1.2 percent to 7,788.45 and the S&P 500 fell 16.04 points or 0.6 percent to 2,885.57.

The major European markets also showed notable moves to the downside on Friday. The U.K.'sFTSE 100 Index tumbled by 1.4 percent, while the German DAX Index and the French CAC 40 Index slumped by 1.1 percent and 1 percent, respectively.

Crude oil prices retreated to end almost flat on Friday, after edging higher early on in the session. Crude oil futures for November ended at $74.34 a barrel on the New York Mercantile Exchange, gaining a penny.


Read the original article on RTTNews (http://www.rttnews.com/2941438/australian-market-notably-lower.aspx)


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This article appears in: Stocks , World Markets , Banking and Loans , Economy , Oil , Commodities
Referenced Symbols: CME ,



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