Australian Shares Fall Amid Concerns of US Market Downturn

Strategic Insights -

Australian shares declined on concerns that the US market will fall tonight, causing a drop in local stocks. The All Ordinaries index shed 8.8 points to close at 2,920.8, while the Australian equities market saw a mixed performance, with some stocks bucking the trend. Brokers attributed the decline to the anticipated fall in the US market, citing the Globex futures on the S&P 500 as a key indicator. The Dow Jones Industrial Average index slipped 8.47 points overnight, adding to the concerns.

Key Takeaways:

  • The All Ordinaries index fell 8.8 points to 2,920.8, its intra-day low being 2,918.9.
  • Henderson Charlton Jones adviser Stuart Smith attributed the decline to the anticipated fall in the US market.
  • The Globex futures on the S&P 500 closed marginally lower after being seven points up at mid-day.
  • The Dow Jones Industrial Average index slipped 8.47 points overnight.
  • The Australian equities market saw a mixed performance, with some stocks bucking the trend.
  • Telstra, a leading telecommunications company, had a strong start, hitting a peak of $8.93 before drifting back to close three cents down at $8.73.
  • The bank index retreated 12.8 points to 6797.0, with National Australia Bank the only "Big 4" player to finish in positive territory.
  • Suncorp-Metway continued to gain momentum, stacking on 11 cents to $9.26.
  • AMP retreated 6.6 points to $17.90.
  • Harvey Norman surged 40 cents to $16.25, while Woolworths gained 11 cents to $5.17.
  • Southcorp picked up nine cents to $6.25, with pressure from brokerage firm HSBC Securities Australia upgrading its recommendation on the stock.
  • Burns Philp topped the turnover table with 11.12 million shares traded for $2.92 million as the stock firmed four cents to 28 cents.

Statistics:

  • 8.8 points: The decline in the All Ordinaries index.
  • 2,920.8: The closing value of the All Ordinaries index.
  • 8.47 points: The slip in the Dow Jones Industrial Average index overnight.
  • 322.8 million: The preliminary national turnover in stocks.
  • $1.02 billion: The value of stocks traded.
  • 662: The number of falling stocks.
  • 499: The number of rising stocks.
  • 460: The number of stocks that remained steady.

Sources:

  • Australian shares were lower on concerns about an expected fall on Wall Street tonight, brokers said.
  • ASIA PULSE (C) 1999 Asia Pulse Pte Ltd News Provided by COMTEX (http://www.comtexnews.com)