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Australian Shares Start the Week 1.9% Lower

Published 29/08/2022, 11:12 am
© Reuters
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By Oliver Gray 

Investing.com - The S&P/ASX 200 fell 134.9 points or 1.9% to 6,969.2 after the first hour of Monday’s trade, extending losses of 0.2% last week. Risk sentiment soured during Friday’s session on Wall Street as Federal Reserve Chair Jerome Powell’s hawkish comments at the Jackson Hole Symposium boosted US Dollar index and yields rising while stocks tanked.

ASX 200 Futures were pointing 0.5% lower.

Among stocks, the risk-sensitive Information Technology sector led declines, down 3.9%, with Block Inc (ASX:SQ2) falling 7.8%, Appen Ltd (ASX:APX) dipping 4.1%, Megaport Ltd (ASX:MP1) down 4.6% and Novonix Ltd (ASX:NVX) dipping 4.6%.

Energy fell 2.7% with Woodside Energy Ltd (ASX:WDS) down 2.2%, Santos Ltd (ASX:STO) losing 2%, Beach Energy Ltd (ASX:BPT) falling 1.9% and South32 Ltd (ASX:S32) shedding 2.6%.

Real Estate companies was down 1.9% with Charter Hall Group (ASX:CHC) falling 2.8%, Mirvac Group (ASX:MGR) down 1.7%, Goodman Group (ASX:GMG) down 2.4% and Stockland Corporation Ltd (ASX:SGP) falling 1.4%.

Materials also fell 2.2% as Rio Tinto Ltd (ASX:RIO) fell 1.9%, BHP Group Ltd (ASX:BHP) lost 1.3% and Champion Iron Ltd (ASX:CIA) shed 3.5%. Fortescue Metals Group Ltd (ASX:FMG) also dipped 2.5% despite announcing better-than-expected profits and dividends

Ahead in the week, market participants will be monitoring upcoming retail sales data, building approvals, construction work as well as the AIG Manufacturing Index.

On the bond markets, United States 10-Year rates were at 3.087% while Australia 10-Year rates were at 3.679%.

In New Zealand, the NZX 50 was down 0.6% to 11,537.5.

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