🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Oil, metal woes hurt Australian shares; NZ also down

Published 26/11/2018, 05:32 pm
© Reuters.  Oil, metal woes hurt Australian shares; NZ also down
AXJO
-
BHP
-
MQG
-
RIO
-
BHPB
-
OSH
-
RIO
-
STO
-
WBC
-
HG
-
AXMM
-
AXEJ
-
AXFJ
-
NZ50
-
ATM
-
UXXc2
-
RYM
-

* Resource stocks lead declines on softer base metal prices

* Energy stocks hit over 8-month low

* NZ benchmark on track for second straight session of losses (Updates to close)

By Shriya Ramakrishnan

Nov 26 (Reuters) - Australian shares were dragged lower on Monday by heavy losses for the mining and energy sectors, as a plunge in oil prices last week inflamed broader fears about slowing global growth and corporate earnings.

While Asian share markets put on modest gains thanks to signs of brisk U.S. holiday sales, a crucial meeting between U.S. and Chinese leaders at the end of this week tempered demand for riskier assets. MKTS/GLOB

Australia's S&P/ASX 200 index .AXJO closed down 0.78 percent or 44.6 points at 5,671.60, after rising 0.4 percent on Friday.

Metals and mining stocks .AXMM led declines with a near 3 percent slump to their lowest level in over seven months. Global miners BHP Billiton (LON:BHPB) BHP.AX and Rio Tinto (LON:RIO) Ltd RIO.AX shed 3.6 percent each.

Rio Tinto announced plans to sell its entire stake in Rössing Uranium Ltd to China National Uranium Corp Ltd for up to $106.5 million. iron ore futures tumbled nearly 6 percent, while copper and nickel prices also declined, on worries over weaker demand. IRONORE/ MET/L

Those same concerns, as well as signs of a supply glut, sent oil prices plunging almost 8 percent on Friday. Prices steadied a little in Asian day though they did little to make up for last week's rout. O/R

The oil market woes dented energy stocks .AXEJ 2.5 percent to their lowest level since March, with sector heavyweights Santos Ltd STO.AX down 4.7 percent and Oil Search Ltd OSH.AX declining 4 percent.

Financial stocks .AXFJ ended lower at the close of trade, as the 'big four' banks had little relief from a Royal Commission inquiry which this year revealed widespread misdeeds in the sector.

Lendor Macquarie Group Ltd MQG.AX fell 0.9 percent, while Westpac Banking Corp WBC.AX lost 0.4 percent.

New Zealand's benchmark S&P/NZX 50 index .NZ50 slipped 0.45 percent to finish at 8,662.37.

Retirement village operator Ryman Healthcare Ltd RYM.NZ declined nearly 4 percent, while dairy firm A2 Milk ATM.NZ fell 3.1 percent.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.