SYDNEY: The Australian sharemarket swung lower today as China’s holiday left a void for investors and domestic economic news weighed on confidence.
At the 4.15pm (AEST) official market close, the benchmark S&P/ASX200 index had fallen 73.7 points, or 1.44 per cent, to 5027.8, while the broader All Ordinaries had retreated 70.8 points, or 1.38 per cent, to 5048.6.
While the local market had opened 1 per cent higher, following a strong performance on Wall Street, soft local retail figures soon saw the bourse in the red.
The Australian Bureau of Statistics retail trade data showed sales had declined in July, posting a monthly retreat for the first time since May 2014.
The result was far below economist expectations for a 0.4 per cent increase.
Meanwhile, the ABS published data showing Australia’s trade deficit narrowed in July, heading in the opposite direction to economist expectations for a widening.
Elsewhere, the Australian Industry Group Australian Performance of Services Index for August this morning showed expansion for the third straight month, improving 1.5 points to 55.6.
IG market analyst Angus Nicholson said the economic data had been “mixed”, leaving “cautious trading” to reign supreme as Chinese markets took the first of a two-day break to mark the end of World War II.
“All bets are off for what will happen on Monday with the reopening of China’s stock markets,” he said.
