SYDNEY: Australian stock market’s benchmark S&P/ASX200 index opened down by 19.2 points, or 0.37 percent, to 5,229.1 on Thursday, while the broader All Ordinaries index was down 19.0 points, or 0.36 percent, at 5,267.5.
Australia’s resources are weighing on the local market in early trade following a slump in commodity prices with gold stocks suffering heavy losses.
“We saw a strong rally in the gold stocks yesterday despite a weaker gold price the previous night,” CMC Markets chief market strategist Michael McCarthy said Thursday.
“It looked like short-term interest was dominating the market anticipating a turnaround in the underlying commodity. That didn’t occur and that’s what is triggering the selloff today.”
BHP Billiton fell 1.49 percent while rival Rio Tinto slipped 1.44 percent. Gold miner Newcrest slumped 3.54 percent.
Santos bounced 17.46 percent and Oil Search rallied 1.30 percent.
ANZ slipped 0.7 percent, the Commonwealth Bank of Australia fell 0.63 percent, the National Australia Bank lost 0.35 percent however Westpac edged a 0.07 percent gain.
Qantas was 1.28 percent stronger, Telstra gained 0.64 percent while Woolworths slipped 0.52 percent.
