Worst day for three months takes Australian benchmark lower

It was the dirtiest day in three months for the Australian share market on Monday, with the benchmark S&P/ASX 200 Index (ASX: XJO) sinking 89 points, or 1 per cent, to 8,668.2, while the broader All Ordinaries Index (ASX: XAO)lost 80.6 points, or 0.9 per cent, to 8,926.2.

Nine of the Australian Securities Exchange’s (ASX) 11 sectors lost ground, with the leading lights being energy, which gained 1.2 per cent, and materials, which added up 0.3 per cent, helped by more positive sentiment around China. Energy was led by coal heavyweight Whitehaven Coal Limited (ASX: WHC), which surged 25 cents, or 4 per cent, to $6.42; in the same cohort, New Hope Corporation Limited (ASX: NHC) added 10 cents, or 2.5 per cent, to $4.16; Yancoal Australia Limited (ASX: YAL) gained 24 cents, or 4.1 per cent, to $6.08; and Stanmore Resources Limited (ASX: SMR) ended up 8 cents, or 3.7 per cent, to $2.25. Woodside Energy Group Limited (ASX: WDS)also played a part, putting on 35 cents, or 1.4 per cent, to $24.75; and Brazilian-based oil and gas producer Karoon Energy Limited (ASX: KAR) gained 3.5 cents, or 1.8 per cent, to $1.965.

Materials was helped by its leaders, with BHP Group Limited (ASX: BHP) lifting 17 cents, or 0.4 per cent, to $40.46; Rio Tinto Limited (ASX: RIO) firming $1.35, or 1.2 per cent, to $114.46; Fortescue Limited (ASX: FMG) adding 25 cents, or 1.5 per cent, to $17.25; and South32 Limited (ASX: S32) gaining 13 cents, or 4.5 per cent, to $3.02. Lithium stock Liontown Resources Limited (ASX: LTR) provided a resources highlight, spiking 10.5 cents, or 11.3 per cent, to $1.03, while Mineral Resources Limited (ASX: MIN), which mines lithium and iron ore, moved 91 cents, or 3.1 per cent, higher to $29.99.

Every AMP has its day

The financial sector was the lead in the market’s saddlebags, retreating 2.3 per cent as the big retail banks came off. Westpac Banking Corporation (ASX: WBC) led them lower, softening $1.24, or 3.6 per cent, to $33.07; while Australia and New Zealand Banking Group Limited (ASX: ANZ) lost 77 cents, or 2.5 per cent, to $30.05; Commonwealth Bank of Australia (ASX: CBA) retreated $4.59, or 2.5 per cent, to $177.87; and National Australia Bank Limited (ASX: NAB) slipped 94 cents, or 2.4 per cent, to $38.25.

But AMP Limited (ASX: AMP) spiked 15 cents, or 9.8 per cent, to a five-month high of $1.685 after reporting its first quarter of positive cashflows into its superannuation business since the second quarter of 2017, at the height of the share price turmoil resulting from the company’s mauling by the financial services Royal Commission.

Two out of three record highs ain’t bad

In the US, the broad S&P 500 Index (NYSE: SPX) advanced 8.81 points, or 0.1 per cent, to 6,305.6, and the tech-laden Nasdaq Composite Index (NASDAQ: IXIC) lifted 78.52 points, or 0.4 per cent, to 20,974.17, with both indices closing at record highs. But the 30-stock Dow Jones Industrial Average (NYSE: DJI) receded 19.12 points, to 44,323.07.

Investors are dialling-in to a big week for second-quarter financial results. So far, more than 60 S&P 500 Index (NYSE: SPX) companies have reported, with more than 85 per cent of those beating analysts’ estimates, according to FactSet Research Systems Inc. (NYSE: FDS).