Australian Stocks Hit 1-Month Low Amidst Sector Losses

Summary

  • Australia stocks took a hit evident by their lower closing on Tuesday.
  • The decline is related to losses in multiple sectors that directed the shares downward.
  • Zip Co. Ltd, Pointsbet Holdings Ltd, and Westgold Resources Ltd were the notable performers of the session, showing reasonable gains.
  • South32 Ltd, Ansell Ltd, and Seven Group Holdings Ltd displayed a noticeable decline.
  • The number of faltering stocks outdid those making gains on the Sydney Stock Exchange.
  • The volatility of the S&P/ASX 200 options went up.
  • Gold Futures for February was seen to have a decline while Crude oil for March and March Brent oil contract had mixed dynamics.
  • AUD/USD remained unchanged, whereas AUD/JPY indicated a loss.
  • The US Dollar Index Futures noted a rise.

The stock market in Australia ended lower on Tuesday, with losses seen in various sectors impacting the overall stock performance

Sydney’s stock market index fell by 1.09%, reaching a new 1-month low after the closing bell.

Among the top performers on the stock market were Zip Co Ltd, Pointsbet Holdings Ltd and Westgold Resources Ltd . Zip Co Ltd’s stock rose by 10.20% or 0.05 points, ending the session at 0.54.

Worst Performers

On the flip side, South32 Ltd faced a loss of 4.49%, closing at 3.40. Similarly, Ansell Ltd and Seven Group Holdings Ltd ended lower by 4.43% and 3.96%, respectively.

The negative trend prevailed on the Sydney Stock Exchange with a higher count of falling stocks than advancing ones.

Implied volatility of S&P/ASX 200 options also rose by 3.96%, marking a new 1-month high.

Commodities and Currency

Gold Futures for February delivery was down 0.31% or 6.45 to $2,052.55 an ounce. Crude oil for March slid slightly while the March Brent oil contract showed slight improvement.

In currency trading, AUD/USD remained stagnant while AUD/JPY showed slight depreciation.

The US Dollar Index Futures experienced a slight increase of 0.33%, concluding at 102.66.

Given the overall landscape, these financial dynamics are likely to influence forex trading and related assets, setting out potential opportunities and risks for traders.

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