Australian shares slip on RBA rate cut

Australia’s Joshua Connolly in the high jump qualification round during the IAAF World U20 Championships in Bydgoszcz, Poland. Joosep Martinson/Getty Images for IAAF

The local market skipped higher when the RBA announced another cut in official interest rates.

The ASX 200 lifted briefly from lows of about 5560 to around 5574 points.

However, a short time ago, the index was sliding at 5,547.30, down 40.09 points or 0.72%, dragged down by financial stocks.

The banks, which had earlier been in negative territory, firmed before slipping into the red again.

A short time ago, Westpac was down 0.6% to $30.91 and the ANZ 0.16% to $25.74.

The Commonwealth was the first bank to cut home loan rates but not by the full amount of 0.25 percentage points. The standard variable rate has been reduced by 0.13% to 5.22%.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at