Australian stocks are getting hosed again

KAZUHIRO NOGI / AFP / Getty Images

After two days of solid gains, Australian stocks are well and truly back in the red this morning.

The ASX200 broke above 5,800 yesterday for the first time in a month, but that proved to be too much of a barrier and a short time ago the index was down 1.23% at 5,762.40.

The falls are being led by banks and miners – the two biggest sectors on the Australian market.

A short time ago the ASX200 financials index was down by 1.43%, with the resources index 2.44% lower. Energy stocks were also more than 2% lower following another sharp fall in the oil price overnight.

Westpac led the falls among the big banks; a short time ago it was down 2.5% to $30.65. The bank had another systems failure this morning which it said has been corrected, following a major outage to its mobile banking platform which was fixed yesterday.

ANZ was also down by more than 2%, while Commonwealth Bank and NAB have fallen by around 0.8%.

With iron ore struggling to find much traction above $US50 a tonne, the big miners have continued to trend lower since the market opened, with BHP and Rio both down by around 3% while Fortescue is more than 2% lower.

Gold miner Newcrest Mining hasn’t been spared, shedding more than 2% while among the big energy players, Woodside Petroleum was down 1.8% while Origin Energy was 2.7% lower a short time ago.

It’s been red all across the board, with no major catalyst obvious after the US Federal Reserve raised interest rates as expected overnight.

Aussie stocks didn’t receive any boost from another positive employment report at 11:30am AEST, which showed employment increasing by 42,000 against a forecast of 10,000.

The Aussie dollar surged on the back of the news, and a short time ago was back over US76 cents.

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