Australian stocks are tanking

JUSTIN TALLIS/AFP/Getty Images

The Australian market fell hard in early trade as the chaos from the UK’s exit from the European Union continued.

Financial stocks in the US and Europe were sold down overnight.

Wall Street fell with the S&P 500 index closing 1.8% down. And the ratings agency S&P cut the UK’s top credit rating by two levels to AA from AAA.

On the local market, the ASX 200 index was dropping toward 5000 points. A short time ago, the index was at 5,073.60, down 63.63 points or 1.24%.

The major banks and financial stocks led the slide with the NAB down 1.5% to $24.14 and AMP dropping 2% to $5.04.

Energy stocks were down more than 3% as a group following a more than 2% fall in oil prices overnight. Santos dropped 4.7% to $4.44 and Woodside Petroleum 2.2% to $25.26.

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