It was a roller-coaster ride for the big banks today in the wake of the federal government’s bank levy.
A further $8 billion in paper value was wiped from the big banks at this morning’s open, after they were hammered yesterday as speculation of the levy spread.
But the tide turned at around midday, and the majors started finding some buying support.
The big four banks, and Macquarie, were all down well over 1% at the market open, but by the close of the session most of those losses had been pegged back.
ANZ made it all the way to positive territory, finishing up 0.82% at $29.40.
NAB finished 0.69% lower, while Westpac lost 0.59% and Commonwealth Bank was down 0.51%.
Macquarie, the fifth bank to incur the levy, finished 0.45% lower.
Off-setting those losses, the market clearly saw a buying opportunity in the regional banks exempt from the new levy.
Bendigo & Adelaide Bank finished 3.9% higher, Bank of Queensland finished up 3.7% and Suncorp Group was up 2.7%.
The gains in those three banks more than off-set their losses the previous day before it became clear that the levy would only apply to the major banks and Macquarie.
Although the big four staged a bit of a comeback today, $14 billion has been wiped from their collective market value since Monday.