Australian bank stocks are recovering after early reports of a government proposal to impose a bank bailout insurance levy turned out to be overstated.
The Australian Financial Review, which broke the news at 11.17am, initially reported that the government would ask banks to pay a 0.5%-1% levy for it to guarantee deposits.
It edited the story about 2 hours later to say that the levy would be 0.05%-0.1% – a tenth the originally reported figure.
Via investing.com, here’s what the report and subsequent correction did to the ASX 200 Financials index:
The ASX 200 Financials index is now down 1.11% for the day so far. The broader ASX 200 index is down 0.06%.