A Falling Australian Market Is Rescued by Good News From China

Image: Phil Walter / Getty Images.

The Australian market fell this morning as the price of iron ore slipped below $US80 a tonne.

S&P/ASX 200 lost almost half of one percentage point soon after the market opened following the 1.22% loss yesterday.

Resources stocks, which rely on iron ore prices for top line revenue, weighed on the market.

BHP was trading at $34.40, down another 1.32% after it lost 1.74% yesterday.

Rio Tinto was at 59.610, down 0.73%, and Fortescue lost 1.54% to $3.525.

The S&P/ASX 200 later recovered all the morning’s lost ground, and a little from the previous day, to be up 0.27% at 5,377.30.

Good news for local investors came in the form of positive manufacturing numbers form China, indicating continuing demand for Australia’s miners.

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 research.businessinsider.com.au.