Materials copped 2%, to be the next worst behind energy’s 5.8% capitulation. By lunchtime, energy was still the stand-out on a 4% plunge, while other sectors were weaker but by a much lesser magnitude.īy the afternoon, energy just kept falling and the session morphed into a general sell-a-thon. From yesterday’s opening bell, the energy sector led the ASX200 lower. One might have argued on Wednesday that energy stocks had reached oversold levels, but that opinion looked a bit foolish yesterday.
On Wednesday the market was led up by a strong snap-back rally in the energy sector, which appears to have been triggered by Woodside maintaining an 80% payout ratio when there were concerns this would be reduced.īut 80% of what? In another six months that yield will be worth tuppence ha’penny. Clearly, no one has a clue at the moment. While it’s frustrating enough that the local market should fall 1.7% yesterday, it’s more frustrating that we were up so solidly on Wednesday. The Dow fell 368 points or 2.1% while the S&P lost 2.1% to 2035 and the Nasdaq dropped 2.8%.Īlexis Tsipras has resigned as Greek prime minister and dissolved the government ahead of a fresh election next month.
