Australian shares end worst year since 1982

01 Jul, 2008

Australian shares closed down 0.4 percent on Monday, bringing to a close its worst financial year since 1982. The benchmark S&P/ASX 200 dropped 21.7 points to close at 5,215.3 while the broader All Ordinaries slipped 16.5 points to 5,332.9. For the financial year ending June 30, the S&P/ASX 200 lost close to 17 percent.
The All Ordinaries dropped 15 percent, its worst performance since 1982 when it lost fell 32 percent. Monday's turnover was 2.52 billion shares worth 7.28 billion Australian dollars (7.0 billion US), with 795 stocks closing down, 651 up and 350 unchanged.
"There still seems to be tax-loss selling around, and later this week you've got a shortened week in America and non-farm payroll data, which the market has been sensitive to of late," ABN Amro Morgans private client adviser Simon Ferguson said.
Among major banks, Westpac lost 3.3 percent to 20.00 dollars, National Australia Bank dropped 0.8 percent to 26.50, Commonwealth Bank of Australia was 0.8 percent lower at 40.17 and ANZ dropped 1.21 percent to 18.72.
The nation's fifth-largest bank St George was down 4.9 percent at 21.11. Investment firm Babcock & Brown bucked the trend after agreeing to pay down 400 million dollars of debt through asset sales, freeing it from a financing review clause tied to its market capitalisation. Babcock & Brown shares rose 18 percent to 7.50.
Resources stocks benefited from rising oil and gold prices. BHP Billiton gained 1.9 percent to close at 43.70 and take-over target Rio Tinto rose 2.6 percent to 135.50. Dealers said uncertainty in the United States combined with the rising price of oil to inject some nervousness into the Australian market.

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