STOCK MARKET TUMBLES ON GRIM OVERSEAS INDICATORS

Written on the 5 June 2012

STOCK MARKET TUMBLES ON GRIM OVERSEAS INDICATORS

THE horror dive that saw Australian stocks lose more than $100 billion in value last month continued today with the S&P/ASX200 index today plunging below the 4000-mark for the first time since November.

Factors including America’s worsening unemployment rate and uncertainty over the Eurozone delivered a 1.75 per cent blow to the Australian financial market as the S&P/ASX200 index dwindled to 3992.9 points in morning trading.

The broader All Ordinaries index suffered nearly a 2 per cent drop to 4042.2 points.

The plunge was not unexpected after US figures released on Friday showed an increased jobless rate there of 8.2 per cent. French, German and British markets dropped 3, 2 and 1 per cent respectively on the data.

By comparison, the Australian unemployment rate decreased by 20 percentage points to 4.9 per cent in April.

The Australian Bureau of Statistics’ latest business indicators, released today, show wages grew 2.1 per cent and corporate gross operating profits plunged 4 per cent during the 2012 March quarter.

Manufacturing sales of goods and services declined 0.4 per cent while wholesale trade sales jumped 1.2 per cent during the period. Inventories held by businesses were up 0.8 per cent with their worth being impacted by valuation changes.


Latest News

EVERYTHING YOU NEED TO KNOW ABOUT THE NATIONAL BROADBAND NETWORK

THE National Broadband Network (NBN) is more than an internet connection, it is an opportunity to transform your b...

VOLATILE INDUSTRY CLIPS FLIGHT CENTRE'S WINGS

DESPITE achieving record sales in the first half, Flight Centre Travel Group (ASX: FLT) profit has suffered the ef...

ARDENT TAKES $95.2 MILLION HIT FROM DREAMWORLD TRAGEDY

ARDENT Leisure has taken a $95.2 million write-down on the value of its Dreamworld theme park following the tragedy t...

AGENT EXITS, LOW LISTINGS HURT MCGRATH

PROFITS have dived 72 per cent at real estate group McGrath (ASX:MEA) to $2.4 milllion on the back of low property...

Related News

EVERYTHING YOU NEED TO KNOW ABOUT THE NATIONAL BROADBAND NETWORK

THE National Broadband Network (NBN) is more than an internet connection, it is an opportunity to transform your b...

WHY EMPLOYEE-OWNED COMPANIES ARE BEATING ASX200 SHARE PRICES

EMPLOYEE-owned companies command a higher share price than their publicly listed peers, reaping a 17 per cent prem...

RISE OF THE MACHINES HAS WORKERS SWEATING

UP TO 3.8 million Australian workers are fearful their job may soon be terminated by a robot, a new survey has shown....

LESS TALK, MORE SMALL BUSINESS ACTION IN 2017

THE future growth and prosperity of Australian SMEs could be undermined if governments lose sight of the sector...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter