The share market is lower on falling risk appetite and as another retailer downgrades its profit forecasts.
Disappointing manufacturing data out of Europe and concerns that US markets have been overzealous have hurt sentiment overnight, Australian Stock Report senior equity analyst Benny Sada says.
“US markets have had six days of gains and that has fuelled concerns US markets have run too fast and too hard,” Mr Sada said.
“This negative sentiment has crept into our market and the losses are widespread with the big financials contributing the most to the declines.”
He said consumer discretionary stocks were also among the biggest losers as another retailer reports a significant slump in sales.
Outdoor clothing retailer Kathmandu has downgraded its profit forecast after the warmer start to winter dinted its sales in June.
Its shares were down 34 cents, or 10.24 per cent, at $2.98.
Meanwhile, South African retailer Woolworths is making a $213 million takeover bid to buy the 12 per cent of Australian clothing chain Country Road that it does not own.
The move would involve buying businessman Solomon Lew’s stake at a premium, and clearing the way for Woolworths to then buy retailer David Jones.
David Jones shares were up 16 cents, or 4.22 per cent, at $3.95 while Country Road shares jumped $2, or 14.29 per cent, to $16.
Among the banks, Commonwealth Bank had dropped 29 cents to $81.50, National Australia Bank was down 28 cents to $33.06, Westpac had declined 24 cents to $34.13 and ANZ was 26.5 cents lower at $33.715.
As for the major miners, Rio Tinto had lost 58 cents to $59.42 and Fortescue Metals was down two cents at $4.37 but BHP was up 0.5 cents at $36.455.
KEY FACTS
* At 1200 AEST on Tuesday, the benchmark S&P/ASX200 index was down 23.5 points, or 0.43 per cent, to 5,429.8.
* The broader All Ordinaries index was down 20.8 points, or 0.38 per cent, to 5,411.9.
* The September share price index futures contract was 26 points lower at 5,383, with 10,735 contracts traded.
* National turnover was 671 million securities worth $1.12 billion.
