The Australian share market has closed sharply lower, pulled back by weakness among the big banks and the major miners.
IG market strategist Stan Shamu said the fact that all the major banks were now trading ex-dividend gave investors little reason to buy into them at the moment.
The lack of consumer confidence in the general economy, which could constrain credit growth and property prices, was adding to the lack of enthusiasm for the banks.
Mr Shamu said lower iron ore prices continued to hurt mining stocks, especially mid-tier “pure play” iron ore miners.
“Overall there’s just no positives – nothing to inspire investors,” he said.
Among the major banks, National Australia Bank was 29 cents lower at $32.65 as it moved towards settling a multi-million-dollar class action over unfair fees.
Commonwealth Bank shed $1.15 to $81.85 as chairman David Turner expressed cautious optimism about 2015, predicting slight rises in consumer spending and demand for credit from businesses.
ANZ backtracked 30 cents to $32.21, and Westpac surrendered 30 cents to $33.33.
In the resources sector, global miner BHP Billiton was off 97 cents at $33.20 as it scrapped the sale of its Western Australian Nickel West business after failing to attract a buyer.
Rio Tinto fell $1.10 to $59.41, and Fortescue Metals sagged six cents to $2.96.
Atlas Iron dumped 3.5 cents, or 14.29 per cent, to 21 cents, and BC Iron reversed nine cents, or 10.4 per cent, to 77.5 cents.
Among other stocks, department store Myer descended 14 cents, or 7.37 per cent, to $1.76 after posting a flat first quarter trade result.
Seven West Media also fell 3.5 cents to $1.755 as it warned a drop-off in government advertising would hit its first half profit.
KEY FACTS
* On Wednesday, the benchmark S&P/ASX200 index closed 54 points, or 0.98 per cent, lower at 5,463.1 points.
* The broader All Ordinaries index fell 51 points, or 0.93 per cent, at 5,443.0 points.
* The December share price index futures contract was down 43 points at 5,488 points, with 24,031 contracts traded.
* The price of gold in Sydney at 1700 AEDT was $US1,167.10 per fine ounce, up $US15.70 on Tuesday’s price of $US1,151.40.
* National turnover was 1.596 billion securities worth $4.8 billion.
