The Australian share market has closed lower as the UK’s vote to leave the European Union continues to rock global stock markets.
Local shares recovered some ground in afternoon trade after an early fall in the wake of US and European stock market tumbles overnight on the Brexit fallout.
The benchmark S&P/ASX200 index had dropped as much as 1.5 per cent during morning trade, with financial, energy and resource companies leading the slide.
A rebound among the big four banks helped ease the wider market’s losses, optionsXpress market analyst Ben Le Brun said.
“There has been a little bit of risk appetite return during the Asian trade across equity and commodity markets today as European and US futures markets pre-empt that we may see bargain hunters come out,” he said.
“It has given our market a little bit of encouragement.”
However, he said uncertainty about the economic impacts of Brexit continue to drive investors towards safe-haven assets like bonds and gold and away from riskier assets like stocks.
Shares in ANZ rose two cents to $23.29, National Australia Bank climbed 12 cents to $24.63, Commonwealth Bank gained 30 cents to $73.10 and Westpac was up 14 cents at $28.52.
The resource and energy stocks were lower, with Rio Tinto the only miner to buck the trend, gaining 13 cents to $44.20.
Gold miner Newcrest Mining dropped 64 cents, or 2.65 per cent, to $23.55 after a drop in the gold price, while Evolution Mining also fell after early gains won when it announced record gold production and doubled dividend payouts.
Defensive stock Telstra was down six cents, or 1.1 per cent, at $5.41.
KEY FACTS:
* At the close on Tuesday, the benchmark S&P/ASX 200 index was down 33.9 points, or 0.66 per cent, at 5,103.3 points.
* The broader All Ordinaries index was down 36.5 points, or 0.70 per cent, at 5,179.7 points.
* The September share price index futures contract was down 22 points at 5,046 points, with 48,464 contracts traded.
* The spot price of gold in Sydney at 1700 AEST was $US1,316.40 per fine ounce, down $US11.10 on Monday’s price of $US1,327.50.
* National turnover was 2.7 billion securities traded, worth $7.58 billion.
