The local share market is in negative territory with pain from the banks and mining giant BHP Billiton.
“There’s a big sell-off – particularly in the banks,” IG Markets strategist Evan Lucas said.
He said heavy losses in US markets overnight was driving the local bourse down.
“We saw over one per cent in the Dow in the S&P and a 2.4 per cent move lower in the NASDAQ,” he said.
“(And) there is nervousness out there that we are due for a little bit of a contraction.”
Mr Lucas said the financial sector was performing particularly badly, down 1.5 per cent.
Commonwealth Bank was down $1.18 at $94.68, National Australia Bank had lost 47 cents to $38.83, ANZ was 49 cents lower at $36.70 and Westpac had dropped 55 cents to $39.34.
The mining segment also was down 1.5 per cent with global miner BHP falling 54 cents to $30.57.
But Rio Tinto was three cents higher at $56.86 and iron ore pure play Fortescue Metals was up five cents at $2.09
The energy sector was mixed, with Woodside Petroleum losing 22 cents to $34.88, but oil and gas explorer Santos lifting 12 cents to $7.46 and Oil Search adding eight cents to $7.68.
Telstra was down 4.5 cents to $6.325.
KEY FACTS
* At 1202 AEDT on Thursday the benchmark S&P/ASX200 index was down 76.8 points, or 1.29 per cent, at 5,896.5.
* The broader All Ordinaries index was down 72.6 points, or 1.22 per cent, at 5,864.5.
* The June share price index futures contract was 76 points lower at 5,894, with 15,354 contracts traded.
* National turnover was 661 million securities worth $1.66 billion.
