The Australian share market fell heavily in afternoon trade after starting the day flat.
Business news was marked by the dramatic descent of national airline Qantas, which flagged a big financial loss and widespread job cuts.
CMC Markets chief market analyst Ric Spooner the market appeared to have built up downside momentum with yield stocks – above-average dividend payers – falling most after strong gains this year.
“We are just seeing a bit of profit taking I think, book squaring with markets positioning for the jobs figure (non-farm payrolls) in the US tomorrow night,” he told AAP.
The ASX200 index has fallen four out of the last five sessions.
Every stock among the top 20 and 48 of the top 50 on the bourse fell.
Yield stocks to fall included Woolworths, which dropped 59 cents, or 1.8 per cent, to $32.82 and Wesfarmers, which gave up 54 cents to close at $41.76.
The major banks posted heavy losses, with Westpac the biggest loser dropping 86 cents, or 2.7 per cent, to $31.49, Commonwealth sagging $1.30 to $75.50, ANZ retreating 57 cents to $31.19 and National Australia Bank dumped 72 cents to $33.66.
Qantas on Thursday flagged a half-year pre-tax loss of $250 million to $300 million, and said it will axe 1,000 jobs.
It’s shares closed 13.5 cents or 11.2 per cent, lower at $1.07, with 80 million shares changing hands.
The Australian market overall was weaker following overnight falls on overseas markets.
Resources stocks did slightly better due to higher commodity prices and the lower Australian dollar, which helped some other stocks.
BHP Billiton dropped two cents to $36.78 and Fortescue added six cents at $5.69.
KEY FACTS
* At the close on Thursday, the benchmark S&P/ASX200 index was 75.8 points, or 1.44 per cent, lower at 5,198 points.
* The broader All Ordinaries index was down 70.6 points, or 1.34 per cent, at 5,196.9 points.
* The December share price index futures contract was 66 points lower at 5,211 points, with 32,296 contracts traded.
* National turnover was 2.0 billion securities worth $5.3 billion.
