The share market has fallen as weaker commodity prices and concerns that banks may be over-priced caused falls in the heavyweight sectors.
Investors sold out of ANZ despite its record $3.5 billion half year profit and higher dividend, and that selling spread to its rivals, who have all enjoyed strong share price growth so far in 2014.
“ANZ unleashed a set of impressive numbers prior to market open and beat analyst expectations across the board,” CMC Markets sales trader Betty Lam said.
“This was not enough to impress a tough crowd, who for the most part had already bought the bank up to record highs earlier in the week.”
ANZ shares dropped 40 cents to $34.07, Westpac lost 42 cents to $34.70, National Australia Bank shed 59 cents to $34.71 and Commonwealth Bank was 26 cents lower at $78.64.
Mining stocks also dropped as the price of iron ore hit another low overnight.
In the mining sector, BHP Billiton dropped 25 cents to $37.50, Rio Tinto shed 91 cents to $60.77 and Fortescue Metals was 20 cents lower at $4.85.
The release of manufacturing data from China, which showed a small increase in activity, failed to influence the local market, Ms Lam said.
Woolworths dropped 80 cents to $36.52, continuing its falls from the previous day fuelled by weaker than expected sales growth.
Wesfarmers, the owner of rival Coles, gained four cents to $42.75.
Telstra lost two cents to $5.20.
KEY FACTS
* The benchmark S&P/ASX200 index dropped 40.3 points, or 0.73 per cent, to 5,448.8 points.
* The broader All Ordinaries index lost 40.4 points, or 0.74 per cent, at 5,430.4 points.
* On the ASX 24 at 1621 AEST, the June share price index futures contract was 35 points lower at 5,434 points, with 28,206 contracts traded.
* The price of gold in Sydney at 1700 AEST was $US1,286.21 per fine ounce, down $US6.05 on Wednesday’s closing price of $US1,292.26.
* National turnover was 1.8 billion securities worth $5.6 billion.
