The Australian share market has closed slightly lower as falls from the major miners and the big four banks offset gains for retailers and China-exposed baby formula and vitamin makers.
The benchmark S&P/ASX200 index was down 0.07 per cent to 5,774.6 points at the close.
Patersons Securities economist Tony Farnham said the major miners were the biggest drag because of a slump in the Chinese iron ore futures price.
“The banks are also weaker, although they have improved from the morning, because US markets’ financials sector did struggle overnight,” Mr Farnham said.
“News that the Chinese authorities aren’t going to come down as hard as people thought they would on e-commerce products, like baby formula products, led to big moves in Bellamy’s and Blackmores.”
China-focused exporters jumped after reports emerged Beijing may not impose tough new-cross border e-commerce laws that have disrupted the importation of Australian goods.
Mr Farnham said the Reserve Bank minutes, released at 1130 AEDT on Tuesday, did not move the market because the US Federal Reserve had met and made its own rates move since the minutes were recorded.
Westpac was the weakest of the banks, down 0.69 per cent, while Rio Tinto and BHP Billiton were 1.19 per cent and 0.96 per cent lower.
Supplements maker Blackmores jumped 13.1 per cent, or $13.18, to $113.68 and infant formula supplier Bellamy’s rose 15.7 per cent, or 60 cents, to $4.42.
Premier Investments, the owner of Smiggle and Peter Alexander, was up seven cents to $13.79 after reporting further sales growth and a slight improvement in half year profit.
Cleaning and catering company Spotless had soared 48.97 per cent, or 35.5 cents, to $1.08 after receiving a $1.26 billion takeover offer from Downer EDI.
A weaker Dalian iron ore futures market, which was down by more than four per cent during afternoon trade, also hurt the Aussie dollar, easyMarkets chief market strategist Anthony Darvall said.
The local currency dropped steadily from 77.39 US cents around 1140 AEDT to a session low of 77 US cents around 1630 AEDT.
ON THE ASX:
* At the close, the benchmark S&P/ASX200 was down 4.3 points, or 0.07 per cent, at 5,774.6 points.
* The broader All Ordinaries index was down one point, or 0.02 per cent, at 5,819.5 points.
* The June SPI200 futures contract was down four points, or 0.07 per cent, at 5,761 points.
* National turnover was 3.2 billion securities traded worth $6 billion.
CURRENCY SNAPSHOT AT 1700 AEDT ON TUESDAY
One Australian dollar buys:
* 77.02 US cents, from 77.24 on Monday
* 86.88 Japanese yen, from 86.97 yen
* 71.58 euro cents, from 71.76 euro cents
* 62.37 British pence, from 62.31 pence
* 109.50 New Zealand cents, from 109.55 NZ cents
GOLD:
The spot price of gold in Sydney at 1700 AEDT was $US1,228.6 per fine ounce, up $US5.1 from $US1,233.70 on Tuesday.
BOND SNAPSHOT AT 1630 AEDT:
* CGS 5.25 per cent March 2019, 1.792pct, down from 1.795pct on Monday
* CGS 4.25pct April 2026, 2.748pct, down from 2.755pct on Monday
Sydney Futures Exchange prices:
* June 2017 10-year bond futures contract at 97.15 (implying a yield of 2.85pct), up from 97.135 (2.865pct) on Monday
* June 2017 3-year bond futures contract at 97.96 (2.04pct), up from 97.94 (2.06pct).
(*Currency closes taken at 1700 AEDT previous local session, bond market closes taken at 1630 AEDT previous local session)
