Australian Market Sharply Lower

(RTTNews) - Australian shares are trading sharply lower on Wednesday, giving up some of the gains in the previous two sessions, with the benchmark S&P/ASX 200 falling below the 7,800 level, following the broadly negative cues from global markets overnight, with losses across most sectors led by mining and energy stocks amid tumbling commodity prices.

The benchmark S&P/ASX 200 Index is losing 88.90 points or 1.16 percent to 7,575.20, after hitting a low of 7,556.50 earlier. The broader All Ordinaries Index is down 94.10 points or 1.19 percent to 7,837.90. Australian stocks ended modestly higher on Tuesday.

Among major miners, Mineral Resources and Fortescue Metals are losing more than 2 percent each, while BHP Group and Rio Tinto are declining almost 2 percent each.

Oil stocks are mostly lower. Woodside Energy and Beach energy are declining more than 2 percent each, while Origin Energy is edging down 0.5 percent and Santos is losing almost 2 percent. In the tech space, Afterpay owner Block and Zip are losing more than 2 percent each, while Xero is slipping almost 3 percent and WiseTech Global is sliding more than 3 percent. Appen is gaining almost 1 percent.

Among the big four banks, Commonwealth Bank, Westpac and ANZ Banking are losing almost 1 percent each, while National Australia Bank is edging down 0.5 percent.

Among gold miners, Newmont and Resolute Mining are losing more than 2 percent each, while Evolution Mining is declining almost 4 percent, Northern Star Resources slipping more than 3 percent and Gold Road Resources is sliding almost 5 percent.

In economic news, the manufacturing sector in Australia continued to contract in April, albeit at a slower pace, the latest survey from Judo Bank revealed on Wednesday with a manufacturing PMI score of 49.6. That's up from 47.3 in March, although it remains beneath the boom-or-bust line of 50 that separates expansion from contraction.

In the currency market, the Aussie dollar is trading at $0.647 on Wednesday.

On the Wall Street, stocks went down south on Tuesday, sliding lower and lower after a weak start, as concerns about inflation and uncertainty about the Fed's interest rate moves rendered the mood bearish.

The major averages all ended sharply lower, with the Nasdaq suffering a more pronounced loss. The Dow ended down by 570.17 points or 1.49 percent at 37,815.92. The S&P 500 dropped 80.48 points or 1.57 percent to 5,035.69, while the Nasdaq tumbled 325.26 points or 2.04 percent to settle at 15,657.82.

The major European markets also moved to the downside on the day. The U.K.'s FTSE 100 edged down 0.04 percent, Germany's DAX and France's CAC 40 ended down 1.03 percent and 0.99 percent, respectively.

Crude oil prices drifted lower on Tuesday, weighed down by a stronger dollar, rising crude production in the U.S. and concerns about economic growth and the outlook for oil demand. West Texas Intermediate Crude oil futures for June ended down by $0.70 at $81.93 a barrel.