Morning all SPI + 28 [ATTACH] The Australian sharemarket...

Morning all

SPI + 28



The Australian sharemarket extended its slide for a second day as investors digested a busy day of company updates, but National Australia Bank set a positive tone for bank reporting season.
At close of trade the S&P/ASX 200 Index closed 1.2 per cent lower at 5295.5, falling below the 5300 mark for the first time in five weeks. The slide took losses over the past two sessions to 2.7 per cent, wiping more than $40 billion off the benchmark index's value. The All Ordinaries also closed 1.2 per cent lower on Thursday, at 5378.4.

Karen Jorritsma, Citi head of equity sales said the selling on the Index, which accelerated into the afternoon, was part of a broader trend emerging in a sell-off of momentum stocks, or those trading at high price-to-earnings ratios.
"I think it's around valuations, two weeks ago [high PE stocks] were looking pretty toppy," she said. "A couple of downgrades have reminded people that things are expensive and not invincible."

Resources stocks also weighed, with the materials sector down 2.1 per cent, dragged by BHP Billiton and South32, losing 1.4 per cent and 8.1 per cent respectively, and gold mining names littered the worst performing list. 1

U.S. equities closed lower on Thursday as investors parsed through a fresh batch of corporate earnings results and economic data, while sovereign bonds around the world fell. 2
S&P - .3%
Nasdaq - .7%

U.S. crude for December delivery rose 1.1 percent to settle at $49.72 per barrel.



Base metals mildly positive

Gold $ 1269
HUI -2%
AUD Gold $ 1671

AUD .7581



Have a good day

1 SMH
2 CNBC
3 *****