Thanks Oscar and morning crew. Half-time round-up: A strong...

Thanks Oscar and morning crew.


Half-time round-up:

A strong financial year for Australian shares looked set to end on a brutal note as a surge in global volatility pushed the market sharply lower.

The ASX 200 dived 92 points or 1.6% to 5727 at the mid-point of the session, erasing most of this week's gains. Despite today's dump, the benchmark index has put on almost 500 points since July 1, peaking in early May.

A broad sell-off smashed every sector lower this morning after comments from central bankers earlier this week raised questions over the likely future pace of financial tightening. The consumer discretionary sector sagged 2%, industrials 2%, health 2%, materials 1.5% and financials 1.3%. Overnight, the S&P 500 swooned 0.86% and the Nasdaq 1.44%.

"The comments from central banks got the markets worried, then there is a concern about valuations, then you have investors pulling money out of some of the best-performing growth stocks," Walter Todd, chief investment officer for Greenwood Capital Associates in the US, told Fairfax. "There is a lot of market uncertainty throughout the asset classes, and it will likely continue until we reach the [US] earnings season."

China's Shanghai Composite declined 0.44%, Hong Kong's Hang Seng 0.01% and Japan's Nikkei 1.1%. Dow futures bounced eight points or 0.04%.

Crude oil futures rallied 28 cents or 0.62% this morning to US$45.21 a barrel. Gold futures rose $1.50 or 0.12% to US$1,247 an ounce. The dollar was buying 77.06 US cents.


Oh volatility, how I've missed you. Don't ever leave me again. Without you, life is dull and meaningless like Facebook. Please stay. I'll never take you for granted again. Trading: busy at last. Endless nailed it with his comment yesterday about how you can repair months of woes in a single session/trade. I didn't quite manage that this morning but I've certainly slapped some lipstick on a pig of a month. ICG at 6c was the big one - I don't get 50% profits in a morning too often. AQQ gave a pip. Others modestly ahead - SGP and MTC.